EUR/USD 1.17078
-0.110%
Gold 4685.82
-1.148%
Oil 94.723
3.769%
USD/JPY 159.569
0.165%
GBP/USD 1.35142
-0.141%
GBP/JPY 215.649
-0.039%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
Iranian Foreign Minister: Discussions in Oman included a focus on ways to ensure safe passage through the Strait of Hormuz.GFZ (German Geosciences Center): A 6.13-magnitude earthquake struck the Hokkaido region of Japan.Acting U.S. Attorney General Blanche: Its time to build a banquet hall.April 27th - As tensions in the Middle East push up oil prices, U.S. Treasury market traders are closely watching this weeks Federal Reserve meeting to assess officials views on the inflation outlook. The market widely expects the Fed to keep interest rates unchanged on Wednesday, but traders tend to believe a rate cut is still possible before the end of the year. Swap market data from Friday showed the probability of a rate cut before the end of the year has risen to around 40%. This development could pave the way for Kevin Warsh, Trumps nominee, to lead the Fed and implement more accommodative policies. Against this backdrop, traders will be listening closely for incumbent Chairman Powells remarks at the post-meeting press conference for an update on his plans after his term ends next May. Meanwhile, this week will also see a series of Treasury auctions, including 2-year and 5-year notes, to test market demand at current yield levels.According to a recent article by tech journalist Marc Gurman, Apples successor CEO John Tenus will officially take office on September 1st, followed by the release of the first foldable iPhone. This arrangement aims to establish Tenus as the face of this product line. The device focuses on durability and micro-crease technology, and is expected to cost over $2,000. In addition to the phone, Cook has also left behind approximately 10 new product pipelines, including AI smart home devices, AR glasses, and touchscreen Macs, to help him drive Apple into an unprecedented product expansion cycle during his new term.

Bullish on the US Dollar Index around 110.00 while following Michigan FDLE

Daniel Rogers

Sep 16, 2022 14:57

截屏2022-09-16 上午10.03.18.png 

 

Due to Fed hawks' continued dominance and encouraging US statistics, the US Dollar Index (DXY) is trading around 109.80 during Friday's Asian session. In addition to strengthening the dollar's position against the other six major currencies, economic worries in China and Europe also help the greenback.

 

The FedWatch Tool on the CME predicts that the FOMC will raise interest rates by between 0.75 and 1.00 percent at their meeting next week. DXY bulls have been feeling the squeeze from falling US 10-year Treasury rates of -1.2 bps to 3.447%, after a gain of 1.38 bps the day before.

 

Meanwhile, 0.0% growth was forecasted for US retail sales in August, and -0.4% was revised down for July. And the New York Federal Reserve's Empire State Manufacturing Index rose to -1.5 in September from -31.3 in August and -13 as predicted by the market. The Philadelphia Fed Manufacturing Index, on the other hand, dropped to -9.9 for the relevant month, well below both the forecasted level of 2.8 and the prior level of 6.2. Additionally, August US Industrial Production was revised down to -0.2% from a previous reading of -0.5% and market expectations of 0.1% growth.

 

Bloomberg also released a story expecting more tougher circumstances for China in 2020. On the same line, we read about the ongoing tensions between China and the United States and the People's Bank of China's (PBOC) inaction. A surge in pessimism can be attributed to a number of factors, including hawkish comments from European Central Bank (ECB) policymakers and worries that the Eurozone would remain in a perilous situation despite a good winter stockpile.

 

As a result of these maneuvers, the stock market ended the day in the negative, US Treasury bond yields increased, and the S&P 500 Futures dropped by at least 0.65% throughout the trading session.

 

Intraday movement will be heavily influenced by the Michigan Consumer Sentiment Index (CSI) preliminary readings, which are expected to be 60 compared to 58.2 previously. Yet, the focus will be on the Federal Open Market Committee meeting next week. Given the recent recessionary issues impacting the world's top industrial actor and second-largest economy, it is worth noting that the DXY may also be affected by the second-tier statistics from China.


Suggestion