Swiss Franc Rises as Risk-On Sentiment Fades, Dollar Recovering
| Action Insight Mid-Day Report 11-9-22 |
Swiss Franc Rises as Risk-On Sentiment Fades, Dollar Recovering |
Swiss Franc rises broadly today as yesterday's risk-on sentiment quickly faded. Dollar is also recovering together with Canadian while Yen is also slightly higher. On the other hand, Sterling is under some pressure, in particular against European majors. Australian and New Zealand Dollar are not far behind. In other markets, Gold lacks follow through buying so far and WTI crude oil dips mildly. Cryptocurrencies are the biggest movers as market rout continues. Overall, traders are already looking beyond US mid-term election results, to CPI release tomorrow. Technically, EUR/AUD's rise is one development to note. Break of the channel resistance argues that pull back from 1.5704 might be over, and larger rally from 1.4821 could be resume. But all would depend on the upside momentum as EUR/AUD approaches 1.5704 resistance. Based on current intermarket movements, break of 1.5704 would more likely be a result of selloff in Aussie, accompanying return of risk-off sentiment. Let's see. In Europe, at the time of writing, FTSE is down -0.30%. DAX is down -0.59%. CAC is down -0.34%. Germany 10-year yield is down -0.021 at 2.262. Earlier in Asia, Nikkei dropped -0.56%. Hong Kong HSI dropped -1.20%. China Shanghai SSE dropped -0.53%. Singapore Strait Times rose 0.63%. Japan 10-year JGB yield rose 0.0065 to 0.259. |
EUR/USD Mid-Day Outlook Daily Pivots: (S1) 0.9999; (P) 0.9987; (R1) 1.0122; More... EUR/USD retreats after hitting 1.0092 and intraday bias remains neutral first. On the upside, firm break of 1.0092 will resume whole rise from 0.9534. Further rally should then be seen to 38.2% retracement of 1.1494 to 0.9534 at 1.0283, even as a corrective rise. On the downside, however, break of 0.9907 minor support will turn bias back to the downside for 0.9729 support first. Break there should bring retest of 0.9534 low. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 23:50 | JPY | Bank Lending Y/Y Oct | 2.70% | 2.50% | 2.30% | | 23:50 | JPY | Current Account (JPY) Sep | 0.67T | 0.41T | -0.53T | 0.10T | | 01:30 | CNY | CPI Y/Y Oct | 2.10% | 2.50% | 2.80% | | 01:30 | CNY | PPI Y/Y Oct | -1.30% | -1.40% | 0.90% | | 05:00 | JPY | Eco Watchers Survey: Current Oct | 49.9 | 50.5 | 48.4 | | 15:00 | USD | Wholesale Inventories Sep F | 0.80% | 0.80% | | 15:30 | USD | Crude Oil Inventories | 0.3M | -3.1M |
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