EUR/USD 1.16341
-0.215%
Gold 4507.58
0.663%
Oil 58.618
0.632%
USD/JPY 157.879
0.650%
GBP/USD 1.34060
-0.254%
GBP/JPY 211.655
0.407%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
On January 11th, at the 30th China Capital Market Forum, Chen Huaping, Vice Chairman of the China Securities Regulatory Commission (CSRC), stated that the CSRC will continue to improve the institutional environment for long-term investment, jointly promote a greater proportion of various medium- and long-term funds entering the market, and optimize institutional arrangements such as the Qualified Foreign Institutional Investor (QFII) system, so that various funds are willing to come, stay, and thrive. As of the end of last year, the total market capitalization of A-shares held by various medium- and long-term funds was approximately 23 trillion yuan, an increase of 36% from the beginning of the year; the size of equity funds increased from 8.4 trillion yuan at the beginning of last year to approximately 11 trillion yuan.The speaker of the Iranian parliament warned US President Trump that any attack would lead Iran to consider Israel and US bases in the region as "legitimate targets" and strike them.The governor of Voronezh, Russia, said a civilian was killed after a Ukrainian drone strike on Voronezh.Israeli sources say Israeli Prime Minister Benjamin Netanyahu and US Secretary of State Marco Rubio discussed the possibility of US intervention in Iran during a phone call on Saturday. Three sources who attended an Israeli security meeting said Israel is on high alert regarding the possibility of US intervention in Iran.According to the Financial Times, the EU is demanding that the "Farachy clause" be included in negotiations with the UK to "reopen" Brexit.

The EUR/USD exchange rate fluctuates below 1.0850 as focus shifts to US PPI and Retail Sales data

Alina Haynes

Jan 16, 2023 10:59

 EUR:USD.png

 

As U.S. markets are closed on Monday in honor of Martin Luther King Jr.'s birthday, the EUR/USD pair is attempting to establish a trend. As investors anticipate the release of Producer Price Index (PPI) and Retail Sales data from the United States, the main currency pair is trading below 1.0840.

 

S&P500 futures had some selling pressure early in the Asian session, but have since recovered their losses and turned positive, signaling an improvement in risk appetite on the market. Under the influence of a positive market mentality, the US Dollar Index (DXY) is attempting to break below the immediate support level of 101.75.

 

The U.S. Consumer Price Index (CPI) slowed in December, bolstering the case for the Federal Reserve (Fed) to announce a smaller interest rate increase in the near future. As the Fed seeks to end policy tightening, the USD Index may continue its downward trend for an extended period of time in the future.

 

According to analysts at Wells Fargo, the conclusion of monetary tightening should put an end to the dollar's advances by early 2023. In fact, we believe the trade-weighted dollar has already reached its cyclical peak." Once the Fed begins reducing its policy interest rate at the beginning of the following year, they anticipate an even more pronounced USD depreciation in 2024.

 

On Wednesday, investors will focus on the release of US Producer Price Index (PPI) data. The street anticipated a decline as a result of the decline in gasoline prices, which has enabled manufacturers to drop prices at factory gates as a result of reduced production costs. In addition, price reductions will counteract a decline in retail demand. Additionally, Retail Sales figures will be extensively examined.

 

Meanwhile, Eurozone investors are pleased that Germany's preliminary Gross Domestic Product (GDP) expanded 1.9% on an annualized rate in 2022, compared to the market consensus of 1.8% and the previous release of 2.5%.

Suggestion