FX

Chinese economic activity is nearing stall speed with the government’s purchasing managers indexes (PMIs) falling further in November, surprising markets to the downside for a second consecutive month.

Gold is knocking on the door of record highs heading into what has recently been an extremely strong period for bullion prices. But having rallied so hard since early October, it comes across as being priced for perfection near-term.

Headline Australian CPI undershot market expectations in October, although progress on taming underlying price pressures was disappointing, helping to boost AUD/USD.

EUR/AUD has broken horizontal and uptrend support on the four hourly chart, generating a short setup with decent risk-reward.

After a near 15% rally in under a month, the high-flying Nasdaq 100 looks tired on the charts, struggling to add to gains despite a continued pullback in US bond yields. In contrast, USD/JPY gives the impression it’s only starting the process of adjusting to the more placid US yield environment.

Hong Kong’s Hang Seng and the USD/CNH are providing conflicting signals on the outlook for Chinese markets, providing a reminder for traders not to become too attached to a particular position, be it bearish or bullish.

A softer US dollar has helped AUD/USD and gold push towards key technical levels, suggesting the near-term price performance may determine their longer-term trajectory as we head towards 2024.

USD/JPY traders barely acknowledged the release of Japan’s October inflation report, reinforcing the view the only thing that matters for the pair right now is developments in the US economy, unless the Bank of Japan (BOJ) signals or starts to normalise monetary policy.

The US consumer price inflation (CPI) report for October had an immediate and significant impact for markets, including USD/JPY and Nikkei 225. Attention is now likely to shift to whether we see a hard economic landing.

USD/JPY is trading 40 pips away from multi-decade highs as upstream inflationary pressures in Japan are coming off hard. Perhaps that explains we've had no verbal intervention attempts from the government today?

With plenty of major data and central bank speeches scheduled in the UK and Australia this week, the next few days may prove to be critical for the medium-term trajectory for GBP/AUD heading into 2024.

AUD/USD and gold have struggled in November, giving back some of the gains achieved in late October. With both sitting near key levels, we look at the prospects for a bounce or extension of the pullback in the days ahead.

Traders believe the RBA is one-and done when it comes to the restart of its tightening cycle, jumping to the conclusion the 25 basis point rate hike to 4.35% will likely be the last. AUD/USD fell while the ASX 200 rallied.

It’s been a rough year for Chinese markets with the A50 share index and CNH down sharply as hopes for booming economic activity coming out of the pandemic failed to materialise.

The AUD/USD is our featured currency pair of the week, in what will be a quieter week for economic data compared to the previous week. Still, it could be a busy one for the Aussie given that we have a rate decision from the RBA as well as economic data from China and the US to look forward to.

Huge day for S&P 500, sweet spot for fixed income investors, AUD/USD perking up while Japan win big with timely bond auction.

USD/JPY intervention warnings escalate, PBOC's record push against market forces, USD King for a reason and US real yields push higher before Treasury refunding announcement. Gold is struggling in the difficult environment.