Investors may be watching for any hawkish tone in the Beige Book

Investors may be watching for any hawkish tone in the Beige Book

12.01.2022

Yesterday, the three major U.S. stock indices all rose, creating a risk-on market characterized by higher stocks, higher oil prices, and higher gold prices. As soon as Fed Chair Powell’s testimony began yesterday, stock prices recovered rapidly, closing higher across the board. WTI crude oil rose to $81.30, while gold surged toward last month’s high of $1,830 and is currently trading around $1,818.

In the foreign exchange market, while cross-yen pairs are generally rebounding, the USD/JPY pair is facing resistance at higher levels. After rising from 115.03 to 115.66, the pair has largely traded sideways, and the trend of lower highs continues. Depending on today’s economic data releases, whether the pair breaks below the recent low of 115.03 with a closing price will likely have a significant impact on its future direction.

Today’s schedule includes: Eurozone Industrial Production at 7:00 PM, the U.S. MBA Mortgage Applications Index at 9:00 PM, the U.S. Consumer Price Index at 10:30 PM, remarks by Bank of England Deputy Governor Kan at 11:15 PM, U.S. Weekly Crude Oil Inventories at 12:30 AM, and the U.S. 10-Year Treasury Auction at 3:00 AM. Additionally, U.S. Federal Reserve Bank of Minneapolis President Kashkari is scheduled to speak.Remarks by Neel Kashkari, President of the Minneapolis Fed, and at 28:00, the U.S. Federal Reserve Beige Book and U.S. Treasury Balance of Payments are scheduled. We should pay close attention to today’s economic indicators during U.S. trading hours and closely monitor the direction of the U.S. dollar.

Past Market Reports

1. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

2. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

3. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

4. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

5. 13.04.2026New

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

6. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

7. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

8. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

9. 07.04.2026

   Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed