Ultima MarketsMarket Review and Outlook: Breaking Through Confusion and Clarifying the Complications of the Week...

Last week's review

The Federal Reserve of New Zealand has announced the latest interest rate to remain at5.5%The lack of hawkish expectations led to a sell-off of the New Zealand dollar last week. The US dollar index, on the other hand, slightly weakened due to mixed data. US CorePCEThe annual rate fell as scheduled to2.8%But1Monthly CorePCEBut the monthly rate is at its previous value0.1%Soaring to0.4%。

U.S.A2monthMarkitmanufacturingPMIFinal value recorded52.2, for2022year7A new high since the beginning of the month. Inflation in the United States has slowed down but remains resilient, while economic vitality has not yet declined. The weakening of the US dollar index triggered spot tradinggoldRising to the highest point in two months2088.34dollar/Ounces; Final increase in spot silver2%Report23.137dollar/ounce.

Market outlook

This week, the financial market welcomed numerous heavyweight data and events. British Chancellor of the Exchequer Hunter has released a budget statement, and Federal Reserve Chairman Powell will give testimony in both houses. The Bank of Canada and the European Central Bank will release their latest interest rate resolutions, with interest rate expectations remaining unchanged, with a focus on whether the central bank will release dovish signals on the future interest rate path.

In terms of financial data,3The month welcomes the United StatesADPNon farm and Canada2Monthly employment figures and other heavyweight labor data, while various regionsPMIFinal Value and Q4 AustraliaGDPIt is also the focus of market attention. In addition, this week's US election marks an "extended Tuesday", and Biden will deliver his final State of the Union address for his current term.

The decline of the Japanese yen may be enough to put an end to it

On Tuesday, Bank of Japan Governor Kazuo Ueda will give a speech. Previously, Japanese government officials successively released interest rate hike signals to the outside world, causing the market to focus on the speeches of Uchida and Nana. At present, there is still controversy in the market regarding Japan's economic situation. If Kazuo Ueda's speech implies what the market is looking forward to4If there is a monthly interest rate hike path, the depreciation trend of the Japanese yen may finally be able to catch a breath.

Be wary of abnormal fluctuations in the Canadian dollar

The Bank of Canada will release its latest interest rate decision on Wednesday, and market expectations remain unchanged. Canada's inflation has significantly slowed down, and interest rate cuts will gradually be put on the central bank's agenda. Investors are paying attention to how the Bank of Canada can articulate the possibility of a summer interest rate cut. If there is still a hawkish tone, the Canadian dollar may experience an abnormal appreciation trend.

The Euro's Trend Meets Key Events

The European Central Bank's interest rate decision expected by the market on Thursday is approaching. Due to recent inflation data exceeding expectations, the expected time for interest rate cuts is uncertain. Therefore, the market focus is on the central bank's forward-looking guidance and future economic forecasts. Unlike other economies, as high interest rates begin to suppress demand and European governments cut spending, the eurozone economy has fallen into recession, and central bank interest rate cuts seem urgent.

Negative correlation or strengthening between the US dollar and gold

3The first full week of the month, with the highlight still being the announcement of the United States on Friday2Monthly non farm employment report. Based on the number of people receiving unemployment benefits in previous weeks,2The monthly employment growth slowed down, but not significantly. The weak employment data may trigger a decline in the US dollar index, and gold may maintain last week's upward trend.

Disclaimers

The comments, news, research, analysis, pricing, and other information contained in this article can only be considered as general market information and are provided solely to assist readers in understanding the market situation and do not constitute investment advice.Ultima MarketsReasonable measures have been taken to ensure the accuracy of the data, but the accuracy of the data cannot be guaranteed and can be changed at any time without notice.UltimaMarketsWe will not be responsible for any losses or losses (including but not limited to any loss of profits) that may arise from the direct or indirect use or reliance on such information.