Franc and Yen Underperform, Canadian Dollar Anticipates Jobs Report
| Action Insight Daily Report 2-9-24 |
Franc and Yen Underperform, Canadian Dollar Anticipates Jobs Report |
Swiss Franc and Japanese Yen are currently the weakest performers for the week on a couple of interrelated factors. Firstly, global central bankers are tempering expectations for early rate cuts, suggesting rate difference between SNB/BoJ and other central banks would remain large for longer. This stance has been further compounded by a significant rebound in benchmark treasury yields and a prevailing risk-on sentiment in US and Japan, impacting these traditionally safe-haven currencies. S&P 500 reached new record high above 5000 handle overnight, driven by optimism regarding the resilience of US economy. Meanwhile, Nikkei achieved fresh 34-year highs in Asian session, following assurances from BoJ Governor Kazuo Ueda about continuation of easy monetary conditions, even in the after exit of negative interest rate policy... |
USD/CHF Daily Outlook Daily Pivots: (S1) 0.8721; (P) 0.8741; (R1) 0.8757; More.... USD/CHF's rally is in progress despite some loss of upside momentum. Intraday bias stays on the upside. Current rise from 0.8332 would target 61.8% retracement of 0.9243 to 0.8332 at 0.8995 next. On the downside, below 0.8687 minor support will turn intraday bias neutral first. But near term outlook will stay cautiously bullish as long as 0.8550 support holds. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 23:50 | JPY | Money Supply M2+CD Y/Y Jan | 2.40% | 2.20% | 2.30% | | 07:00 | EUR | Germany CPI M/M Jan F | 0.20% | 0.20% | | 07:00 | EUR | Germany CPI Y/Y Jan F | 2.90% | 2.90% | | 09:00 | EUR | Italy Industrial Output M/M Dec | 0.50% | -1.50% | | 13:30 | CAD | Net Change in Employment Jan | 15.0K | 0.1K | | 13:30 | CAD | Unemployment Rate Jan | 5.90% | 5.80% |
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