The USD weakened on Monday - EBC Daily Snapshot
2023-10-16
Summary:
The US dollar edged lower on Monday but remained near a one-week high with fragile sentiment against a backdrop of conflict in the Middle East.
EBC Forex Snapshot
16 Oct 2023
The US dollar edged lower on Monday but remained near a one-week high with fragile sentiment against a backdrop of conflict in the Middle East. Joe Biden has warned Israel it would be a "big mistake" to occupy Gaza.
Secretary of State Antony Blinken arrived in Israel on Thursday and has also been to Qatar, Jordan, Bahrain, United Arab Emirates, Saudi Arabia and Egypt in a bid to limit the spread of the conflict.
Carry trades funded by the yen could be the biggest casualty of the Israel's aggression, analysts said, as global investors who have been shorting the yen to invest in higher-yielding currencies now have to buy it back as a safe-haven.
| Citi (as of 9 Oct) | HSBC (as of 13 Oct) | |||
| support | resistance | support | resistance | |
| EUR/USD | 1.0443 | 1.0834 | 1.0430 | 1.0638 |
| GBP/USD | 1.2011 | 1.2308 | 1.2026 | 1.2328 |
| USD/CHF | 0.8745 | 0.9338 | 0.8963 | 0.9222 |
| AUD/USD | 0.6272 | 0.6522 | 0.6231 | 0.6449 |
| USD/CAD | 1.3417 | 1.3805 | 1.3474 | 1.3844 |
| USD/JPY | 146.00 | 150.16 | 147.06 | 150.85 |
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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