
The G20 summit took place in Bali, Indonesia, on November 2022…
Don’t waste your time – keep track of how NFP affects the US dollar!
Data Collection Notice
We maintain a record of your data to run this website. By clicking the button, you agree to our Privacy Policy.
Join Us on Facebook
Stay on top of company updates, trading news, and so much more!
Thanks, I already follow your page!Beginner Forex Book
Your ultimate guide through the world of trading.
Check Your Inbox!
In our email, you will find the Forex 101 book. Just tap the button to get it!
Risk warning: ᏟᖴᎠs are complex instruments and come with a high risk of losing money rapidly due to leverage.
77.93% of retail investor accounts lose money when trading ᏟᖴᎠs with this provider.
You should consider whether you understand how ᏟᖴᎠs work and whether you can afford to take the high risk of losing your money.
Information is not investment advice
China was the first country that entered the coronavirus crisis, that’s why it should be the first out. However, the recent resurgence of new infections in Beijing made some investors worry about the second round of downturn. Today new virus cases decreased sharply. Let’s see how economists changed their predictions for the China’s rebound.
Most analysts upgraded their projections for the Chinese economic growth. They increased their forecast for GDP from 1.2% to 1.5% in the second quarter from a year earlier, according to the Bloomberg’s survey. Aidan Yao, senior economist at AXA SA in Hong Kong, said:
“With industrial production and services output both resuming growth, we now expect a positive GDP growth print for the second quarter”.
It seemed that the second largest economy may avoid the full-year recession after the historic contraction by 6.8% in the first quarter.
However, not every analyst has so optimistic prospects. The main reason of concerns is the reduced consumption. Many people lost their jobs and others had pay cuts. It will take a lot of time for most people to find new jobs. The central bank assured that it would expand its support measures to boost the domestic demand. It would offer interest-payment holidays and more credits to businesses. Moreover, economists anticipate that the People’s Bank of China will extend benefits for banks: decrease reserve ratios to 11.5% from 12.5%. However, it may be not sufficient enough. According to CBB International, most significant indicators of economic health such as manufacturing outputs, capital expenditures and retail sales are still well below pre-crisis levels. At the same time, Bloomberg strategists are confident that the industrial output and fixed-asset investments will grow in the next quarter.
Since the Chinese economy is the second-largest world economy, investors will look closely at the speed of Chinese recovery to understand how much time it will take for the global economy to return to pre-crisis levels. Moreover, the US dollar has shown the recent downward trend. The combination of growing Chinese economy and the weak US dollar will push the Chinese yuan upward.
The USD/CNH has been declining sharply since the end of May and set a strong bearish trend. Then, it entered the horizontal corridor in a range between 7.0525 and 7.0920 at the beginning of June. Most analysts have bearish prospects for this pair. The move below the support at 7.0525 will push the price even lower to 7.045 where the 200-day moving average lies. Otherwise, if the price crosses the resistance at 7.0920, it may jump to 7.100 at the 50-day moving average. Follow news further and join the market momentum!
The G20 summit took place in Bali, Indonesia, on November 2022…
The deafening news shocked the whole world yesterday: the British Queen Elizabeth II died peacefully at the age of 96…
After months of pressure from the White House, Saudi Arabia relented and agreed with other OPEC+ members to increase production.
The first FOMC meeting comes after a buildup of anticipation from traders and investors alike, as the markets await what posture the Fed will take regarding the interest rates; would there be a hike or a cut in interest rates? Recall that the Federal Open Market Committee had previously ended the year 2022 with a 50bps hike, and an indication from Powell, the committee chairman, that the Fed could consider raising interest rates by 75bps in the course of the year 2023.
Western countries are trying to find other options for oil and gas supplies after a 10th package of sanctions, which will put more pressure on Russian oil and decrease global oil supply. Italy, for example, is in talks with Libya.
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?
Your request is accepted.
We will call you at the time interval that you chose
Next callback request for this phone number will be available in 00:30:00
If you have an urgent issue please contact us via
Live chat
Internal error. Please try again later