 There are heavy weights event for Euro and Dollar today, but reactions are so far mild. ECB said it will continue the PEPP purchases at "significantly higher" pace in Q3. Yet, it also upgraded both growth in and inflation forecast for this year and next. Dollar shrug off very strong consumer inflation, as well as continuous improvement in job data. Instead, Yen is stealing the show with some selloff, together with rebound in treasury yields. Technically, now, focus is turning to some Yen crosses before weekly close. In particular, levels to watch include 134.11 resistance in EUR/JPY, 156.05 resistance in GBP/JPY and 91.16 resistance in CAD/JPY. Break of these levels will confirm up trend resumption. Also, CHF/JPY might lead the way by breaking through 122.50 resistance to resume recent rally too. In Europe at the time of writing, FTSE is up 0.32%. DAX is up 0.11%. CAC is down -0.17%. Germany 10-year yield is up 0.13 at -0.228. Earlier in Asia, Nikkei rose 0.34%. Hong Kong HSI dropped -0.01%. China Shanghai SSE rose 0.54%. Singapore Strait Times rose 0.29%. Japan 10-year JGB yield dropped -0.0216 to 0.050. US 10-year yield is up 0.027 at 1.517, back above 1.5 handle. |
