Look ahead: Bank of Japan minutes; UK consumer price and producer price index; Berkeley earnings
Brace for FX volatility ahead of the minutes from the Bank of Japan’s last meeting. UK inflation readings come a day after weaker-than-expected US retail sales reignited hopes of a Fed rate cut in September.
Berkeley reports earnings as the UK housebuilding sector complain about the lack of new election housing pledges.
(AI Video Summary)
USD/JPY
In today's financial "Look ahead", hosted by Angeline Ong, the focus is on global markets, with key data releases from Japan and the UK poised to influence currency trends. The USD/JPY pair is observed nearing a strong resistance level at 15,826. A break above could see the pair aim for higher targets.
UK data
Meanwhile, upcoming UK consumer price and retail data could impact GBP/EUR, especially if the Bank of England hints at persistent inflation concerns. In the US, despite a market holiday, softer retail sales data reflects underlying economic caution, potentially affecting Federal Reserve rate decisions.
US and UK house builders
Additionally, US and UK house builders, like Berkeley and Persimmon, may benefit from government initiatives aimed at boosting construction.
Overall, significant FX volatility and stock market movements are anticipated.
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