China's Caixin Services PMI leaps to 53.1

Joshua Gibson FXStreet

China's Caixin Services PMI clocked in at a surprising 53.1 for the month into September, with broader markets anticipating a restrained reading of 51.5.

Key highlights

China's Composite reading also improved, albeit slightly, ticking up from 52.0 to 52.1 for September, and risk-prone bulls in the Asia-Pacific session may have been given a reason to buy in the early Monday trading window. New orders improved as well, reaching their fastest pace of expansion in over 3 months, though the employment category did hit into contraction, printing at 49.0 for the first time since mid-2016.

Author

Joshua Gibson

FXStreet

Joshua joins the FXStreet team as an Economics and Finance double major from Vancouver Island University with twelve years' experience as an independent trader focusing on technical analysis.

AUD/USD keeps range near mid-0.7100s as USD bulls await US CPI

AUD/USD steadies near mid-0.7100s in the Asian session on Friday, stalling the previous day's sharp decline to an over one-week low. The August PPI report reaffirmed Fed rate-hike bets and boosted the US Dollar on Thursday, which weighed heavily on the pair. However, hawkish RBA expectations limited losses for the Aussie as USD bulls now await the release of the US consumer inflation figures before placing fresh bets.

USD/JPY holds lower ground toward 154.00; looks to US CPI

USD/JPY holds lower ground toward 154.00 in the Asian session on Friday after hot Japanese PPI data bolster a more hawkish BoJ repricing and provide fresh impetus to the Japanese Yen. However, the downside appears capped as the US Dollar preserves overnight gains ahead of the latest US consumer inflation data.

Gold: Will US CPI inflation revive the uptrend?

Gold is hanging close to one-week lows near $4,310 early Friday, nursing heavy losses after the US Producer Price Index (PPI) data release and the recent upsurge in Oil prices. Gold is looking to recover a part of the previous heavy losses as traders resort to repositioning ahead of the all-important US Consumer Price Index (CPI) inflation report.

Cardano approaches critical support as correction risks grow

Cardano (ADA) recovers slightly, trading at $0.206 at the time of writing on Friday, inches above the critical support zone after losing more than 6% so far this week. Weakening derivatives data and fading bullish momentum suggest a bearish near-term outlook, with a decisive close below the support zone potentially triggering a deeper correction for ADA.

Oil and rates surging ahead of US CPI today

In commodities, brent jumped to USD 108/bbl last night and held that level overnight. This is adding renewed inflation pressure and feeding through into global rates markets. Markets are starting to realise that the Strait of Hormuz disruptions are not going away anytime soon, especially from recent comments that signal no clear resolution in sight.

Venezuela’s 65-billion-barrel Oil deal could reshape America’s inflation fight

The United States (US) has secured unprecedented access to part of Venezuela’s vast Oil reserves. The timing is particularly significant as the war with Iran is disrupting Middle Eastern supplies, keeping energy prices elevated and reviving concerns about inflation.