Market participants are keeping a close eye on the upside potential of the euro as it rises heading into the weekend
08.02.2024
- * Policy Interest Rate and Policy Statement Release
- Rice · Wholesale Inventory
In the previous day’s U.S. currency trading, the U.S. dollar fell against the euro as Collins, President of the Boston Federal Reserve Bank, adopted a slightly hawkish stance, stating that “more data is needed to support a rate cut.”The EUR/USD pair rose from 1.0746 to 1.0783. An upward move along the 20-period moving average (MA) on the hourly chart was confirmed. On the higher timeframe weekly chart, the EUR/USD is forming a bullish candle with a lower wick, so we should watch for potential upside during U.S. trading hours.
European currencies rose against the yen as Germany’s December industrial production, released yesterday, improved year-on-year from a 4.8% decline in the previous month to a 3.0% decline. The euro/yen pair rose from 158.902 to 159.726.It continues to rise during today’s Asian trading session. Technically, the EUR/JPY pair is consolidating around the 20-day moving average, so we will be watching for a breakout from this range during European trading hours.
Today’s schedule includes the China Producer Price Index at 10:30, the Thailand Consumer Confidence Index at 12:00, the India Policy Rate and Statement at 13:30, the Japan Economic Watchers Survey at 14:00, and the EurozoneECB Monthly Report, South Africa’s Manufacturing Output at 8:00 PM, Mexico’s Consumer Price Index at 9:00 PM, U.S. Initial Jobless Claims and remarks by U.S. Richmond Fed President Barkin at 10:30 PM, U.S. Wholesale Inventories at midnight, and a U.S. 30-year Treasury auction at 3:00 AM.We will cautiously monitor the upside potential of the euro, which has been rising heading into the weekend.
Author: Keisuke Sakurai
