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 yesterday, 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, we will be watching to see if upward momentum emerges 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 has 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 shows a lower wick, we will be watching closely to see if the USD/CHF’s rebound momentum continues.
Today, the Japanese Leading Economic Index is scheduled for 2:00 PM during Asian trading hours, followed by Turkey’s current account balance at 4:00 PM during European trading hours,at 20:30, India’s money supply; at 21:00, the U.S. MBA Mortgage Applications Index, Brazil’s retail sales, and Mexico’s industrial production; at 24:30 during U.S. trading hours, U.S. weekly crude oil inventories; at 25:00, Russia’s Consumer Price Index; and at 27:00, the U.S. 10-year Treasury auction. We will be watching to see if the rebounding U.S. dollar continues to strengthen against the Swiss franc.
Author: Keisuke Sakurai
