All eyes are on the results of the U.S. ISM Non-Manufacturing Purchasing Managers' Index
06.07.2022
- Williams (U.S.): Remarks by the President of the New York Fed
- MIS/ISM Non-Manufacturing Purchasing Managers' Index
In the U.S. currency market yesterday, the Dollar Index rose to 106.4, triggering a wave of dollar buying. As a result, the EUR/USD pair fell by more than 200 pips from 1.044 to 1.023, hitting a new low for the year. The EUR/USD has already entered a support-free zone on the monthly chart, raising concerns about further declines. We will closely monitor whether the downtrend continues while watching for any corrective rallies.
European currencies have seen sharp declines, with the euro and the pound plummeting amid record-high inflation across the region. The pound fell against the dollar by approximately 220 pips, from 1.212 to 1.189. Like the euro, it hit a new low for the year. While the pound continues to slide amid soaring inflation, it will be interesting to see if the release of economic indicators during European trading hours will cause any price movements.
Today’s schedule includes German manufacturing orders at 15:00 (Asia time), remarks by UK MPC member Pill at 17:10 (Europe time), the UK construction PMI at 17:30, Eurozone retail sales at 18:00, the US MBA mortgage applications index at 20:00, remarks by UK BOE Deputy Governor Canlif at 22:00 (US time), and US Fed Governor Williams:NY Fed President, at 10:45 PM US time US Services PMI, at 11:00 PM US ISM Non-Manufacturing PMI, US JOLTS Job Openings and Labor Turnover Survey, and at 3:00 AM US time the release of the FOMC minutes. We will be watching closely to see if the US dollar, which has been buying, will fluctuate due to the release of these indicators during US trading hours.
Author: Keisuke Sakurai
