Frankfurt opening news digest
|Since Bitcoin prices flirted with $20,000 at the end of the last year, there have been several corrections that have taken it below key support levels|
|The Nikkei 225 has broken above a key downtrend line but doesn’t look at all comfortable there. The bulls probably don’t have long to press|
|Fundamentally, the Euro may resume falling versus the US Dollar. A break below near-term rising support has opened the door for a EUR/USD short targeting|
|The Australian Dollar slipped a little following the release of consumer inflation expectations, which came in below the previous month’s total|
|As crude oil prices fell and US Dollar rose, US-China trade war tensions were intensified by President Trump’s calls for 4% GDP contribution to NATO.|
|Fears of a trade war that may damage global growth sent the US Dollar surging higher as crude oil prices fall. Even if calm ensues|
|Satish Ranchhod, Senior Economist at Westpac, suggests that NZ’s recent dwelling consent figures point to a significant increase in medium density hom|
|Gold is holding close to 2018 lows as the precious metal continues to slump, with traders opting to hold USD for the time being.
Trade tensions conti
Spot Rate: 94.73
Daily High: 94.79
Daily Low: 94.69
Trend: Cautiously bullish
R1: 95.02 (May 29 high)
R2: 95.30 (June
|Analysts at ANZ expect New Zealand’s headline CPI to rise 0.1% q/q in Q2 (released 17 July), which would bring annual inflation to 1.2% – a 0.1%pt lif|
|According to Reuters, a survey out on Thursday showed that a majority of businesses operating within China oppose trade tariffs between the two nation|
|The EUR/USD’s corrective rally faltered on Wednesday and the pair could revisit recent lows near 1.15 should the US inflation numbers, scheduled for r|
|The GBP/USD continues to shuffle its feet into recent lows, trading into the 1.3200 major level ahead of Thursday’s London markets.
Broader market se
|According to analysts at NAB, the imposition on 6 July of a 25% tariff by the US on around $34b of imports from China, immediately followed by matchin|
|Reuters reports comments from the Head of FX and money-market sales at Societe Generale in Tokyo, as he offers his view on the USD/JPY pair.
|The comments from South Korea’s Trade Minister are crossing the wires via Reuters:
“S.Korea’s trade min says trade war could be “prolonged and spre
|The AUD/USD one month 25 delta risk reversals (AUD1MRR) have dropped to -0.95 today vs -0.73 on July 9.
The rise in the implied volatility premium f
|In the view of analysts at TD Securities (TDS), China’s June trade balance report is expected to show a healthy increase in imports.
|Bank of Korea (BOK) Governor Lee is out on wires stating that recent fall in the South Korean Won (KRW) does not look excessive when compared to the s|
|The USD/JPY pair rose to 112.35 in Asia – the highest level in January despite escalating US-China trade tensions and the risk-off sentiment.
|Analysts at Commerzbank offer a sneak peek at what to expect from today’s US CPI report due later at 1230 GMT.
“We expect a rise of 0.2%
Spot Rate: 0.6750
Daily High: 0.6760
Daily Low: 0.6748
Trend: Minor recovery likely
R1: 0.6786 (200-hour moving ave
|Oil prices headed south on Wednesday and WTI prices have been pinned to new lows after knocking into the 70.00 major handle. West Texas is now broodin|
|The South Korean Central Bank kept base rate unchanged at 1.5 percent as expected on Thursday and warned that economic growth could be slower than pre|
|The USD/CNH pair is holding above 6.70, having closed above that level yesterday for the first time since September 2017.
The People’s Bank of China
|GBP/JPY Chart, 15-Minute
|The People’s Bank of China (PBOC) set the Yuan reference rate at 6.6723 vs the previous day’s fix of 6.6234.|
|Spot rate: 0.8840
|Australia Consumer Inflation Expectation declined to 3.9% in July from previous 4.2%|
|South Korea BoK Interest Rate Decision remains unchanged at 1.5% in July|
|AUD/USD Chart, 15-Minute
|Analysts at Nomura offered their model’s projection for today’s fix in USD/CNY.
“Our model1 projects the fix to be 615 pips higher than
|USD/JPY is trading at the highest levels since January earlier this year and has made a session high on Tokyo of 112.11, falling just shy of the NY hi|
|Motoshige Itoh, A member of the Japanese government’s economic and fiscal policy council, is hitting wires reaffirming Japan’s dedication to hyper-eas|
|Analysts at Westpac offered a preview for next Tuesday’s CPI release.
“We expect a 0.6% rise in prices for the June quarter. This would
|.Forex today was in a defensive environment where investors were moving out of risk responding negatively to the Trump administration’s planned tariff|
|BI PRIME: Alphabet’s “other bets” have cost Google’s parent company $13 billion. But investors can’t tell which, if any, of those companies look promising and which are dogs.|
|Papa John’s founder and former CEO John Schnatter resigned from his position as chairman of the board, one day after he admitted to using the N-word during a conference call.|
|Broadcom Inc. AVGO, -2.84% announced late Wednesday afternoon that it has agreed to acquire CA Inc. CA, +0.16% for $44.50 a share, confirming earlier|
|Talking Points: • While markets were turning their focus to the NATO Summit, the Trump administration announced fresh $200Bln in Chinese tariffs • The deepen…|
This Bull Market run is so great that — I saw talk of a $100 million IPO for Eskimos selling quality snow — without a website.
Image courtesy: www.profitf.com
Have a nice trading!