CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
☰
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
✖

Dovish Fed puts pressure on USD BoE rate announcement due today

Article By: ,  Financial Analyst
April 10, 2014 10:45 AM

Fed minutes last night kept USD under pressure with its dovish tone, with the main talking point being that projections for an interest rate rise were overstated. This gave the euro and GBP a lift in late evening trading.  Today unemployment claims are due, with a drop expected from the last reading to 314k.

In Asia, Chinese data surprised to the upside with a good trade balance figures. Exports have fallen for a second straight month in March, giving a lift to Asia FX currencies like the Aussie, kiwi and yen. Helping the Aussie was the unexpected fall in unemployment rate, down to 5.8%. This helped AUD keep hold of its gains coming into the European trading session.

The pound will be in focus today, with the official bank rate expected to be at 0.5% as it currently is and with no change to asset purchases of 375 billion. No shocks are expected from the BoE but none the less there is always an important and anxious wait to hear what will happen.

The ECB will announce its monthly bulletin today, giving a view on why rates were not cut due to low inflation, so discussions on what may be in store for a next meeting could see a reaction on the euro.

 

 

EUR/USD

Supports 1.3815 1.3780 1.3750 | Resistance 1.3880 1.3915 1.3965

 

USD/JPY

Supports 101.70 101.20 100.75 | Resistance 102.15 102.65 103.00

 



GBP/USD

Supports 1.6750 1.6730 1.6670 | Resistance 1.6825 1.6860 1.6900

 

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. CFD and Forex Trading are leveraged products and your capital is at risk. They may not be suitable for everyone. Please ensure you fully understand the risks involved by reading our full risk warning.

City Index is a trading name of StoneX Financial Ltd. Head and Registered Office: 1st Floor, Moor House, 120 London Wall, London, EC2Y 5ET. StoneX Financial Ltd is a company registered in England and Wales, number: 05616586. Authorised and regulated by the Financial Conduct Authority. FCA Register Number: 446717.

City Index is a trademark of StoneX Financial Ltd.

The information on this website is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement.

© City Index 2024