Category: Forex News

Foreign exchange reserves of India have been hovering below the $600 billion mark. Will the year 2024 result in breaching this mark?

In Friday's session, the EUR/GBP slipped down to 0.8660, shedding a small 0.30%. Breathing room for bearish activities emerged after the pair gained 1% last week. Both daily and four-hour charts signal a neutral to bullish bias, with buyers slightly dominating and significant strides marked in the four-hour indicators.

Asian stocks crept higher on Tuesday and the dollar lurked near a five-month low as cooling US inflation bolstered bets the Federal Reserve would cut interest rates early next year.

Holiday-thinned trading, a shortened week, and a light economic calendar point to abnormal price action in the last days of 2023. Will Santa's rally continue? Will the US Dollar remain under pressure?

USD/MXN extends its losses for the third successive day, stretching lower near 17.06 during the European hours on Wednesday. Mexico’s Retail Sales data for October is set to be released on Wednesday. The monthly change is expected to be flat at 0.0% against the decline of 0.2% in September. While yearly data is predicted to ease at 2.0% against the 2.3% prior.

The key event of the day will be the Bank of Japan's monetary policy decision. During the Asian session, New Zealand will release trade data, and the Reserve Bank of Australia will publish the minutes of its latest meeting. Later in the day, Canada's consumer inflation data will be released.

The November inflation report from the US failed to help major currencies find direction on Tuesday, with market participants refraining from taking large positions ahead of the Federal Reserve's (Fed) last policy announcements of the year. The Producer Price Index (PPI) data will also be featured in the US economic docket and the Fed will publish the revised Summary of Economic Projections (SEP), also known as the dot plot, alongside the policy statement. Finally, Fed Chairman Jerome Powell will hold a press conference to speak on the policy outlook and to respond to questions.

Financial markets stay relatively quiet early Monday as investors gear up for highly-anticipated macroeconomic data releases and central bank meetings later in the week. The economic calendar will not offer any high-tier data releases. In the late American session, the outcome of the 10-year US Treasury note auction will be watched closely by participants.

Asian markets were a mixed bag on Wednesday, as they shrugged off a modest uptick on Wall Street overnight. Investors remained nervous ahead of China’s key inflation readings, which negated the growing optimism that a US Federal Reserve (Fed) policy pivot could be earlier than expected next year.

During the Asian session, the key event will be the Reserve Bank of Australia meeting. China's Caixin Services PMI is due, along with the final PMIs. Eurozone will release wholesale inflation data. From the US, the JOLTS report and the ISM Services PMI are also due.