Dollar Gains on Risk Aversion Amid Quiet Trading
| Action Insight Mid-Day Report 7-19-24 |
Dollar Gains on Risk Aversion Amid Quiet Trading |
Risk aversion continues to support Dollar in relatively quiet trading today. Both Sterling and Canadian Dollar weakened mildly after worse-than-expected retail sales data. Euro shrugged off dovish comments from some ECB officials. Meanwhile, Yen softened slightly following lower-than-expected CPI core reading. However, overall movements in the currency markets remain limited as traders hold their bets, awaiting further developments to determine if yesterday's steep selloff in US stocks will continue or if risk sentiment will improve as the week comes to a close. For the week, Swiss Franc remains the strongest, followed by Yen and then Dollar. The greenback, however, has the potential to overtake both of their positions. Kiwi remains the worst performer, followed by Aussie and Loonie, which is typical in risk-off markets. Euro and Sterling are stuck in the middle, with the common currency having a slight upper hand... |
EUR/USD Mid-Day Outlook Daily Pivots: (S1) 1.0879; (P) 1.0911; (R1) 1.0928; More.... EUR/USD is still holding above 1.0871 support and intraday bias stays neutral. Further remains mildly in favor. Break of 1.0947 will resume the rise from 1.0601 and target target 100% projection of 1.0601 to 1.0915 from 1.0665 at 1.0979. However, considering bearish divergence condition in 4H MACD, firm break of 1.0871 will indicate short term topping, and turn bias back to the downside for 55 D EMA (now at 1.0804). | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 23:01 | GBP | GfK Consumer Confidence Jul | -13 | -11 | -14 | | 23:30 | JPY | National CPI Y/Y Jun | 2.80% | 2.80% | | 23:30 | JPY | National CPI Core Y/Y Jun | 2.60% | 2.70% | 2.50% | | 23:30 | JPY | National CPI Core-Core Y/Y Jun | 2.20% | 2.10% | | 06:00 | EUR | Germany PPI M/M Jun | 0.20% | 0.10% | 0.00% | | 06:00 | EUR | Germany PPI Y/Y Jun | -1.60% | -1.60% | -2.20% | | 06:00 | GBP | Retail Sales M/M Jun | -1.20% | -0.60% | 2.90% | | 06:00 | GBP | Public Sector Net Borrowing (GBP) Jun | 13.6B | 12.0B | 14.1B | 15.6B | | 08:00 | EUR | Eurozone Current Account (EUR) May | 37B | 34.6B | 38.6B | | 12:30 | CAD | Industrial Product Price M/M Jun | 0.00% | 0.20% | 0.00% | 0.20% | | 12:30 | CAD | Raw Material Price Index Jun | -1.40% | -0.70% | -1.00% | -1.50% | | 12:30 | CAD | Retail Sales M/M May | -0.80% | -0.50% | 0.70% | 0.60% | | 12:30 | CAD | Retail Sales ex Autos M/M May | -1.30% | -0.50% | 1.80% | 1.70% |
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