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Chile BCCH Interest Rate meets expectations (4.5%)
Chile BCCH Interest Rate meets expectations (4.5%)
Forex Today: China’s inflation looms as Lagarde tees up ECB decision
Forex markets have remained subdued since the beginning of the week, with the US Dollar (USD) holding near 99.00 on Tuesday, as depicted by the US Dollar Index (DXY).
Chinese Yuan: PBoC fix slows downside pace – OCBC
OCBC’s Christopher Wong reports USD/CNH briefly fell to its lowest level since February 2023 before rebounding after the PBoC set a higher-than-expected daily fix.
British Pound: Short term bias tilts higher against US Dollar – UOB
UOB’s Quek Ser Leang and Lee Sue Ann note GBP/USD edged higher to around 1.3545, with no significant build-up in momentum but a modest upside tilt toward 1.3565 in the near term.
United States: Core inflation stays contained as goods soften – TD Securities
TD Securities economists Oscar Munoz, Eli Nir, Gennadiy Goldberg and Molly Brooks expect August Core CPI to rise 0.19% m/m, with services driving gains and core goods offsetting. They project Core CPI at 2.3% y/y and Headline CPI steady at 3.4% y/y.
United States Consumer Credit Change registered at $18.06B above expectations ($11.7B) in July
United States Consumer Credit Change registered at $18.06B above expectations ($11.7B) in July
Mexican Peso flatlines as traders brace for Mexico’s fiscal package
The Mexican Peso (MXN) remains unchanged against the US Dollar (USD) on Tuesday as market participants await the release of Mexico’s Fiscal package, which will be delivered to the Mexican Congress for approval.
Japanese Yen: Intervention risk and key levels in focus against US Dollar – Scotiabank
Scotiabank strategists Shaun Osborne and Eric Theoret note that the Japanese Yen (JPY) is modestly firmer, with USD/JPY extending losses through prior intervention lows near 155, a move seen as technically significant and potentially pointing to further Yen gains.
Argentina Industrial Output n.s.a (YoY): -4.9% (July) vs previous 2%
Argentina Industrial Output n.s.a (YoY): -4.9% (July) vs previous 2%
Swiss Franc: Sideways consolidation inside tight band against US Dollar – UOB
UOB’s Quek Ser Leang and Lee Sue Ann describe USD/CHF price action as largely directionless, with the pair closing near 0.8090 after trading in a narrow intraday range.
United Kingdom: Backloaded consolidation risks – Deutsche Bank
Deutsche Bank’s UK Chart Of The Week, authored by Sanjay Raja, Shreyas Gopal and Maui Brennan, argues that UK fiscal consolidation since the 2024 election is primarily tax-driven and heavily backloaded.
US Dollar: Mixed performance with Fed and trade risks – Scotiabank
Scotiabank strategists Shaun Osborne and Eric Theoret highlight a mixed US Dollar (USD) as markets weigh rising Oil prices, Japanese Yen (JPY) strength, and escalating US trade tensions.
Gold price wilts as Oil shock puts CPI in Fed crosshairs
Gold (XAU/USD) registers losses of over 0.44% on Tuesday amid a light economic docket in the US, due to a narrative dominated by the US-Iran conflict, higher Oil prices and traders bracing for the release of US inflation reports, with the PPI expected on Thursday, followed by the next day’s CPI.