Canadian Dollar Surges on Strong Job Data, Yen Jitters on BoJ Rumors Again
| Action Insight Mid-Day Report 2-10-23 |
Canadian Dollar Surges on Strong Job Data, Yen Jitters on BoJ Rumors Again |
Canadian Dollar steals the show in early US session after astonishingly strong employment data. It's followed by Yen, which had some jitters regarding new rumors about BoJ Governor nomination. European majors, on the other hand, are the weaker ones for today, in order of Euro, Swiss Franc and Sterling for now. Aussie and Kiwi are mixed, awaiting some guidance from risk markets. Technically, EUR/CAD resumed the decline from 1.4640. Prior rejection by 4 hour 55 EMA is a near term bearish signal. Next focus is 1.4232 support. Firm break there should confirm that a correction to whole rally from 1.2867 has started, and target 38.2% retracement of 1.2867 to 1.4640 at 1.3963. If that happens, it will more likely be accompanied by extended correction in EUR/USD, than breaking of 1.3224 key support in USD/CAD. In Europe, at the time of writing, FTSE is down -0.64%. DAX is down -1.34%. CAC is down -1.17%. Germany 10-year yield is up 0.039 at 2.340. Earlier in Asia, Nikkei rose 0.31%. Hong Kong HSI dropped -2.01%. China Shanghai SSE dropped -0.30%. Singapore Strait Times rose 0.04%. Japan 10-year JGB yield is down -0.0069 at 0.491. |
USD/JPY Mid-Day Outlook Daily Pivots: (S1) 130.63; (P) 131.23; (R1) 132.12; More... USD/JPY spiked through 130.33 minor support but quickly recovered. For now, deeper fall is in favor as long as 131.88 minor resistance holds. Corrective rebound from 127.20 could have completed with three waves up to 132.89. Retest of 127.20 would be seen next and decisive break there will resume larger down trend from 151.93. On the upside, above 131.88 will likely resume the rebound through 132.89 to 38.2% retracement of 151.93 to 127.20 at 136.64. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
|---|
| 23:50 | JPY | PPI Y/Y Jan | 9.50% | 11.20% | 10.20% | 10.50% | | 00:30 | AUD | RBA Monetary Policy Statement | | 01:30 | CNY | CPI Y/Y Jan | 2.10% | 2.30% | 1.80% | | 01:30 | CNY | PPI Y/Y Jan | -0.80% | -0.50% | -0.70% | | 06:00 | JPY | Machine Tool Orders Y/Y Jan P | -9.70% | 1.00% | | 07:00 | GBP | GDP M/M Dec | -0.50% | -0.30% | 0.10% | | 07:00 | GBP | GDP Q/Q Q4 P | 0.00% | 0.00% | -0.30% | -0.20% | | 07:00 | GBP | Industrial Production M/M Dec | 0.30% | -0.20% | -0.20% | 0.10% | | 07:00 | GBP | Industrial Production Y/Y Dec | -4.00% | -5.30% | -5.10% | -4.30% | | 07:00 | GBP | Manufacturing Production M/M Dec | 0.00% | -0.20% | -0.50% | -0.60% | | 07:00 | GBP | Manufacturing Production Y/Y Dec | -5.70% | -6.10% | -5.90% | -5.60% | | 07:00 | GBP | Goods Trade Balance (GBP) Dec | -19.3B | -17.2B | -15.6B | -14.7B | | 09:00 | EUR | Italy Industrial Output M/M Dec | 1.60% | 0.10% | -0.30% | -0.10% | | 12:00 | GBP | NIESR GDP Estimate (3M) Jan | -0.10% | 0.10% | | 13:30 | CAD | Net Change in Employment Jan | 150.0K | 15.0K | 104K | | 13:30 | CAD | Unemployment Rate Jan | 5.00% | 5.00% | 5.00% | | 15:00 | USD | Michigan Consumer Sentiment Index Feb P | 65 | 64.9 |
|
|
|
