Market Participants Remain Cautious About the Direction of the U.S. Dollar Amid U.S. Employment Data and Comments from Key Officials
06.12.2024
- University of Michigan Consumer Sentiment Index
- Goolsbee (U.S.): Remarks by the President of the Chicago Fed
In the U.S. currency market the previous day, the U.S. dollar traded in a back-and-forth pattern against the yen. The USD/JPY pair fluctuated between 149.662 and 150.732, with price action straddling the 20-period moving average (MA) on the hourly chart.Similarly, on the 4-hour chart, price action lacks direction just below the 20-period moving average, while on the daily chart, the pair is currently facing resistance at the 200-period simple moving average.
Among European currencies, the euro rose against the U.S. dollar. The EUR/USD pair rose from 1.0504 to 1.0587. An upward move was observed from the 20-period moving average on the hourly chart.On the 4-hour chart, the RSI has risen from 39 to 69, and on the daily chart, the RSI has similarly returned to the midline. We will need to keep an eye on remarks from key officials during U.S. trading hours to see if the euro will continue to rise against the weakening U.S. dollar.
Today, at 14:00, Japan’s Leading Economic Index; at 16:00, Germany’s Industrial Production and Trade Balance, and the UK’s Halifax House Price Index; at 16:45, France’strade balance, and the French current account balance at 16:45; the Eurozone Q3 GDP at 19:00; the Canadian employment report and the U.S. employment report at 22:30;at 11:15 PM, remarks by Fed Governor Bowman; at 12:00 AM, the Canadian Ivey Purchasing Managers’ Index and the University of Michigan Consumer Sentiment Index; and at 12:30 AM, remarks by Chicago Fed President Goolsbee.We should remain highly vigilant regarding the direction of the U.S. dollar in light of the U.S. employment report and remarks by key officials.
Author: Keisuke Sakurai
