Forex and other markets news
MARKET PULSE 30.11
MARKET PULSE 30.11
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Australia Retail Sales (Oct) -0.2%
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Germany CPI (YoY) (Nov) slide to 10.0%
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The U.S. dollar index 106.419
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Gold rose to 1,755 USD
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Bitcoin inched up to 16,880 USD
Retail sales in Australia unexpectedly declined by 0.2% in October 2022. This is the first drop in retail trade since December 2021 on the background of rising interest rates, which affect household costs. Sales fell the most in department stores, and sales of clothing and shoes also declined. Food retail alone grew, helped by flood-related costs and high food prices.
The inflation in Germany fell to 10.0% in November 2022. The indicator is still significantly higher than the ECB's target of 2%, which indicates the need to continue tightening monetary policy. Commodity prices have decreased due to a smaller increase in the cost of energy, although this is a temporary factor. On the other hand, food prices have risen even more.
According to Bloomberg surveys, 80% of economists expect a recession in the EU next year, in the US the distribution of estimates is significantly lower, 60%. Europe's economy is in a deplorable state, so the growth of the euro is in great doubt.
The energy crisis has shifted from Europe to Asia and now gas prices in Japan have flown into the stratosphere - this worsens trading conditions, which is an additional factor of pressure on the yen, because the trade deficit will increase, i.e. the supply of yen in the world currency market will grow. The energy crisis has not gone away, and if the winter turns out to be colder than expected, prices in Europe will also start to rise, however, they are already growing.
USDJPY
The pair continues to trade in the price channel of 137.508 - 139.611. Bearish sentiment persists amid a weakening dollar due to a slight slowdown in the pace of Fed rate hikes. The RSI indicator is below 50, at the same time the price is under the 25 and 50 day moving averages. The key support levels are at 136.753, 137.508 and 137.885, while the resistance levels are 139.031 and 139.611.