U.S. Debt Ceiling Issue Reaches Resolution; U.K. and U.S. Markets Closed, Lack of Action
A compromise has been reached between the Biden administration and the Republican Party in Congress regarding the US debt ceiling issue over the weekend, providing some certainty about avoiding default. While there may still be some anticipated difficulties in persuading opposition members for congressional approval, the overall agreement has brought a sense of relief to […]
The USD buying response strengthens as the US PCE deflator and durable goods orders exceed expectations, pushing USD/JPY back to the 140 yen range.
Following a series of strong US economic indicators, the US dollar has surged along with rising US bond yields. The April US PCE deflator rose to +4.4% year-on-year, surpassing the previous +4.2% reading. The core deflator also increased to +4.7% year-on-year from the previous +4.6%. Both figures exceeded market expectations. Additionally, April’s durable goods orders […]
Dollar Buying Pressure Continues, Adding to Interest Rate Outlook and Risk Caution
Dollar buying pressure continues. The dollar has risen to the upper ¥139 level, approaching the ¥140 level. 70% of the market expects the U.S. FOMC to leave interest rates unchanged at the June meeting, with the remaining 30% of the market persistently expecting a rate hike. The U.S. monetary authorities have denied market speculation that […]
Despite the U.S. Debt Ceiling Issue, Markets Move on Policy Rate Observations
The market is in an unstable situation. With the approaching X-day of the US debt ceiling on June 1st, market participants are closely watching the negotiations between the US government and the Republican Party. However, the market is reacting sensitively to inflation and policy rate trends in various countries while temporarily setting aside the […]
Adjustment in the trend of a stronger dollar and weaker yen, but no progress yet in the U.S. debt ceiling negotiations
The market is concerned about the upcoming US debt ceiling deadline, scheduled for June 1st, and the lack of progress in negotiations between the US government and the Republican Party. Market sentiment, however, does not appear to be overly pessimistic. The strong performance of the Nikkei Average is particularly notable, with increased attention from foreign […]
Without major economic indicators scheduled, market attention is turning towards reports and statements from central bankers and financial authorities.
With a lack of major economic indicators scheduled for today, market focus is shifting towards reports and statements from central bankers and financial authorities. The Eurozone Consumer Confidence Index (preliminary) for May is the only notable economic release on the calendar. The start of the week tends to have fewer economic statistics released for the […]
Foreign investment in Japanese equities is a driver of yen weakness, and the dollar and yen are counting down the seconds to a new high for the year.
The Japanese stock index’s first high in about 33 years is having an impact on the foreign exchange market in the form of selling pressure on the yen. Selling of the yen to hedge against foreign exchange risk by foreign investors investing in Japanese equities drove the dollar higher and the yen lower in May. […]
USD/JPY has risen above the 138 yen level driven by positive US initial jobless claims and the Philadelphia Fed Index.
The market has responded to the dollar buying pressure following the release of a series of US economic indicators, pushing USD/JPY above the 138 yen level. The May Philadelphia Fed Index improved to -10.4 from the previous reading of -31.3, surpassing market expectations. Additionally, initial jobless claims for the previous week decreased to 242,000 from […]
The market appears to be optimistic about the US debt ceiling issue, and today there is a meeting between the leaders of Japan and the United States.
US stocks showed a strong performance yesterday. The market seems to be optimistic about the US debt ceiling issue, which raised concerns about default. Both President Biden and McCarthy have shown confidence in avoiding default. President Biden is scheduled to hold a press conference on the 21st. Meanwhile, Japanese stocks continue to perform well, […]
Signs of a Dollar Buying Revival, with Solid U.S. Economic Statistics
Signs of a resurgence in dollar buying have recently been seen in price movements. The dollar index is showing signs of bottoming out, with the U.S. employment data again showing strength since the beginning of May, and the U.S. retail sales report released yesterday also indicating strong consumption. Although the rapid pace of U.S. interest […]