Hong Kong
2024-12-20 13:27
IndustryMarket analysis on December 20
The dollar index hit another two-year high yesterday, closing 0.15% higher at 108.42, after US economic data suggested that markets were right to expect the Fed to take a cautious approach to cutting interest rates over the next year. Treasury yields were mixed, with the two-year yield pulling back slightly to close at 4.363% and the 10-year yield flirting with the 4.6% mark before closing at 4.575%. The spread between the 2-10-year Treasury yield hit its highest since June 2022.
Us third-quarter GDP data and preliminary data show that the US economic data is quite strong. On the other hand, GBP/USD fell yesterday as the BOE's dovish vote raised expectations of a rate cut, and may continue to fall, depending on other events, the 1.2480-1.25 area remains the last long defense for the pair this week. The Bank of Japan kept interest rates unchanged, causing USD/JPY to break above 155 and may continue to rise in the short term, but USD/JPY has reached daily and weekly resistance, so be careful that the trend may change during the day.
EUR/USD:
1st support: 1.0358 1st resistance: 1.0365
2nd Support: 1.0355 2nd resistance: 1.0369
GBP/USD:
1st support: 1.2474 1st resistance: 1.2489
2nd support: 1.2467 2nd resistance: 1.2496
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Market analysis on December 20
Hong Kong | 2024-12-20 13:27
The dollar index hit another two-year high yesterday, closing 0.15% higher at 108.42, after US economic data suggested that markets were right to expect the Fed to take a cautious approach to cutting interest rates over the next year. Treasury yields were mixed, with the two-year yield pulling back slightly to close at 4.363% and the 10-year yield flirting with the 4.6% mark before closing at 4.575%. The spread between the 2-10-year Treasury yield hit its highest since June 2022.
Us third-quarter GDP data and preliminary data show that the US economic data is quite strong. On the other hand, GBP/USD fell yesterday as the BOE's dovish vote raised expectations of a rate cut, and may continue to fall, depending on other events, the 1.2480-1.25 area remains the last long defense for the pair this week. The Bank of Japan kept interest rates unchanged, causing USD/JPY to break above 155 and may continue to rise in the short term, but USD/JPY has reached daily and weekly resistance, so be careful that the trend may change during the day.
EUR/USD:
1st support: 1.0358 1st resistance: 1.0365
2nd Support: 1.0355 2nd resistance: 1.0369
GBP/USD:
1st support: 1.2474 1st resistance: 1.2489
2nd support: 1.2467 2nd resistance: 1.2496
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