All eyes are on the preliminary PMI results from various countries
23.11.2021
- Richmond Fed Manufacturing Index
- Germany: Manufacturing/Services PMI
Yesterday, two of the three major U.S. stock indices fell, resulting in a market environment characterized by falling stock prices, rising interest rates, and higher oil prices. WTI crude oil recovered to $76.30, while gold fell sharply in tandem with the rise in the U.S. dollar, dropping about 1.95% to around $1,810. The yield on the 10-year U.S. Treasury note is hovering around 1.63%.
In the foreign exchange market, the U.S. dollar emerged as the strongest currency, causing the euro/dollar pair to decline slightly from 1.129 to 1.122. However, the euro has maintained its strength against the pound, which is showing signs of strength, and the euro/pound pair is trading sideways around 0.838. The same is true against the Oceania currencies, with the euro/Australian dollar pair trading sideways around 1.554 as it searches for direction.
Today, at 5:15 PM, France’s Manufacturing/Services PMI; at 5:30 PM, Germany’s Manufacturing/Services PMI; at 6:00 PM, the Eurozone’s Manufacturing/Services PMI; at 6:30 PM, the UK’s, a speech by UK MPC member Haskell at 8:00 PM, the US Manufacturing/Services PMI at 11:45 PM, a speech by UK BOE Governor Bailey at midnight, the Richmond Fed Manufacturing Index at 1:00 AM, and a US 7-year Treasury auction at 3:00 AM. I plan to keep a close eye on the PMIs from each country while observing the direction of the currency markets.
Author: Keisuke Sakurai
