The yen was trading around 156 on Monday

2024-05-20
Summary:

Investors await clues on US interest rates as the dollar holds steady. Fed officials are cautious despite weak inflation signals.

EBC Forex Snapshot,20 May 2024


The dollar was broadly steady on Monday as investors awaited further clues to help chart the US interest rate path. Fed officials have sounded words of caution about when rates may fall despite weak inflation report.


The yen hovered around 156 per dollar after remaining within narrow ranges in recent days, reflecting Japan's economy's unexpected contraction in Q1, accompanied by a slump in exports.

USDJPY

Japan's weak consumption may heighten, rather than tame, already growing political pressure on the central bank to raise interest rates to slow the declines blamed for hurting households via higher import costs.

Citibank vs. HSBC Currency Pair Data Comparison

Citi (as of 13 May) HSBC (as of 20 May)

support resistance support resistance
EUR/USD 1.0601 1.0885 1.0714 1.0960
GBP/USD 1.2300 1.2709 1.2524 1.2792
USD/CHF 0.8999 0.9244 0.8975 0.9213
AUD/USD 0.6443 0.6668 0.6532 0.6783
USD/CAD 1.3478 1.3846 1.3536 1.3733
USD/JPY 152.12 157.68 152.33 158.49

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.


Disclaimer: This material is for general information purposes only and is not intended as (and should not be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by EBC or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.

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