Should we pay close attention to the remarks made by MPC member Pill?

Should we pay close attention to the remarks made by MPC member Pill?

05.08.2022

In the U.S. currency market the previous day, the dollar index fell to 105.8, while the euro rose against the dollar from 1.0154 to 1.0253.Yesterday’s release of the U.S. June trade balance showed a deficit of $79.6 billion, marking the third consecutive month of a narrowing deficit. However, the Bank of England’s forecast that the CPI would reach the 13% range in the October-December quarter and that the UK would enter a recession was viewed negatively in the U.S. as well, leading to selling of the U.S. dollar.

Among European currencies, the pound—which yesterday raised its policy rate to 1.75% for the sixth consecutive meeting—plummeted immediately after the rate announcement. The decline against the yen was particularly sharp, with GBP/JPY falling by approximately 2.8 yen from 163.953 to 161.110.Even during today’s Asian trading session, the pound has been unable to rebound and remains stagnant near its lows. Since the daily RSI for GBP/JPY has been in a downtrend since April 19, traders should be wary of further declines heading into European trading hours.

Today, at 3:00 PM Asia time, German industrial production and UK Halifax house prices will be released, followed by FrenchIndustrial Production, and the French Manufacturing Production Index; during European trading hours at 20:15, remarks by UK MPC member Pill; at 21:00, remarks by US Richmond Fed President Barkin; during US trading hours at 21:30, the Canada/US Employment Report; at 23:00, the Canadian Ivey PMI; and at 28:00, US Consumer Credit.We will monitor currency strength while paying close attention to the remarks by UK MPC member Pill.

Past Market Reports

1. 22.04.2026New

   Will interest grow in the upside potential of the Swiss franc, which has risen against the yen?

2. 21.04.2026New

   With the euro-Australian dollar pair hitting new lows this month, attention is turning to how much further it might fall

3. 20.04.2026New

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

4. 17.04.2026New

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

5. 16.04.2026New

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

6. 15.04.2026

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

7. 14.04.2026

   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

8. 13.04.2026

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

9. 10.04.2026

   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?

10. 09.04.2026

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