Have no fear Kristalina , BIG central bankers are here:
Big central banks are firmly in rate-cut mode
Thu, October 17, 2024
By Naomi Rovnick and Alun John
LONDON (Reuters) – Seven of the 10 big developed-market central banks tracked by Reuters have now started easing policy, with expectations of how quickly each will move swinging back and forth as policymakers stress data dependency.
Here’s where major rate-setters stand and what traders expect next.
As Jay s been postulating, relative interest rates are an important engine of volatility in the FX market.
… “but said much could still be done to boost growth, reduce debt and build a more resilient economy.” …
sooo … hahaha what are “THEY” waiting for ?
—
IMF chief expects lukewarm growth in medium term, urges reforms
New forecasts by the International Monetary Fund point to a difficult future for the global economy marked by lackluster medium-term growth, escalating trade…
By Andrea Shalal, Oct 17, 2024
WASHINGTON (Reuters) – New forecasts by the International Monetary Fund point to a difficult future for the global economy marked by lackluster medium-term growth, escalating trade tensions and high levels of debt, IMF Managing Director Kristalina Georgieva said on Thursday.
…’ “Our forecasts point to an unforgiving combination of low growth and high debt – a difficult future,” Georgieva’…
Eye on YELLEN
–
making a fool of herself again:
US Secretary of the Treasury Janet Yellen is currently warning that former President Donald Trump’s proposed tariffs will exacerbate inflation.
but donald is only a pretender to and not yet in the presidency.
does janet know something that the betting markets don’t ??
EURO remains the weak link in the dollar chain.
As I have bee posting, below 1.0881 (and now 1.0850) exposes 1.08 and a 1.0777 target.
EUR is also weak on its crosses, EURGBP last at .8326.
I read an article recently that a bank said EUR may be used as a favored funding currency rather than JPY or CHF.
EURGBP 1 HOUR CHART – Tests downside
What a difference a day makes. At this time yesterday EURGBP was bid following tame UK CPI and now it is offered ahead of the ECB.
So while EURUSD has bounced a tocch from 1.0850, GBPUSD is up more off its low.
Key supports .8325-18-00
.8350 can be used as a EUR indicator.
Newsquawk US Market Open
Sentiment holds an upward bias ahead of US Retail Sales, Jobless Claims, and the ECB
Good morning USA traders, hope your day is off to a great start! Here are the top 4 things you need to know for today’s
4 Things You Need to Know
European bourses trade mostly firmer but to varying degrees, with tech sentiment briefly lifted after strong TSMC results; US futures also gain.
The dollar is flat, AUD benefits from the stronger-than-expected jobs data, whilst the Loonie underperforms.
Bonds are on the backfoot and awaiting today’s key risk events which include US Retail Sales and the ECB Policy Announcement.
Crude oil is choppy and trading on either side of the unchanged mark, XAU is modestly firmer whilst base metals are mostly lower.
A look at the day ahead in U.S. and global markets from Mike Dolan
Tech-heavy stock markets are set to breathe a sigh of relief on Thursday as the world’s largest chipmaker beat the street and eased gnawing doubts about semiconductor demand worldwide and jitters about the wider artificial intelligence theme.
After a cloudy outlook from Europe’s ASML earlier this week sideswiped chip stocks everywhere, Taiwan Semiconductor Manufacturing said on Thursday it expects sustained growth as it reported a forecast-beating 54% jump in profits and soaring demand for chips used in AI.
XAUUSD 4 HOUR CHART – 2685 tested
2685 record high re-tested
Keeps its bid as long as it stays above 2658-66 but would need to take out 2685 in this latest run up to break fresh ground.
Typically, the more times a level is tested the weaker it becomes unless, of course if it runs into a wall (e.g. triple top) then market will pay notice.
So this is like a put up or shut up time for the bulls at 2685.
EURUSD DAILY CHART – WAITING FOR THE ECB
As this chart shows, risk is for 1.0777 while below 1.0881. With that said, 1.0850 i clearly the focus ahead of what should be a 100% discounted ECB rate cut.
200 day mva 1.0873 (watch close vs it). 100 day is at 1.0936
As I noted yesterday
EURUSD IS CLOSING BELOW ITS 200 DAY MVA (1.0874).
If you are looking for a pivotal level, watch 1.0850 as below it would expose 1,0800 and a 1.0777 target.
Above 1.0850 range is to 1.0900.
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