2024-05-22
EBC Forex Snapshot, 22 May 2024
With little to drive the market in terms of economic data this week, most major currencies continued to move in a tight range on Wednesday. The pound jumped after data showed hotter-than-expected UK inflation.
British consumer prices rose by 2.3% in annual terms in April compared to the forecast for 2.1%. The figure close to the target leaves the chances of a June rate cut by unchanged at around 50%.
That positions the ECB as the next major central bank most likely to start bringing down rates, as its policymakers continue to suggest it would take a major shock to prevent a June cut.
| Citi (as of 13 May) | HSBC (as of 22 May) | |||
| support | resistance | support | resistance | |
| EUR/USD | 1.0601 | 1.0885 | 1.0720 | 1.0941 |
| GBP/USD | 1.2300 | 1.2709 | 1.2525 | 1.2808 |
| USD/CHF | 0.8999 | 0.9244 | 0.9007 | 0.9194 |
| AUD/USD | 0.6443 | 0.6668 | 0.6547 | 0.6748 |
| USD/CAD | 1.3478 | 1.3846 | 1.3572 | 1.3747 |
| USD/JPY | 152.12 | 157.68 | 153.08 | 157.98 |
The green numbers in the table indicate that the data has increased compared with the previous time; the red numbers indicate that the data has decreased compared with the previous time; and the black numbers indicate that the data has remained unchanged.
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