US Open Note – Dollar flat as Powell continues to feed Wall Street bulls
The delta wave uncertainty forced Federal Reserve Chairman Jerome Powell to play it safe during Friday’s Jackson Hole symposium, setting no timeline and expressing no rush for winding down stimulus despite flagging that bond tapering will start this year.
His dovish remarks sent the dollar index lower but within the 92.00 territory as the euro and the pound found the chance to steal some ground on the news.
ECB's Villeroy signals PEPP reduction, but the euro does not careOn Monday, the dovish European Central Bank Governing Council member François Villeroy attempted to add more support under the euro, admitting that favorable economic conditions in the bloc should be considered when deciding on the pace of PEPP next week, hinting at a potential slowdown in asset purchases.
Yet, he quickly underlined that any adjustments would not amount to tapering, with euro/dollar remaining stuck around its 50-day simple moving average and the 1.1800 level in the aftermath. For now, the narrative is that the ECB cannot compete with the Fed in monetary tightening, and it could only start the tightening procedures months or even years after the Fed begins to reduce stimulus, keeping the euro at a disadvantageous position in the sessions ahead.
Nonfarm payrolls the highlight of the weekStill, some volatility cannot be excluded at the end of the week, when US nonfarm payrolls for the month of August come into light. Last week, Atlanta Fed president Raphael Bostic claimed that “if August job gains match those in June and July", it would be reasonable to trim bond purchases in October. Hence, the NFP report will attract significant attention, and should it surprise to the upside as July’s one did, it would be interesting to see if dollar/yen can become more energetic above the 110.00 level.
On the other hand, dollar/franc met some strong dip-buying around the key 0.9100 level today, becoming one of the best performers of the day along with euro/franc and pound/franc.
Meanwhile, pound/dollar traded marginally below Friday’s high of 1.3780 in the absence of any market teasers. The antipodeans were trading at a slower pace on Monday, but they could become more active in the face of China’s Manufacturing PMI due early on Tuesday.
Wall Street trades positive; China’s regulatory crackdown weighsTurning to stocks, Powell’s dovish stance bodes well for US indices, extending the record rally to uncharted waters once again. Wall street started the day in the green today, though China’s move to cut gaming time for players under the age of 18 to an hour on Fridays, weekends, and holidays, weighed on stock trading both in the US and Europe. The pan-European STOXX 600 is set to close neutral on the day.
CommoditiesIn commodity news, sources reported OPEC oil producers will follow the script by raising output by 400k bpd starting from September when they meet this Wednesday. WTI oil futures inched to an intra-day high of $69.59 before pulling slightly down.
In metals, gold is maintaining a neutral trajectory although it’s holding above 1,800 post-Jackson Hole. A bounce above 1,835 could put the precious metal on an upward path in the short-term picture. Note that the US is planning to remove most of its troops from Afghanistan later today. That said, the Afghan story has had little affect on safe havens so far. Therefore, any military clashes may not shake markets.최신 뉴스
면책조항: XM Group 회사는 체결 전용 서비스와 온라인 거래 플랫폼에 대한 접근을 제공하여, 개인이 웹사이트에서 또는 웹사이트를 통해 이용 가능한 콘텐츠를 보거나 사용할 수 있도록 허용합니다. 이에 대해 변경하거나 확장할 의도는 없습니다. 이러한 접근 및 사용에는 다음 사항이 항상 적용됩니다: (i) 이용 약관, (ii) 위험 경고, (iii) 완전 면책조항. 따라서, 이러한 콘텐츠는 일반적인 정보에 불과합니다. 특히, 온라인 거래 플랫폼의 콘텐츠는 금융 시장에서의 거래에 대한 권유나 제안이 아닙니다. 금융 시장에서의 거래는 자본에 상당한 위험을 수반합니다.
온라인 거래 플랫폼에 공개된 모든 자료는 교육/정보 목적으로만 제공되며, 금융, 투자세 또는 거래 조언 및 권고, 거래 가격 기록, 금융 상품 또는 원치 않는 금융 프로모션의 거래 제안 또는 권유를 포함하지 않으며, 포함해서도 안됩니다.
이 웹사이트에 포함된 모든 의견, 뉴스, 리서치, 분석, 가격, 기타 정보 또는 제3자 사이트에 대한 링크와 같이 XM이 준비하는 콘텐츠 뿐만 아니라, 제3자 콘텐츠는 일반 시장 논평으로서 "현재" 기준으로 제공되며, 투자 조언으로 여겨지지 않습니다. 모든 콘텐츠가 투자 리서치로 해석되는 경우, 투자 리서치의 독립성을 촉진하기 위해 고안된 법적 요건에 따라 콘텐츠가 의도되지 않았으며, 준비되지 않았다는 점을 인지하고 동의해야 합니다. 따라서, 관련 법률 및 규정에 따른 마케팅 커뮤니케이션이라고 간주됩니다. 여기에서 접근할 수 있는 앞서 언급한 정보에 대한 비독립 투자 리서치 및 위험 경고 알림을 읽고, 이해하시기 바랍니다.