The US dollar index showed minor weakness ahead of the FOMC meeting minutes. A strong US economy and hotter-than-expected inflation will force the Fed to delay early rate cuts. It hit a high of 104.41 yesterday and is currently trading around 103.99.
According to the CME Fed watch tool, the probability of a no-rate cut in Mar increased to 91.50% from 91% a week ago.
The US 10-year yields trade flat ahead of FOMC meeting minutes. The US 10 and 2-year spread narrowed to -32% from -53%.
Major resistance- 105/106
Major support- 104.50/103.80.
EURUSD-
EURUSD showed a minor pullback to 1.08387, its highest level since Feb 2nd, 2024. Markets await Euro and German flash manufacturing PMI on Thursday and FOMC meeting minutes for further direction. Eurozone's current account surplus grew to 31.9 billion euros in Dec 2023 from 22 billion euros.
Major resistance-1.0850,1.0935
Major support- 1.0760,1.0700
Yen-
The yen gained momentum on board-based US dollar selling. Any break below 149.50 confirms minor weakness.
Major Resistance- 151,152
Major support- 148,146.50
Canadian Dollar
The Canadian dollar lost its shine after a weak Canadian CPI. This will increase the chance of a rate cut by BOC.
Resistance- 1.3550,1.3600
Major support- 1.3435,1.3380


U.S. Stocks vs. Bonds: Are Diverging Valuations Signaling a Shift?
2025 Market Outlook: Key January Events to Watch
Trump’s "Shock and Awe" Agenda: Executive Orders from Day One
Oil Prices Dip Slightly Amid Focus on Russian Sanctions and U.S. Inflation Data
Urban studies: Doing research when every city is different
Gold Prices Slide as Rate Cut Prospects Diminish; Copper Gains on China Stimulus Hopes
Energy Sector Outlook 2025: AI's Role and Market Dynamics
China’s Growth Faces Structural Challenges Amid Doubts Over Data
Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed
Stock Futures Dip as Investors Await Key Payrolls Data
Moody's Upgrades Argentina's Credit Rating Amid Economic Reforms
US Gas Market Poised for Supercycle: Bernstein Analysts
U.S. Banks Report Strong Q4 Profits Amid Investment Banking Surge
U.S. Treasury Yields Expected to Decline Amid Cooling Economic Pressures
Lithium Market Poised for Recovery Amid Supply Cuts and Rising Demand
Global Markets React to Strong U.S. Jobs Data and Rising Yields
Goldman Predicts 50% Odds of 10% U.S. Tariff on Copper by Q1 Close 



