2024-06-19
EBC Forex Snapshot, 19 Jun 2024
The dollar recovered some ground on Wednesday after soft retail sales data reinforced bets of imminent Fed rate cuts, while sterling edged up as British inflation returned to 2% for the first time in nearly 3 years.
US retail sales barely rose in May and data for the prior month was revised considerably lower, suggesting that economic activity remained lacklustre in the second quarter of this year.
The Bank Of England will likely keep interest rates unchanged on Thursday. Markets are pricing in an about 50% chance of a first rate cut by August and almost half a percentage point in monetary easing in 2024.
| Citi (as of 11 Jun) | HSBC (as of 19 Jun) | |||
| support | resistance | support | resistance | |
| EUR/USD | 1.0700 | 1.0981 | 1.0631 | 1.0880 |
| GBP/USD | 1.2300 | 1.2827 | 1.2621 | 1.2827 |
| USD/CHF | 0.8885 | 0.9158 | 0.8730 | 0.9047 |
| AUD/USD | 0.6562 | 0.6729 | 0.6585 | 0.6715 |
| USD/CAD | 1.3577 | 1.3846 | 1.3614 | 1.3805 |
| USD/JPY | 151.86 | 157.71 | 155.50 | 159.20 |
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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