Summary:
Friday's tech earnings on Wall Street lifted risk appetite, causing the dollar's broad decline and marking its first weekly loss this year.
EBC Forex Snapshot
2 Feb 2024
The dollar fell broadly on Friday as upbeat big tech earnings on Wall Street boosted investors' appetite for risk assets. The currency was on track for its first weekly loss of the year.
Sterling was muted after the BOE kept interest rates on hold but opened up the possibility of cuts. The vote, which split the MPC 6-3, pointed to a difference in opinion among board members.
UK headline inflation unexpectedly nudged upward to an annual 4% in December on the back of a rise in alcohol and tobacco prices, while core CPI figure was unchanged at 5.1%.
| Citi (as of 22 Jan) | HSBC (as of 1 Feb) | |||
| support | resistance | support | resistance | |
| EUR/USD | 1.0848 | 1.1139 | 1.0744 | 1.0937 |
| GBP/USD | 1.2536 | 1.2848 | 1.2590 | 1.2782 |
| USD/CHF | 0.8333 | 0.8667 | 0.8489 | 0.8731 |
| AUD/USD | 0.6526 | 0.6900 | 0.6483 | 0.6688 |
| USD/CAD | 1.3177 | 1.3619 | 1.3336 | 1.3536 |
| USD/JPY | 140.59 | 148.80 | 144.55 | 149.01 |
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.
Disclaimer: This material is for general information purposes only and is not intended as (and should not be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by EBC or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.
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