Market participants are keeping a close eye on the pound-yen pair’s ability to rebound after falling by about 3.5 yen
01.11.2024
- Australia's Producer Price Index
- U.S. ISM Manufacturing PMI
In the U.S. currency market yesterday, the U.S. dollar fell against the euro after the September PCE deflator, released yesterday, declined to 2.1% year-over-year from 2.2% the previous month, and the core deflator remained flat year-over-year.The EUR/USD pair rose from 1.0844 to 1.0888. The price rose along the 20-period moving average (MA) on the hourly chart. Similar price movements were observed on the 4-hour chart, and on the daily chart, the RSI is rising from the 30 level.
Among European currencies, the pound remained the weakest for the second consecutive day. The GBP/JPY pair fell from 198.890 to 195.351, representing a yen appreciation of approximately 3.5 yen. On the 4-hour chart, the price has broken below the 75-day moving average support line with a real body candle, and on the daily chart, the price has fallen from the +2σ Bollinger Band to the centerline. Therefore, we will be watching closely to see if the pound rebounds during European trading hours.
Today’s schedule includes South Korea’s trade balance at 9:00, Indonesia’s and Malaysia’s manufacturing PMIs and Australia’s producer price index at 9:30, China’s Caixin manufacturing PMI at 10:45, the UK’s Nationwide house price index and Turkey’s manufacturing PMI at 16:00,at 4:30 PM, the Swiss Consumer Price Index; at 5:30 PM, the Swiss Manufacturing PMI; at 9:30 PM, the U.S. Employment Report; at 10:45 PM, the U.S. PMI Purchasing Managers’ Index, remarks by Logan, President of the Dallas Fed; and at 11:00 PM, the U.S. ISM Manufacturing Index and U.S. Construction Spending.We will be closely monitoring the rebound potential of GBP/JPY, which has fallen by approximately 3.5 yen.
Author: Keisuke Sakurai
