The US dollar index keeps rounding above the 103.60 historical support level. The buyers have already defended this level for three weeks, highlighting their interest in the greenback. Thus, buying USD looks less risky right now.
Chinese economy loses momentum following policymakers’ clampdown on debt risks
In April, China's surge took a step back right after a surprisingly sturdy start to 2017, as factory output to investment to retail sales all shrank because authorities clamped down on debt risks, trying to stave off a potentially damaging effect to the Chinese economy.
Waking up to the ongoing threat posed by relatively cheap credit-fueled stimulus since the 2008-9 global financial meltdown, the country’s government has kept tightening the screws on speculative financing for the last several months.
Monday’s data illustrated the broad economic effect of these regulatory curbs, with April’s below-forecast factory output as well as fixed-asset investment in the first four months of 2017, reinforcing evidence of a declining manufacturing sector and also slowing momentum in the world's number two economy.
Financial experts surveyed by Reuters had foreseen factory output would inch up by 7.1% in April, and also tipped fixed asset investment to ascend 9.1% in the period January-April.
Happy Monday, dear traders! Hope you had a great weekend and you’re ready for the last trading week in 2022! Later this week we’ll announce some exciting news for you, but now let’s look through some interesting news! Today’s events: USA, UK, Hong…
On the H4 timeframe, the US dollar index has formed a bullish falling wedge. At the beginning of the trading session, the price is testing the upper border of this wedge. Thus, in case of a higher-than-expected Core PCE Price Index m/m, the US dollar will skyrocket against other currencies.
S&P Global, a private banking company, will release a monthly change in British Flash Manufacturing Purchasing Managers Index (PMI) on January 24, 11:30 GMT+2. The index is a leading indicator of economic health as businesses react quickly to market conditions, and purchasing managers hold the most current and relevant insight into the company's view of the economy.
The United States Bureau of Labor Statistics will publish the US Consumer Price Index (CPI) m/m on January 12 at 15:30 GMT+2. The index measures a change in the price of goods and services purchased by consumers.
2022 was rough: inflation, energy crisis, and plenty of other controversial situations…