All eyes are on whether the rebounding U.S. dollar will strengthen against the Swiss franc.
11.01.2023
- U.S. 10-Year Treasury Auction
- U.S. Weekly Crude Oil Inventories
In the U.S. currency market the previous day, a wait-and-see mood prevailed ahead of tomorrow’s U.S. CPI release, resulting in lackluster price action.The EUR/USD traded in a range between 1.0712 and 1.0758, and has yet to show a clear direction during today’s Asian session. However, since the price is currently trading above the 10-period moving average on the 4-hour chart and remains in the upper range, it will be worth watching to see if an upward move materializes during the European session.
Among European currencies, the Swiss franc—which had been strengthening—lost momentum against the yen, causing the USD/CHF pair to rebound by just under 60 pips from 0.9194 to 0.9252.USD/CHF had been in a downtrend since November 4 of last year and had hit a new low for the year, but it has recently shown signs of a rebound. Since the weekly chart—a higher time frame—is showing a lower wick, we will be watching closely to see if the USD/CHF’s rebound momentum continues.
Today, the Japanese Leading Economic Index will be released at 14:00 during Asian trading hours; Turkey’s current account balance at 16:00 during European trading hours; India’s money supply at 20:30; the U.S. MBA Mortgage Applications Index and Brazil’s retail sales at 21:00;Mexico’s industrial production, U.S. weekly crude oil inventories at 24:30 during U.S. trading hours, Russia’s Consumer Price Index at 25:00, and the U.S. 10-year Treasury auction at 27:00. We’ll be watching to see if the rebounding U.S. dollar continues to strengthen against the Swiss franc.
Author: Keisuke Sakurai
