Ichimoku Kinko Hyo CNH/JPY: The CNH/JPY pair is trading above the Kumo…
NZD/USD : erases yesterday's advance, buyers lose near-term control
Information is not investment advice
Ichimoku Kinko Hyo
EUR/JPY: The pair is trading below the cloud. A downward pressure would lead the pair to exit further the cloud, confirming a bearish outlook.
XAU/USD: Gold facing a further gains the last hours and trading near 23.6% full retracement area.
US Market View
Chinese stock markets fall as the central bank reportedly tells banks to lend less. U.S. stock markets are set to consolidate after Monday's reopening trades pushed them to all-time high closes. U.S. stocks are set to open lower later Tuesday, consolidating after a surge to record highs on Monday that was fueled by optimism over the outlook for reopening the economy. That rally was in part an extended effect of a blowout jobs report on Friday, which saw the U.S. economy add over 900,000 jobs in the month through mid-March.
The International Monetary Fund upgraded its global economic growth forecast for the second time in three months, while warning about widening inequality and a divergence between advanced and lesser-developed economies.
The global economy will expand 6% this year, up from the 5.5% pace estimated in January, the IMF said in its World Economic Outlook published on Tuesday. That would be the most in four decades of data, coming after a 3.3% contraction last year that was the worst peacetime decline since the Great Depression.
Much of the focus of this week’s meetings will be on the IMF’s proposed $650 billion issuance of reserve assets known as special drawing rights, which aims to boost global liquidity and help emerging and low-income nations deal with mounting debt and Covid-19 health-care costs.
The response to last year’s crisis by policy makers prevented a collapse that would have been at least three times worse, and the medium-term losses for the global economy are expected to be smaller than the global financial crisis a decade ago, the IMF said Tuesday.
USA Key Point
- EURUSD trades to highest level since March 24.
- IMF boost 2021 global growth estimate to 6.0% from 5.5% in January.
- Canada got the biggest growth boost in the IMF's latest GDP estimates.
- USDJPY retesting 200-hour MA.
- The USD is the strongest and the NZD is the weakest.
- AUD/USD falls to test key near-term levels as dollar gains further traction on the day.
Last year was tough for the Japanese yen. USDJPY gained more than 30% over 2022, striking above 150 in October. While anticipation of slower Fed rate hikes pulled the pair below the 130 level at the start of 2023, the speculations over the destiny of BOJ’s yield control policy grabbed the attention of the Japanese assets in the middle of January. What lies ahead for traders of the Japanese yen?
Today, at 5:00 pm (GMT +2), the Bank of Canada will publish the Overnight Rate, which represents short-term interest rates, and is pivotal to the overall pricing of the Canadian Dollar in the global markets. Let's look at how the markets are faring ahead of the BoC rates release.
In a call scheduled for January 25, 00:30 am GMT+2, Microsoft will publish the company's earnings for the final quarter of 2022 and comment on the results, projections, and outlook for the nearest future of the company.