All eyes are on whether remarks by key figures in the U.S. will cause fluctuations in the U.S. dollar
20.04.2023
- Minutes of the ECB Meeting Released
- U.S. Initial Jobless Claims
In the previous day’s U.S. currency trading, the USD/JPY pair rose slightly after New York Fed President Williams stated that “inflation remains at too high a level, and it will take time for the Fed’s policy measures to take effect,” suggesting that even if interest rate hikes were paused, rates would likely remain at elevated levels.The USD/JPY pair rose from 133.954 to 135.129, reaching the 135-yen level for the first time in about a month. We will be watching closely to see if the dollar’s strength holds during U.S. trading hours today.
Among European currencies, the pound rose against the yen after the UK’s March Consumer Price Index, released yesterday, fell slightly from 10.4% the previous month to 10.1%. The GBP/JPY pair rose from 166.487 to 167.963, moving in line with the 20-period moving average on the hourly chart.The 4-hour chart shows an even stronger trend, with an upward movement along the 10-period moving average (MA) clearly visible. We will closely monitor the direction to see if the upward trend continues during European trading hours.
Today, at 3:00 PM, Germany’s Producer Price Index will be released; at 6:00 PM, the Eurozone’s trade balance; at 8:30 PM, the minutes of the ECB meeting; at 9:30 PM, Canada’s Housing Price Index, U.S. initial jobless claims, and the U.S. Philadelphia Fed Business Outlook Index; at 11:00 PM, U.S. existing home sales;at 11:30 PM, U.S. weekly natural gas inventories; at 12:30 AM, remarks by BOC Governor Macleam and MPC member Tenreiro; at 1:00 AM, remarks by Fed Governor Waller; at 1:20 AM, remarks by Cleveland Fed President Mester; and at 4:00 AM, remarks by Fed Governor Bowman.We will be closely monitoring whether these remarks by key figures during U.S. trading hours will cause any movement in the U.S. dollar.
Author: Keisuke Sakurai
