Euro takes a hit - EBC Daily Snapshot

2023-12-05
Summary:

The US dollar rebounded to a near-one-week high. Key employment data this week may impact investor views on the interest rate trajectory.

EBC Forex Snapshot


1 Dec 2023


The US dollar regained some ground on Tuesday and hovered near a one-week high, ahead of a flurry of employment data that could affect investor expectations for interest rate path.


ECB member Isabel Schnabel said in an interview with Reuters that interest rate hikes were off the table given the "remarkable" fall in inflation. The euro took a hit against the dollar.

EURUSD

Sterling traded around its highest levels in almost three months against the euro as markets raised their bets on rate cuts by the ECB, which widened their divergence with the BOE.

Citibank vs. HSBC Currency Pair Data Comparison

Citi (as of 27 Nov) HSBC (as of 4 Dec)

support resistance support resistance
EUR/USD 1.0517 1.0965 1.0709 1.1035
GBP/USD 1.2037 1.2746 1.2397 1.2868
USD/CHF 0.8553 0.9338 0.8562 0.8925
AUD/USD 0.6445 0.6750 0.6457 0.6750
USD/CAD 1.3490 1.3855 1.3467 1.3782
USD/JPY 149.21 151.91 145.29 150.56

The green numbers in the table indicate an increase in data, the red numbers indicate a decrease in data, and the black numbers indicate that the data remains unchanged.


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