Yen Strengthens on BoJ Ueda, Swiss Franc Hits Highs, Dollar Struggles
| Action Insight Mid-Day Report 12-27-23 |
Yen Strengthens on BoJ Ueda, Swiss Franc Hits Highs, Dollar Struggles |
Japanese Yen soars broadly in Asian session today, likely in delayed reactions to comment made by BoJ Governor Kazuo Ueda. Speaking to NHK, Governor Ueda indicated that the chance of moving the short-term interest rate out of negative territory in 2024 was "not zero." This remark marks a notable shift in tone from the central bank, even though Ueda also stated that he is "not quite convinced yet" that inflation in Japan can sustainably reach the 2% target. He emphasized the importance of the upcoming Spring wage negotiations as a critical factor in the central bank's decision-making process. Additionally, he further elaborated that BoJ would like to see wages hikes "broaden" to smaller firms... |
EUR/CHF Daily Outlook Daily Pivots: (S1) 0.9329; (P) 0.9387; (R1) 0.9421; More... EUR/CHF's decline resumed after brief consolidations and hit as low as 0.9327 so far. Intraday bias is back on the downside. Firm break of 61.8% projection of 0.9995 to 0.9416 from 0.9683 at 0.9325, will pave the way to 100% projection at 0.9104 next. On the upside, above 0.9395 minor resistance will turn bias neutral fist. but outlook will stay bearish as long as 0.9543 resistance holds, even in case of strong recovery. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 23:50 | JPY | Industrial Production M/M Nov P | -0.90% | -1.60% | 1.30% | | 23:50 | JPY | Retail Trade Y/Y Nov | 5.30% | 5.00% | 4.20% | 4.10% | | 13:30 | USD | Initial Jobless Claims (Dec 22) | 204K | 205K | | 13:30 | USD | Goods Trade Balance (USD) Nov P | -89.5B | -89.6B | | 13:30 | USD | Wholesale Inventories Nov P | -0.20% | -0.40% | | 15:00 | USD | Pending Home Sales M/M Nov | 1.10% | -1.50% | | 15:30 | USD | Natural Gas Storage | -80B | -87B | | 15:30 | USD | Crude Oil Inventories | -2.7M | 2.9M |
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