Forex Forum Archive for 08/27/2022

Israel MacroMicro 16:58 GMT August 27, 2022
Powell sees pain ahead as Fed sticks to the fast lane to beat inflation

as the EUR/USD is a pair, now part of the pair speaks:

ECB'S VILLEROY: IN SEPTEMBER, ANOTHER SIGNIFICANT ECB RATE STEP IS REQUIRED.

ECB'S VILLEROY SAYS "SIGNIFICANT" RATE HIKE NEEDED IN SEPT; RATES SHOULD REACH NEUTRAL LEVEL BY YEAR END

___________________________________________________
in case the market to discount and price those as a given:

we may see < 0.98 but not < 0.96 - do not forget, the inflation risks in EU/EZ are much larger than in USA.

weekend NOW :)

Israel MacroMicro 12:08 GMT August 27, 2022
JPY: Kuroda�s term ends in April 2023

USDJPY
Entry: Target: Stop:

when you are asking yourself/others the right questions, the answers cover most of possible/probable scenarios in context of future price action.

- Ahmed

Israel MacroMicro 11:58 GMT August 27, 2022
JPY: Kuroda�s term ends in April 2023

in case the "myth" about the FX markets pricing and discounting 6 months in advance is "truth", the JPY enters a windows of volatile 6-8 weeks now and players of multi-year positions to finalize > 80% of their positioning. after that time window, we are 6 months in front of regime/era change in BOJ.

the important questions with USD/JPY pair for the rest of Kuroda's era and beyond:
[1] how high > 140 it will go before reversing?
[2] what the interest rates of BOJ will be 31/March/2023?
[3] would the BOJ under Kuroda's term to intervene the FX markets as JPY buyer?

have a great weekend

Mtl JP 11:47 GMT August 27, 2022
Powell sees pain ahead as Fed sticks to the fast lane to beat inflation



"sees pain ahead"
ahead = eight minutes

some lose. some win:
squeals in delight Brian Chappatta on Bloomberg:

"In the span of just eight minutes, Federal Reserve Chair Jerome Powell sparked a market rout that slashed the fortunes of America�s richest people by $78 billion."

Powell's Jackson Hole Speech Erases $78 Billion From Richest

GVI Forex 09:47 GMT August 27, 2022
Powell sees pain ahead as Fed sticks to the fast lane to beat inflation
Reply   
JACKSON HOLE, Wyo., Aug 26 (Reuters) - Americans are headed for a painful period of slow economic growth and possibly rising joblessness as the Federal Reserve raises interest rates to fight high inflation, U.S. central bank chief Jerome Powell warned on Friday in his bluntest language yet about what is in store for the world's biggest economy.

Powell sees pain ahead as Fed sticks to the fast lane to beat inflation