Friday saw a resilient dollar, poised to end a three-week slide fueled by inflation data suggesting prolonged Fed rate stability, sparking concerns.
EBC Forex Snapshot, 15 Mar 2024
The dollar was firm on Friday and set to snap a three-week losing streak as another hotter-than-expected inflation data stoked worries that the Fed could keep interest rates unchanged for longer than expected.
The PPI for final demand increased rose 1.6% from a year earlier, the largest annual advance since September. Markets now price in 60% chance of rate cuts in June, according to the CME FedWatch tool.
The yen was on course for its worst weekly performance since January. The BOJ will ditch its negative interest rate policy in April, according to just under two-thirds of economists polled by Reuters.
Citi (as of 11 Mar) | HSBC (as of 15 Mar) | |||
support | resistance | support | resistance | |
EUR/USD | 1.0695 | 1.1017 | 1.0790 | 1.0976 |
GBP/USD | 1.2503 | 1.2896 | 1.2601 | 1.2897 |
USD/CHF | 0.8551 | 0.9000 | 0.8747 | 0.8911 |
AUD/USD | 0.6443 | 0.6691 | 0.6482 | 0.6673 |
USD/CAD | 1.3359 | 1.3607 | 1.3431 | 1.3619 |
USD/JPY | 146.68 | 150.89 | 146.25 | 150.62 |
The green numbers in the table indicate that the data has increased compared with the previous time; the red numbers indicate that the data has decreased compared with the previous time; and the black numbers indicate that the data has remained unchanged.
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