Euro Up Against Europeans after CPI, Dollar Sluggish after ADP Miss
| Action Insight Mid-Day Report 8-31-22 |
Euro Up Against Europeans after CPI, Dollar Sluggish after ADP Miss |
Euro is extending near term rally against Swiss Franc and Sterling after even higher than expected record inflation. But it's struggling to gain against most other currencies. Dollar is also sluggish after ADP employment disappointment, while Yen's is recovering. Commodity currencies are mixed for now. It seems like traders would continue to hold their bets until US non-farm payroll employment data. Technically, Gold's decline continues after brief recovery and it's on track to retest 1680.83 support holds. The question remains on whether this long term cluster support level would hold. Or, this level would be taken out decisively to complete confirm a long term trend reversal. In the latter case, it could be used as a confirmation for Dollar's up trend resumption, in particular against Euro. In Europe, at the time of writing, FTSE is down -0.86%. DAX is up 0.02%. CAC is down -0.24%. Germany 10-year yield is up 0.049 at 1.557. Earlier in Asia, Nikkei dropped -0.37%. Hong Kong HSI rose 0.03%. China Shanghai SSE dropped -0.78%. Singapore Strait Times dropped -0.55%. Japan 10-year JGB yield rose 0.0027 to 0.230. |
EUR/USD Mid-Day Outlook Daily Pivots: (S1) 0.9980; (P) 1.0018; (R1) 1.0053; More... Intraday bias in EUR/USD stays neutral as range trading continues, and further decline is expected with 1.0094 resistance intact. On the downside, break of 0.9899 will resume larger down trend to 61.8% projection of 1.0773 to 0.9951 from 1.0368 at 0.9860. Firm break there should prompt downside acceleration to 100% projection at 0.9546. However, firm break of 1.0094 minor resistance will dampen this bearish view, and turn bias back to the upside for 1.0368 resistance instead. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 22:45 | NZD | Building Permits M/M Jul | 5.00% | -2.30% | -2.20% | | 23:01 | GBP | BRC Shop Price Index Y/Y Jul | 5.10% | 4.40% | | 23:50 | JPY | Industrial Production M/M Jul P | 1.00% | -0.50% | 9.20% | 9.20% | | 23:50 | JPY | Retail Trade Y/Y Jul | 2.40% | 1.90% | 1.50% | | 01:00 | NZD | ANZ Business Confidence Aug | -47.8 | -56.7 | | 01:30 | CNY | NBS Manufacturing PMI Aug | 49.4 | 49.2 | 49 | | 01:30 | CNY | Non-Manufacturing PMI Aug | 52.6 | 52.2 | 53.8 | | 01:30 | AUD | Private Sector Credit M/M Jul | 0.70% | 0.70% | 0.90% | | 01:30 | AUD | Construction Work Done Q2 | -3.80% | 0.80% | -0.90% | -0.30% | | 05:00 | JPY | Housing Starts Y/Y Jul | -5.40% | -3.40% | -2.20% | | 05:00 | JPY | Consumer Confidence Index Aug | 32.5 | 29.4 | 30.2 | | 06:00 | EUR | Germany Import Price Index M/M Jul | 1.40% | 1.60% | 1.00% | | 06:45 | EUR | France Consumer Spending M/M Jul | -0.80% | -0.30% | 0.10% | | 06:45 | EUR | France GDP Q/Q Q2 | 0.50% | 0.50% | 0.50% | | 07:55 | EUR | Germany Unemployment Change Aug | 28K | 27K | 48K | | 07:55 | EUR | Germany Unemployment Rate Aug | 5.50% | 5.50% | 5.40% | | 08:00 | CHF | Credit Suisse Economic Expectations Aug | -56.3 | -57.2 | | 09:00 | EUR | Eurozone CPI Y/Y Aug P | 9.10% | 9.00% | 8.90% | | 09:00 | EUR | Eurozone CPI Core Y/Y Aug P | 4.30% | 4.00% | 4.00% | | 12:15 | USD | ADP Employment Change Aug | 132K | 300K | 128K | | 12:30 | CAD | GDP M/M Jun | 0.10% | 0.10% | 0.00% | | 13:45 | USD | Chicago PMI Aug | 53.2 | 52.1 | | 14:30 | USD | Crude Oil Inventories | -0.4M | -3.3M |
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