 Sterling jumps broadly today as a BoE officials indicated that rate hike could come next year. UK Prime Minister Boris Johnson also said there is nothing in data that suggests a delay to reopening on June 21, even though some more time is needed to assess the situation. Nevertheless, Canadian Dollar is even stronger for now. On the other hand, Swiss Franc and Yen are the worst performing ones, following rise in treasury yields. US 10-year yield is back above 1.6 handle ahead of US session. Technically, GBP/JPY's break of 154.80 confirms up trend resistance for 156.59 long term resistance next. Eyes will also be on when GBP/USD would break through 1.4240 key resistance to resume up trend. Also, break of 1.2817 resistance in GBP/CHF will complete a head and shoulder bottom pattern (ls: 1.2621, h: 1.2579, rs: 1.2645). That should confirm completion of correction from 1.3070 and bring retest of this high. In Europe, at the time of writing, FTSE is down -0.20%. DAX is down -0.17%. CAC is up 0.73%. Germany 10-year yield is up 0.0241 at -0.178. Earlier in Asia, Nikkei dropped -0.33%. Hong Kong HSI dropped -0.18%. China Shanghai SSE rose 0.43%. Singapore Strait Times rose 0.60%. Japan 10-year JGB yield rose 0.0006 to 0.076. |
