Market participants are likely keeping a close eye on the downside potential of the euro, which fell following the deterioration of Germany's PMI
24.06.2024
- UK: CBI Developments
- Mexico Consumer Price Index
Last weekend, the U.S. dollar rose during U.S. trading hours after the U.S. June PMI (Purchasing Managers' Index) data released on the 21st showed that both the manufacturing and services sectors exceeded the previous month's figures. The USD/JPY pair rose from 158.678 to 159.812. It entered an uptrend, supported on the downside by the 20-period moving average (MA) on the hourly chart.On the 4-hour chart, the pair is rising along the 10-period moving average, and on the daily chart, the candlesticks have extended to the +3σ level of the Bollinger Bands.
European currencies fell against the U.S. dollar after preliminary June PMI figures for Germany’s manufacturing and services sectors, released on the 21st, came in below their previous readings for both sectors.The EUR/USD pair fell from 1.0720 to 1.0671. The price decline was driven by resistance at the 20-period moving average (MA) on the hourly chart. Similarly, on the 4-hour chart, the price fell after touching the 20-period MA, so we should remain cautious about continued weakness in the euro during European trading hours.
Today, at 2:00 PM, Singapore’s Consumer Price Index; at 4:00 PM, Turkey’s Capacity Utilization Rate; at 5:00 PM, Germany’s IFO Business Climate Index, Taiwan’s Unemployment Rate, Taiwan’s Industrial Production, and the Philippines’ Retail Sales; at 7:00 PM, the UK’sCBI Trends, at 8:00 PM the Brazilian Consumer Confidence Index, at 9:00 PM the Mexican Consumer Price Index, at 11:30 PM U.S. Dallas Fed Manufacturing Activity Index at 11:30 PM, U.S. 6-month Treasury auction at 12:30 AM, remarks by BOC Governor Maclean at 2:30 AM, and remarks by San Francisco Fed President at 3:00 AM. We will closely monitor the downside potential for the euro, which fell following the deterioration of the German PMI.
Author: Keisuke Sakurai
