Abstract:On Monday (January 29), the Fed will announce its interest rate statement decision at 3am on Thursday. According to the CME "Fed Watch" tool, the probability of the Fed maintaining interest rates in the 5.25% -5.50% range in February is 96.9%,
On Monday (January 29), the Fed will announce its interest rate statement decision at 3am on Thursday. According to the CME “Fed Watch” tool, the probability of the Fed maintaining interest rates in the 5.25% -5.50% range in February is 96.9%, and the probability of a 25 basis point rate cut is 3.1%. The probability of maintaining interest rates unchanged by March is 51.8%, the probability of a cumulative 25 basis point rate cut is 46.7%, and the probability of a cumulative 50 basis point rate cut is 1.4%. After encountering resistance and suppression above last Friday, the US dollar index accelerated its decline in market prices, receiving support near the previous day's low point and then rising, ultimately closing near the intraday median. At the opening of the Asian market today, the US dollar index fluctuated slightly, with the current price around 103.55. On Sunday, the US military base in Jordan was attacked by drones, resulting in the death of three US soldiers and multiple injuries. Affected by this news, gold opened significantly higher on Monday and broke through the resistance level previously formed, with the current price around 2025.93. Last Friday, after receiving support at the bottom, US crude oil prices accelerated and eventually closed near the intraday high. Also affected by the attack on the US military on Sunday, US crude oil opened high on Monday, with the current price around 78.22. Fran ç ois Villerois de Gallo, a member of the European Central Bank's governing committee, stated in an interview on January 27 that the European Central Bank may cut interest rates at any time this year and all options are open at subsequent meetings. The governor of the French central bank stated that the European Central Bank is on the right track to combat inflation, with deposit rates rising to a record 4%, playing a very important role in reducing basic inflation. After receiving support at the bottom last Friday, EURUSD saw a significant increase in market prices and broke through previous resistance levels, ultimately closing above the intraday median. At the opening of the Asian market today, EURUSD fluctuated slightly, with the current price around 1.0839. After receiving support below last Friday, the market price of USDJPY accelerated and ultimately closed near the intraday high. At the opening of the Asian market opened today, USDJPY rose first and then fell, with the current price around 148.05.
MHMarkets strategy is only for reference and not for investment advice. Please carefully read the statement at the end of the text. The following strategy will be updated at 15:00 on January 29, Beijing time.
Fed Governor Christopher Waller's recent comments have highlighted a cautious stance towards adjusting interest rates, marking a significant moment for the financial markets.
In the forex market, stability was the theme for the U.S. dollar index, holding firm at 104.30. Minor fluctuations were observed across major currency pairs: the Euro slightly weakened against the dollar, closing at 1.0827
In the latest market wrap focusing on the foreign exchange sector, the U.S. dollar index showed minimal movement, holding at 104.31.
On Tuesday, due to February's US durable goods orders growth exceeding expectations and an optimistic economic growth outlook for the first quarter in the US, the US dollar index initially fell but then rose, briefly touching below the 104 mark before recovering during the US trading session, closing up 0.07% at 104.29.