All eyes are on whether Canada’s CPI will fall below the previous reading of 4.4% year-over-year

All eyes are on whether Canada’s CPI will fall below the previous reading of 4.4% year-over-year

27.06.2023

In the previous session, the U.S. dollar saw little volatility as geopolitical risks related to Russia subsided, resulting in a range-bound trading session throughout the day.Ahead of today’s release of the Consumer Price Index, the CAD/JPY pair rose slightly from 108.605 to 109.269. As upward momentum toward the recent high of 110.537—set on September 13 of last year—is gaining strength, we will be watching for directional cues during U.S. trading hours.

European currencies saw the euro fluctuate against the yen after Germany’s June IFO Business Climate Index, released yesterday, came in at 88.5—below both the market forecast of 90.7 and the previous reading of 91.7. The EUR/JPY pair fluctuated between 155.737 and 156.723.From a technical perspective, EUR/JPY has rebounded, supported by the 20-period moving average (MA) on the 4-hour chart. However, as the 4-hour RSI has begun to pull back from above the 70 level, caution is warranted regarding price movements during European trading hours.

Today’s schedule includes Taiwan’s unemployment rate at 5:00 PM, Hong Kong’s trade balance at 5:30 PM, remarks by ECB President Lagarde, remarks by UK MPC member Dingla at 5:15 PM, Canada’s Consumer Price Index and U.S. durable goods orders at 9:30 PM,at 10:00 PM: U.S. Housing Price Index and S&P/Case-Shiller Home Price Index; at 11:00 PM: U.S. New Home Sales, Consumer Confidence Index, and Richmond Fed Manufacturing Index; and at 2:00 AM: U.S. 5-Year Treasury Auction. We will be watching the Canadian CPI to see if it falls below the previous reading of 4.4%, as well as the market reaction to these indicators and the movement of the Canadian dollar.

Past Market Reports

1. 21.04.2026New

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

2. 20.04.2026New

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

3. 17.04.2026New

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

4. 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

5. 15.04.2026New

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

6. 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

7. 13.04.2026

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

8. 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?

9. 09.04.2026

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

10. 08.04.2026

    Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran