All eyes are on whether the SNB will announce any policy changes when it releases its interest rate decision

All eyes are on whether the SNB will announce any policy changes when it releases its interest rate decision

20.06.2024

In U.S. trading yesterday, the Canadian dollar rose against the yen. The CAD/JPY pair climbed from 114.839 to 115.345. The rise followed the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, the uptrend along the 10-period MA continues, and the pair has broken through its recent high. On the daily chart, the pair is rising with momentum that threatens to reach the high set earlier this month, so traders should be cautious about further gains during U.S. trading hours.

Ahead of today’s SNB policy rate announcement, the Swiss franc rose against the yen. The CHF/JPY pair climbed from 178.160 to 178.757. Price action followed the 20-period moving average on the hourly chart. On the 4-hour chart, a band walk above the +2σ line of the Bollinger Bands was observed, and similar price movement is evident on the daily chart as well. We will be watching to see if the Swiss franc continues to strengthen against the yen following today’s policy rate announcement.

Today’s schedule includes Japan’s domestic and foreign securities investment data at 8:50, China’s prime lending rate at 10:15, Malaysia’s trade balance at 13:00, Germany’s producer price index at 15:00, Turkey’s consumer confidence index at 16:00, the Swiss National Bank’s (SNB) policy rate and statement at 16:30,a press conference by SNB Governor Jordan at 5:00 PM, the Bank of England’s policy rate and statement at 8:00 PM, U.S. initial jobless claims, the U.S. current account balance, U.S. housing starts, and the U.S. Philadelphia Fed Business Outlook Index at 9:30 PM, and the Eurozone Consumer Confidence Index at 11:00 PM.We will be closely monitoring the SNB’s policy rate announcement to see if any policy changes are made.