Keep an eye on the trend of the yen crosses, which are rising gradually
27.01.2022
- Rice · Personal Consumption
- U.S. Initial Jobless Claims
Yesterday, in the U.S. markets, two of the three major stock indices fell toward the close, resulting in a market environment characterized by falling stock prices, rising interest rates, and lower gold prices. In the commodities market, while both silver and gold declined, palladium saw significant gains, rising by more than 5.6%. The VIX (fear index) has yet to break out of its high range and is hovering around 31.9.
In the foreign exchange market, cross-yen pairs have risen slightly, with GBP/JPY climbing from yesterday’s low of 153.56 to 154.73. However, from a technical perspective, GBP/JPY has pulled back after hitting resistance at the 200-period moving average on the hourly chart. We will be watching to see if this pullback stops before falling below the recent low of 152.90.
Today, at 16:00 CET, the German GfK Consumer Confidence Survey and Swiss Trade Balance will be released; at 20:00 CET, the UK CBI Retail Trade Survey will be released; and at 22:30 EST, U.S. Initial Jobless Claims and U.S. Q4 GDP (flash estimate) will be released,U.S. personal consumption, U.S. durable goods orders, U.S. pending home sales at 12:00 a.m., U.S. weekly natural gas inventories at 12:30 a.m., the U.S. Kansas City Fed Manufacturing Index at 1:00 a.m., and a U.S. 7-year Treasury auction at 3:00 a.m. With the U.S. dollar on the rise, I want to carefully assess the direction European currencies will take.
Author: Keisuke Sakurai
