Kshitij Consultancy Services Team
Kshitij Consultancy Services
The Dollar Index can see near-term trade within 106.20-105.40 while Euro can test support at 1.0675/0650 before bouncing back from there. EURJPY and USDJPY have seen a strong fluctuation within a very broad range and lack directional clarity just now. While below 171.50 and 160.50, both pairs can remain ranged within 171.50-166 and 160.50-154 region respectively. Aussie and Pound have dipped slightly and can fall while below 0.66 and 1.26 respectively. USDCNY has recovered from the sharp fall seen yesterday and can now head towards 7.25. EURINR may remain ranged within 89.60-89.00 region. USDINR rose sharply towards 83.50 yesterday. If it falls from 83.50, it can continue to trade within 83.50-83.30 else a sharp break above 83.50 will be strongly bullish towards 83.60/70 or even higher.
The US Treasury and the German yields have come down well extending the fall seen on Friday. Further fall is expected in the next few sessions within an overall medium-term uptrend. The 10Yr and 5Yr GoI are oscillating in a sideways range and could turn eventually bullish while above 7.15%. This could just be a consolidation within the overall uptrend.
Dow Jones and Nikkei are heading towards their immediate resistance which if holds can lead to a fall back. DAX is bullish while above 18000. Nifty and Shanghai look bullish to target their key resistance in the near term.
Crude prices and Precious Metals are likely to trade sideways for a while. Copper has scope to test key resistance at 4.8. Thereafter we need to see if it falls back or break higher. Natural Gas is bullish while above 1.90.
The above views are based on the latest available information. Though the information sources are believed to be reliable, the information is not guaranteed for accuracy. While the views are proffered with the best of intentions, neither the author, nor the firm are liable for any losses that may occur as a result of any action based on the above. World financial markets, and especially the Foreign Exchange markets, are inherently risky and it is assumed that those who trade these markets are fully aware of the risk of real loss involved.
Recommended Content
Editors’ Picks
AUD/USD on the backfoot, slides below 0.6700
The Australian Dollar registered losses of 0.37% against the US Dollar on Monday, amid rising US Treasury yields that underpinned the Greenback. An upbeat market sentiment could not boost the high-beta Aussie Dollar, which tumbled below the 0.6700 figure. As the Asian session begins, the AUD/USD trades around 0.6668.
EUR/USD eased from 1.0880 on Monday as looming rate differential weighs
EUR/USD eased back from 1.0880 on Monday as talking points from Fed officials weighed on otherwise quiet market flows. Broader markets are keenly anxious for signs of a rate cut from the Fed, but central planners continue to force down expectations with a tricky inflation outlook hobbling the Fed’s options on rate moves.
Gold price retreats after hitting record high at $2,450
Gold price extended its gains on Monday, yet it trades slightly below the all-time high of $2,450 reached during the Asian session amid increasing expectations that major central banks, including the Federal Reserve, might ease policy during 2024.
Digital asset weekly inflows jump over 600% following response to CPI report
Coinshares weekly report of digital asset flows shows that crypto assets witnessed more than a 600% increase in net inflows last week after US Consumer Price Index saw a softer-than-expected inflation increase.
Will the commodity boom last?
The gold and copper price both hit fresh record highs on Monday. The market is sensitive to these two metals because gold is considered an inflation hedge and a safe haven, and because copper is a metal that is linked to global growth.