Euro Staying Pressured Under Pressure Amid Yield Volatility
| Action Insight Mid-Day Report 6-10-24 |
Euro Staying Pressured Under Pressure Amid Yield Volatility |
As US session begins, Euro continues to face significant downward pressure, largely influenced by political developments in France. The call for a snap election following the far-right National Rally party's gains in the EU election has sparked concerns among investors, driving French 10-year yield to its highest level since November. Additionally, the spread between French and German benchmark yields has widened, reaching the largest margin seen this year, further exacerbating Euro's volatility. Italy's and Spain's bond markets are also experiencing turbulence, with Italy's 10-year yield surging past 4% mark and Spain's benchmark yield climbing above 3.4%. These movements in the bond markets reflect a broader sense of unease that is currently dominating the Eurozone's financial landscape... |
EUR/USD Mid-Day Outlook Daily Pivots: (S1) 1.0768; (P) 1.0835; (R1) 1.0870; More.... Intraday bias in EUR/USD stays on the downside at this point. Rebound from 1.0601 might have completed at 1.0915 already. Fall from there could be another falling leg of the corrective pattern from 1.1274. Further decline could be seen to retest 1.0601 support next. On the upside, above 1.0798 minor resistance will turn intraday bias neutral first. But risk will be mildly on the downside as long as 1.0915 resistance holds, in case of recovery. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 23:50 | JPY | Bank Lending Y/Y May | 3.00% | 3.10% | 3.10% | | 23:50 | JPY | GDP Q/Q Q1 F | -0.50% | -0.50% | -0.50% | | 23:50 | JPY | GDP Deflator Y/Y Q1 F | 3.40% | 3.70% | 3.60% | | 23:50 | JPY | Current Account (JPY) Apr | 2.52T | 2.06T | 2.01T | | 05:00 | JPY | Eco Watchers Survey: Current May | 45.7 | 48.9 | 47.4 | | 08:00 | EUR | Itay Industrial Output M/M Apr | -1.00% | 0.30% | -0.50% | | 08:30 | EUR | Eurozone Sentix Investor Confidence Jun | 0.3 | -1.9 | -3.6 |
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