Conservatives suffer significant defeat in by-election; Swap markets see Fed hikes peaking in March; EU grants Ukraine candidate status.
June 24, 2022
GBP/USD 1.2270 GBP/EUR 1.1658 EUR/USD 1.0525 USD/CAD 1.2979 EUR/CHF 1.0115 EUR/SEK 10.6806 EUR/NOK 10.4792 EUR/DKK 7.4387 USD/ILS 3.4436 AUD/USD 0.6904 NZD/USD 0.6297 USD/SGD 1.3883 USD/JPY 134.53 USD/CNH 6.6940 USD/INR 78.3225 EUR/ILS 3.6242 GBP/ILS 4.2252 USD/ZAR 15.9328
UK consumer confidence dipped in June to a record low amid surging prices. GfKs sentiment survey dropped to -41, the lowest reading in 48 years. Retail sales beat expectations at falling 0.5%, down from a 1.4% gain the previous month.
The conservatives lost two parliamentary seats in by-elections yesterday, further adding pressure to the PM to resign. Both the Lib Dems and Labour gained seats in the Tiverton and Honiton and Wakefield seats respectively.EUR
The EU granted Ukraine candidate status in a historic first step to membership.
Germany’s Ifo survey could show a second month of outlook improvement with the expectations gauge seen rising to 87.4.
EURUSD trades slightly higher, the Euro Stoxx opens higher 0.5%USD
Swap markets are signaling that the market now sees the Fed hike cycle peaking in March. Current expectations are a 75-bps increase to be followed by a 50-bps increment, as the Fed aims to regain control of the inflation narrative.
The senate voted 65-33 to approve bipartisan gun-safety legislation, that has been described as the biggest breakthrough in decades.ASIA/PACIFIC
Japan’s key inflation rate was unchanged at 2.1% in May staying above the BOJ’s 2% target.
The PBOC injected $7.5 billion dollars in its biggest cash infusion since March 31, providing stimulus for an economy which in recent months has been stricken with omicron outbreaks.ILS
USDILS trades 0.2% lower, so far in 2022 USDILS has gained 10.7% notably driven by periods of prolonged dollar strength globally.Data & Events
Germany Ifo Survey
Italy Consumer/Manufacturing Confidence
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