Should we keep a close eye on ECB President Lagarde’s press conference?
09.06.2022
- ECB Policy Rate and Statement Release
- Press Conference by ECB President Lagarde
In the previous day’s U.S. currency trading, although the Dollar Index fell slightly to the low 102 range, the dollar remained strong against the yen, with USD/JPY rising by approximately 180 pips from 132.71 to 134.55. However, as Asian trading began today, the pair fell to 133.84, near the 20-period moving average.The RSI has also fallen below 70 to 53. We will be watching closely to see if the upward trend continues heading into the U.S. session.
While gains in other euro-yen cross rates remained below 1%, the euro-yen pair surged by approximately 1.2%. It rose by more than 2 yen, touching 144.24 for the first time since December 2014. The euro is also gaining solid ground against the U.S. dollar. In today’s ECB policy rate announcement, attention will focus on any comments regarding the timing and magnitude of interest rate hikes.
Today, at 18:00 CET, South Africa’s current account balance will be released; at 20:00, South Africa’s manufacturing output; at 20:45, the ECB’sECB policy rate and statement, at 21:30 ET: U.S. initial jobless claims and ECB President Lagarde’s press conference, at 23:30 ET: U.S. weekly natural gas inventories, at 24:00 ET: remarks by BOC Governor McClem, and at 26:00 ET: U.S. 30-year Treasury auction.We need to closely monitor currency strength and weakness while paying close attention to expectations of a eurozone rate hike.
Author: Keisuke Sakurai
