The dollar is set for a major weekly decline against the euro, yen, and franc. Investors expect nearly 100 bps rate cuts next year.
EBC Forex Snapshot
17 Nov 2023
The dollar was headed for its largest weekly drop for months against the euro, yen and franc on Friday, as investors anticipate rate cuts of almost 100 bps next year.
Other major currencies were also on track to gain this week. Treasury yields hovered around two-month lows, pressured by poor builder confidence and rising jobless claims.
BOJ governor Kazuo Ueda said that there are both positives and negatives to the weak yen’s impact, suggesting that there is still room for stimulus to stay at this point.
Citi (as of 6 Nov) | HSBC (as of 17 Nov) | |||
support | resistance | support | resistance | |
EUR/USD | 1.0448 | 1.0737 | 1.0655 | 1.0896 |
GBP/USD | 1.2037 | 1.2448 | 1.2181 | 1.2541 |
USD/CHF | 0.8745 | 0.9338 | 0.8806 | 0.9032 |
AUD/USD | 0.6400 | 0.6599 | 0.6341 | 0.6595 |
USD/CAD | 1.3569 | 1.3899 | 1.3570 | 1.3842 |
USD/JPY | 147.43 | 151.95 | 149.51 | 152.46 |
The green numbers in the table indicate an increase in data, the red numbers indicate a decrease in data, and the black numbers indicate that the data remains unchanged.
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On Friday, the US dollar fell to a one-week low as mixed job market signals emerged before key payroll data likely to influence Fed policy.
2024-09-06The dollar fell Thursday on US economic worries, with the yen rising on safe-haven demand. Traders see a 44% chance of a 50-bp cut this month.
2024-09-05Safe-haven currencies surged Wednesday as Wall Street and Asian stocks fell sharply, leading to losses in commodity currencies.
2024-09-04