The week begins with markets in a phase of weak risk appetite, while cautiously eyeing the upcoming release of US consumer price index (CPI) data on Wednesday, which is expected to show an unchanged annualized rate.
➡️ Markets are already looking ahead to Wednesday's all-important US CPI data releaseThe data is widely expected to show a month-over-month increase in inflation, which would leave the annualized rate unchanged at 3.01TP3Q.
➡️ Despite the public holiday in Japan today, there was some market movement during the Asian session, especially in the Forex market., where the New Zealand dollar was the strongest major currency while the Japanese yen was the weakest, highlighting the NZD/JPY currency pair . The US dollar barely moved. Trend traders will remain interested in being long on EUR/USD, even though there has been very slow movement in that currency pair lately.
➡️ Crude oil is steadily increasing, partly because of the belief that the Iranian axis is about to launch a major attack against Israel, which has threatened to respond with unprecedented firepower against Lebanon and perhaps even Iran if the attack crosses certain red lines. The US administration is desperate to calm tensions and is pushing for a ceasefire against Israel and Hamas and appears to be using the tension to sell the ceasefire. Tonight was the most widely expected date for any attack to begin.
➡️ They looks weakly bullish above $2,417.
➡️ Overall, it can be said that markets have a weak appetite for risk so far.
➡️ There are no major data releases scheduled for today, so the market is likely to be quiet.
Credit by DailyForex.com