Will the Japanese yen, which has been facing resistance at higher levels, break down? This is something to watch closely.
18.06.2024
- Australia: RBA Policy Rate and Statement Release
- Rice · Corporate Inventories
Yesterday, the three major U.S. stock indices all rose, creating a "triple-high" market characterized by rising stock prices, interest rates, and crude oil prices.WTI crude oil briefly touched the key $80 level and is currently trading around $79.80. Natural gas, on the other hand, fell 0.8% to the $2.79 range. Among the five major precious metals, all but platinum declined; platinum was the only one to rise, climbing 1.3% from the previous day to around $978.
In the foreign exchange market, the Japanese yen became the weakest currency toward the end of the U.S. trading session. GBP/JPY rose from 199.068 to 200.425, breaking above the 200-period SMA on the hourly chart.On the 4-hour chart, the pair has rebounded from the 75-MA line, and the 4-hour RSI has recovered from 44 to 53. Although the Bollinger Bands are contracting on the daily chart, the pair has been making higher lows recently, so caution is warranted regarding the yen’s vulnerability during European trading hours.
Today’s economic indicators include the RBA policy rate and statement at 1:30 PM (AEST), remarks by RBA Governor Block at 2:30 PM (AEST), the German ZEW Economic Sentiment Index and the Eurozone ZEW Economic Sentiment Index at 6:00 PM (CET), the Eurozone Consumer Price Index at 6:00 PM (CET), the Hungarian central bank policy rate and statement at 9:00 PM (CET), U.S. retail sales at 9:30 PM (CET),at 10:15 PM: U.S. Industrial Production and Capacity Utilization; at 11:00 PM: U.S. Business Inventories and remarks by Richmond Fed President Barkin; at 12:40 AM: remarks by Boston Fed President Collins; and at 2:00 AM: remarks by Fed Governor Kugler. I intend to watch the market closely to see if the Japanese yen, which has been facing resistance on the upside, will extend its decline.
Author: Keisuke Sakurai
