Market participants may be on guard against price fluctuations caused by a flurry of remarks from key figures during U.S. trading hours

Market participants may be on alert for price fluctuations caused by a flurry of remarks from key figures during U.S. trading hours

18.10.2024

In yesterday's U.S. currency trading, the U.S. dollar rose against the yen despite the fact that U.S. industrial production for September, released yesterday, fell to -0.3% from 0.8% the previous month.The USD/JPY pair rose from 149.243 to 150.322, moving upward along the 20-period moving average on the hourly chart. However, during today’s Asian session, the pair has already fallen back to around half of yesterday’s gains, so we need to carefully assess whether the dollar will continue to rise during the U.S. session.

European currencies weakened against the dollar during U.S. trading hours after the European Central Bank (ECB) cut its policy rate by 0.25 percentage points from 3.65% to 3.4% at its monetary policy meeting announced yesterday. The euro fell from 1.0873 to 1.0811 against the dollar, declining along the 20-period moving average (MA) on the hourly chart.On the 4-hour chart, the 10-period moving average is acting as resistance, and the daily chart has recorded four consecutive bearish candles.

Today’s schedule includes Japan’s Consumer Price Index at 8:50, Japan’s Foreign and Domestic Securities Investment at 8:50, China’s New Home Sales Prices at 10:30, China’s Real GDP and Industrial Production at 11:00, UK Retail Sales at 15:00, the Eurozone Current Account at 17:00,at 5:30 PM Hong Kong employment statistics, at 6:00 PM Eurozone construction output, at 9:30 PM U.S. housing starts, at 10:30 PM remarks by Bostic, President of the Atlanta Fed, at 11:00 PM remarks by Kashkari, President of the Minneapolis Fed, and at 1:10 AM remarks by Waller, Member of the FOMC.Be on the lookout for price volatility caused by overlapping remarks from key officials during U.S. trading hours.