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NASDAQ 100 CFD

NASDAQ Another 2 weeks of consolidation possibleNasdaq (NDX) made the bullish break-out that we largely expected as described on our previous idea (May 15, see chart below) and almost hit our 19100 Target: Right now we see a short-term pull-back, which based on the November - December 2023 fractal (green ellipse), should be at worst a 2 week consolidation. The 1D RSI also shows that symmetrically we should be at a point similar to December 06 2023. That fractal then rose for a Higher High on the 2.236 Fibonacci extension. As a result, our medium-term Target is now set at 19900 (just under the 2.236 Fib and top of the 1.5 year Channel Up). ------------------------------------------------------------------------------- ** Please LIKE 👍, FOLLOW ✅, SHARE 🙌 and COMMENT ✍ if you enjoy this idea! Also share your ideas and charts in the comments section below! This is best way to keep it relevant, support us, keep the content here free and allow the idea to reach as many people as possible. ** ------------------------------------------------------------------------------- 💸💸💸💸💸💸 👇 👇 👇 👇 👇 👇
CAPITALCOM:US100Long
by TradingShot
NASDAQ, S&P 500 Trying to Rebound From Q2 LowsOn Wednesday, volatility surged back into the market, with the CBOE Volatility Index (VIX) spiking 9% after hitting nearly three-year lows last week. The yield on the 30-year Treasury note, a crucial benchmark for mortgage rates nationwide, soared to 4.74%, rising more than 15 basis points over two sessions and nearing its highest close since May 2. As yields climbed, bond prices dropped, with the iShares 20+ Year Treasury Bond ETF falling 1.3%. Investors fear that the Fed will not cut interest rates more than once by the end of the year and not before November, as suggested by current Fed futures pricing. All major U.S. equity indices and all eleven sectors traded in the red, with the U.S. dollar effectively playing its safe haven role. The Invesco DB USD Index Bullish Fund ETF rose 0.5%, marking its strongest day in a month. Rising yields and a stronger dollar pressured commodities, with gold prices down 1%, oil down 1.3%, and natural gas down 5%. Semiconductor giant NVIDIA Corporation has been surging in value and could soon be the most valuable company in the world. The strong gains for Nvidia and other Magnificent 7 stocks have helped boost several major stock indexes, but also show significant weighting for a small basket of stocks. The top five holdings in the S&P 500, which is tracked by the SPDR S&P 500 ETF Trust, are Microsoft, Nvidia, Apple, and Amazon.com Inc., which are all Magnificent 7 stocks. Analysts predict Nvidia shares will trade higher in the coming months with strong optimism for new products and continued artificial intelligence growth opportunities. However, the concern for investors could be the high weighting the seven companies have on a composite index that is supposed to represent the overall U.S. stock market. With 500 stocks represented in the SPDR S&P 500 ETF Trust, the fact that the top seven companies make up 31%, means that 493 stocks make up around 69% of the weighting.
NASDAQ:NDXLong
by DEXWireNews
While FED depends on Data NVDA stocks clearly predict Zero RatesNvidia reported another blowout earnings report in its first-quarter results, and its stock is soaring to record highs above $1,000 per share on Thursday. The company reported revenue and profit that surpassed analyst estimates and offered second-quarter revenue guidance that was well ahead of Wall Street's expectations. On top of that, the company announced a 10-for-1 stock split and increased its quarterly dividend by 150% to $0.10 per share. Wall Street analysts were impressed by the results, with a slew of price target increases hitting the tape this Thursday morning. Goldman Sachs (GS): "New products to drive sustained growth in Data Center" ⚡ Analysts at Goldman Sachs pointed out that the company delivered accelerated year-over-year revenue growth, with its Data Center business growing revenue at 427%. JP Morgan (JPM): "Demand continues to outstrip supply into CY25". ⚡ Analysts at JPMorgan said they were impressed that Nvidia is seeing more and more industries participate in the demand for its H100 AI chips. Bank of America (BA): "Now see $50+ EPS power in two years". ⚡ Analysts at Bank of America said Nvidia's first-quarter earnings report suggests a smooth transition to the company's next-generation Blackwell chips, and that's going to lead to massive revenue gains. Wedbush: "AI revolution just getting started" ⚡ Analysts at Wedbush said the "AI gold rush" is just getting started as a "tidal wave" of spending on AI chips hits the entire tech sector. Nonetheless, this story is a little bit another, rather than Goldilocks tales. With more than 25 years of NVDIA shares trading, and an amazing 237000 % profit since NVDA IPO inception in January, 1999, in nowadays it costs approximately as low as 0.20x to S&P500 stock index (SPX equal appr. to 5 (five) NVDA shares in this time). The main technical graph is a differentials exposure between 5 NVDA shares and SP500 index. Well.. there're you see 3 clear cases of NVDA shares advantage over the past 25 years: • Early 2000's when US Interest Rates turned Zero. • 2007-09 when US Interest Rates again turned Zero. • Early 2020's when US Interest Rates once again turned Zero. While FED officials depends on Data, maybe (just maybe) NVDA stocks indeed clearly predict deflationary winds and US Interest Rates at Zero again. Thanks for happy reading. 😎 Cheers, Pandorra
NASDAQ:NVDA
by Pandorra
Buckle Up! Nasdaq Soar on Nvidia's AI Powerhouse ForecastThis analysis examines the potential for continued growth in the Nasdaq-100, fueled by Nvidia's positive earnings outlook. The analysis explores the following key points: * Nvidia's Strong Earnings Projection: Nvidia, a leading player in the artificial intelligence (AI) sector, recently released a robust quarterly forecast, boosting investor confidence in the technology sector and potentially propelling the Nasdaq-100 to record highs. * Market Volatility Expected: The analysis acknowledges the potential for significant price fluctuations following Nvidia's earnings release, as options markets anticipate an 8% move for the stock. This volatility could have a ripple effect on the broader "AI Revolution" trade, which has become a dominant force in the stock market. * Growth Stocks to Consider: The analysis identifies three high-growth stocks with the potential to outperform the Nasdaq-100: Alphabet, Deere & Company, and AeroVironment. Each company is discussed in the context of its specific growth drivers. * AI and Technology Driving Growth: The analysis concludes by reiterating the significant role that AI and technology advancements play in the Nasdaq-100's overall performance. The ongoing innovation by key players like Nvidia, coupled with the positive outlook for companies like Alphabet, Deere, and AeroVironment, positions the Nasdaq-100 for continued growth.
NASDAQ:NDXLong
by signalmastermind
SPX STORYAs you can see, the S&P 500 index closed at a higher price on March 2nd, 2008 than it did on August 1st, 1996. However, it closed at a lower price on March 1st, 2000 than it did on March 2nd, 2008. This means that if you had bought the S&P 500 index on August 1st, 1996, you could have bought it again on March 2nd, 2008 for slightly cheaper. However, if you had bought it on March 1st, 2000, you would have had to wait until February 2013 to see a new market high. The S&P 500 index has seen a strong upward price movement since breaking out of a 13-year consolidation period in February 2013. The index made a new post dot-com high in February 2013, and then went on to make an all-time high of 4818 in January 2022. As of June 2023, the index is trading at 4282. I understand that many people believe the S&P 500 index is in a bubble and that we are just experiencing a bear market rally. However, it is important to consider all possibilities, as the market can be humbling. Investors not too long ago lived through a period of over a decade where they saw no new market highs, but were able to buy stocks at a lower price after 13 years.
SP:SPX
by youknowram
1
🍌🍌 SUPERMICRO — AI INFRASTRUCTURE STOCKS GO BANANA Supermicro is an American company, a major manufacturer of motherboards, cases, power supplies, cooling systems, SAS controllers, Ethernet and InfiniBand. The company specializes in the production of x86-server platforms and various components for servers, workstations and data storage systems. The headquarters is located in San Jose, USA. Founded in 1993. Supermicro, Inc., a provider of end-to-end IT solutions for cloud computing, artificial intelligence/machine learning, storage, and 5G/Edge communications, continues to expand its data center portfolio with NVIDIA end-to-end rack cabinet solutions HGX H100 equipped with liquid cooling systems. Supermicro's advanced liquid cooling technologies help reduce time-to-commissioning, improve performance levels, and reduce data center operating costs while dramatically reducing energy efficiency. It is estimated that when using Supermicro liquid cooling systems (compared to air-cooled data centers), data centers save up to 40% in terms of power costs. In addition, direct cooling costs can be reduced by up to 86% compared to existing data centers. "Supermicro continues to lead the industry by meeting the ever-growing needs for AI systems and modern data centers around the world," said Charles Liang, President and CEO of Supermicro. AI-optimized racks powered by Supermicro's latest product lines, including server product lines from AMD, can be quickly created from standard engineering templates and easily customized to meet unique user requirements. The ultra-modern GPU liquid cooling server includes dual processors from NASDAQ:INTC or NASDAQ:AMD and four or eight interconnected NVIDIA ( NASDAQ:NVDA ) HGX H100 Tensor Core GPUs. The use of liquid cooling systems can reduce the energy consumption of data centers by up to 40%, which in turn leads to lower operating costs. In addition, both systems significantly outperform previous generation NVIDIA HGX GPU-powered solutions, delivering up to 30x performance gains and improved efficiency of today's Transformers with faster connections between GPUs and networks and storage built with PCIe 5.0 standard. The technical picture illustrates the possibility of continued explosive growth in Supermicro shares, which are up more than 160 percent since the beginning of the year.
NASDAQ:SMCI
by Pandorra
17
NASDAQ: Overbought and on a 4H Golden Cross.Nasdaq is almost overbought on the 1D timeframe (RSI = 69.095, MACD = 114.290, ADX = 45.033) and even though it has entered a new long term bullish wave, a short term technical correction is needed. In addition, it has completed the first 4H Golden Cross since November 8th 2023. The index then crossed over the LH trendline. We are already above the new LH. Enter on the next 4H MA50 contact and target the 1.5 Fibonacci extension (TP = 19,250). See how our prior idea has worked out: ## If you like our free content follow our profile to get more daily ideas. ## ## Comments and likes are greatly appreciated. ##
CAPITALCOM:US100Long
by InvestingScope
1
NASDAQ Invalidated the bearish scenario and marching to 19100.Three weeks ago (April 23, see chart below) we called for a relief rally on Nasdaq (NDX) 18000, right when the price was at the bottom of its correction: The Target was the top of the Channel Down, which was the correction pattern and just below the 0.786 Fibonacci retracement level which during the July - October 2023 correction was where the uptrend was rejected and pushed the Channel Down to a Lower Low. Well now this bearish sentiment has been invalidated as the index broke above both the top (Lower Highs trend-line) of the Channel Down, as well as the 0.786 Fib. This gives form to a Channel Up. The 1D RSI sequence is similar with the post October 26 2023 bottom and we might be in a similar situation as the November 07 2023 break-out (ellipse). That bullish break-out topped on the 1.618 Fibonacci extension (blue pattern) before the next short-term pull-back. As a result we formulate our medium-term Target to 19100 (just below the 1.618 Fib ext). ------------------------------------------------------------------------------- ** Please LIKE 👍, FOLLOW ✅, SHARE 🙌 and COMMENT ✍ if you enjoy this idea! Also share your ideas and charts in the comments section below! This is best way to keep it relevant, support us, keep the content here free and allow the idea to reach as many people as possible. ** ------------------------------------------------------------------------------- 💸💸💸💸💸💸 👇 👇 👇 👇 👇 👇
CAPITALCOM:US100Long
by TradingShot
1
Pre-Market Analysis: May 9th, 2024 $ES & $SPYMarket Observations: The S&P 500 futures NYSE:ES and S&P 500 ETF AMEX:SPY have consolidated with low volume over the past two days. Trading Strategy: Given the current range-bound price action, I am not actively seeking trades around the 5200-5210 level. Instead, I am looking for a breakout from this range accompanied by increased volume to establish a directional trend. Bullish Scenario: A sustained breakout above 5210 suggests a potential rally towards 5240. Entry: Long after a pullback that finds support above 5210. Note: Short positions may be considered if weakness emerges around 5210. Bearish Scenario: A sustained break below 5200 could lead to a decline towards 5180 and potentially 5150. Given the recent buying pressure, this decline would likely be swift. Entry: Short positions may be considered, but with limited size due to the potential for quick reversals. Overall: This analysis provides a framework for potential trading opportunities based on the current market conditions. Like and Retweet if you found this helpful! Disclaimer: This information is for educational purposes only and should not be considered financial advice. Please consult with a financial professional before making any investment decisions.
CME_MINI:ES1!
by Quick_Edge_Stocks
Nasdaq's Bearish Outlook: Tactical Approaches for TradersIn assessing the Nasdaq's current market conditions, there emerges a compelling narrative suggesting a potential bearish leg in its trajectory. This notion finds its roots in the recent retest of the 78.6% Fibonacci retracement level, a critical technical threshold renowned for its significance in price action analysis. Concurrently, this retracement is complemented by the manifestation of divergence signals, indicative of a discordance between price action and momentum indicators, thus hinting at underlying weakness in the market's upward momentum. Moreover, the retest of a bearish order block further reinforces this notion, adding another layer of confirmation to the bearish outlook. Such order blocks are often perceived as zones of significant supply or demand, exerting influence on price movements when revisited. In this instance, the revisit of a bearish order block serves to validate the potential for a reversal in price direction. As we delve deeper into our analysis, the stochastic indicator emerges as an additional corroborating factor supporting the envisaged bearish scenario. Currently indicating an overbought condition, the stochastic oscillator suggests a potential exhaustion of buying momentum, paving the way for a reversal in favor of sellers. Furthermore, while the identification of a harmonic pattern formation adds another dimension to our analysis, its significance is viewed through the lens of secondary importance in comparison to the overarching confluence of indicators pointing towards a bearish bias. While harmonic patterns can offer valuable insights into potential price reversals, the primary weight is placed on the alignment of multiple technical factors, each lending credence to the bearish outlook. In essence, the confluence of these technical indications paints a comprehensive picture of the Nasdaq's current market sentiment, leaning decisively towards a bearish bias. As such, our strategy is poised to capitalize on potential downward movements, with careful consideration given to risk management and entry timing amidst evolving market dynamics.
CAPITALCOM:US100Short
by FOREXN1
1
NASDAQ on the most important level that will determine the trendNasdaq (NDX) easily hit our 18000 Target, which we set 2 weeks ago (April 23, see chart below): That was the top of the Channel Down and 0.786 Fibonacci retracement level. As mentioned this is an important Resistance level as during the previous correction of the 1.5 year Channel Up (which bottomed on October 26 2023), the 0.786 Fib was the level that rejected the first upside attempt (on September 01 2023). As a result, we are willing to buy again only if the index closes a 1D candle above the 0.786 Fib, in which case we will target 19950 (the 2.0 Fibonacci extension). Until that happens, we have to consider the probability of a rejection on the 0.786 Fib stronger, thus turn bearish, targeting 17000 (just above Support 1). The risk is low on that trade as we will take the loss the moment a 1D candle gets closed above the 0.786 Fib. ------------------------------------------------------------------------------- ** Please LIKE 👍, FOLLOW ✅, SHARE 🙌 and COMMENT ✍ if you enjoy this idea! Also share your ideas and charts in the comments section below! This is best way to keep it relevant, support us, keep the content here free and allow the idea to reach as many people as possible. ** ------------------------------------------------------------------------------- 💸💸💸💸💸💸 👇 👇 👇 👇 👇 👇
CAPITALCOM:US100
by TradingShot
✅ Daily Market Analysis - 02 MAY 2024Economic events: USA - Initial Jobless Claims Eurozone - HCOB Eurozone Manufacturing PMI (Apr) Eurozone - ECB's Lane Speaks U.S. equity markets saw a partial recovery subsequent to the Federal Reserve's choice to maintain interest rates at their current levels on Wednesday. Additionally, the Fed disclosed intentions to commence a gradual tapering of its balance sheet reduction initiative, commonly referred to as quantitative tightening, beginning in the coming month. As a result, the S&P 500 index made a modest gain of 0.1%, while the NASDAQ Composite index advanced by 0.2%. Furthermore, the Dow Jones Industrial Average exhibited notable strength, surging by 179 points, equivalent to a 0.50% increase. NDX, SPX, and DJI indices daily chart The Federal Reserve opted to maintain its key interest rates within the 5.25% to 5.5% range, signaling a potential prolongation of elevated rates owing to the slower-than-expected progress in addressing inflationary pressures. The Federal Open Market Committee (FOMC) highlighted insufficient headway toward achieving the targeted 2 percent inflation rate in recent months. Nevertheless, the FOMC announced plans to initiate a reduction in its holdings of Treasury securities, commencing in June with a reduction of approximately $25 billion per month from the current pace of $60 billion. This decision follows recent labor market data indicating a slight imbalance, with job openings reaching a three-month low in March. Despite this, April saw private sector job gains exceeding economists' projections. Market focus now shifts to the imminent release of the nonfarm payrolls report scheduled for Friday, with expectations of a robust addition of 243,000 jobs to the U.S. economy in April. In currency markets, the EUR/USD pair continued its upward trajectory on Thursday, propelled by prevailing market optimism favoring risk-sensitive currencies like the Euro. This upbeat sentiment may be attributed in part to Federal Reserve Chairman Jerome Powell's dovish commentary on Wednesday. However, the Eurozone faces challenges due to a comparatively more dovish stance from the European Central Bank compared to the Federal Reserve. Recent inflation data from the Eurozone showed stability in April, aligning with expectations. EUR/USD daily chart Moreover, core inflation witnessed a decline, fueling speculation regarding a potential interest rate reduction by the European Central Bank (ECB) in June. Thursday also marks the release of the final HCOB Manufacturing Purchasing Managers' Index data, with market expectations aligning with preliminary figures. This index serves as a leading indicator, offering insights into business activity within the Eurozone manufacturing sector. In contrast, the Japanese Yen faced notable selling pressure during the Asian session on Thursday, retracting from its over two-week high against the US Dollar observed the preceding day. Initial reactions to rumors of Japanese authorities intervening once again, marking the second intervention this week to support the domestic currency, quickly waned amid expectations of a sustained wide US-Japan rate differential. Furthermore, a generally positive risk sentiment surrounding US equity markets serves as a significant factor undermining the safe-haven appeal of the JPY. USD/JPY daily chart In the early Asian trading hours, the USD/CAD pair persists in its downward trajectory around 1.3730. Late on Wednesday, Bank of Canada Governor Tiff Macklem reaffirmed the central bank's confidence in an ongoing reduction in inflation. Macklem indicated that the BoC is nearing the point of deliberating rate cuts, underscoring that the central bank is not bound to mimic the Federal Reserve's strategies. He emphasized that higher rates in Canada are demonstrating greater efficacy compared to the United States. USD/CAD daily chart Amid mounting speculation among traders, there is growing anticipation that the Bank of Canada may opt for interest rate cuts in June, prompted by Canada's economic deceleration in the initial quarter of this year. Notably, Canada's GDP exhibited a subdued expansion of 0.2% month-on-month in February, a slowdown from the preceding 0.5% figure and below the market's projected 0.3% growth. Additionally, according to S&P Global on Wednesday, the Canadian Manufacturing PMI descended to 49.4 in April and 49.8 in March, falling short of the market consensus of 50.2. Despite lackluster figures from the Australian Bureau of Statistics, including weaker-than-expected Trade Balance and Building Permits data, the Australian Dollar persists in its strengthening trend on Thursday. The AUD/USD pair garners support from the prevailing positive market sentiment, buoyed by dovish remarks issued by Federal Reserve Chairman Jerome Powell on Wednesday. AUD/USD daily chart The ascent of the Australian Dollar finds its roots in the hawkish stance adopted by the Reserve Bank of Australia (RBA), anticipated to uphold elevated interest rates throughout 2024. Additionally, last week's domestic inflation figures surpassing expectations have fueled speculation that the RBA could defer any potential interest rate cuts. Traders are eagerly awaiting the release of several key economic indicators from the United States on Thursday, including weekly Initial Jobless Claims, Nonfarm Productivity, and Factory Orders. These data releases are poised to provide additional clarity regarding the present condition of the US economy.
by FOREXN1
1
APPLE This is why you should not miss this buy opportunity.Apple (AAPL) dived by -18% from the December 14 2023 High and following yet another rejection on its 1D MA50 this week, many turned increasingly skeptical over the stocks future. On this chart however, we examine Apple's ratio against Nasdaq (NDX) and gives a very clear answer. As you can see, the ratio is about to form a Death Cross on the 1W time-frame, with the price attempting a rebound after having been hammered below the 1W MA200 (orange trend-line). In the past 11 years, every time the ratio was below its 1W MA200 (green arc) and on a 1W Death Cross in particular, that was the market bottom and Apple largely outperformed the rest of the index. In fact the minimum it rose by until the next large correction was +53.54% and the maximum +95.31%. In 1W RSI terms, this bottom is very similar to January 2013, when the RSI also got extremely oversold at 20.00. Bottom-line: Apple is most likely expected to outperform the index in the coming years, thus presenting a very rare long-term buy opportunity. ------------------------------------------------------------------------------- ** Please LIKE 👍, FOLLOW ✅, SHARE 🙌 and COMMENT ✍ if you enjoy this idea! Also share your ideas and charts in the comments section below! This is best way to keep it relevant, support us, keep the content here free and allow the idea to reach as many people as possible. ** ------------------------------------------------------------------------------- 💸💸💸💸💸💸 👇 👇 👇 👇 👇 👇
NASDAQ:AAPLLong
by TradingShot
5
NASDAQ One final dip left before it bottoms?Nasdaq (NDX) started the week on a bearish not and is correcting the last 1W candle, only a few hours left before the Fed Rate Decision. This is fundamentally the game changer for stocks, any hint towards cuts in the near future should have a strong positive effect on the markets. Technically though, the long-term Channel Up pattern that started on the December 2022 Low has a base bottom on the 1D MA200 (red trend-line) - 1W MA50 (blue trend-line) Zone. In fact, both corrections/ Bearish Legs of the pattern, hit at least the 0.382 Fibonacci retracement level before finding Support and reversing upwards. The 0.382 Fib is currently at 16800, any negative remarks during Powell's press conference can quickly and effortlessly hit that level. Even the 1W RSI suggests that we might be on a Lower High similar to the week of October 09 2023. Whatever the outcome, those are levels good enough to buy for the long-term as the upside potential is significant and our personal Target is 20500 (top of the Channel Up). ------------------------------------------------------------------------------- ** Please LIKE 👍, FOLLOW ✅, SHARE 🙌 and COMMENT ✍ if you enjoy this idea! Also share your ideas and charts in the comments section below! This is best way to keep it relevant, support us, keep the content here free and allow the idea to reach as many people as possible. ** ------------------------------------------------------------------------------- 💸💸💸💸💸💸 👇 👇 👇 👇 👇 👇
NASDAQ:NDX
by TradingShot
4
✅ Daily Market Analysis - 01 MAY 2024Economic events: USA - ADP Nonfarm Employment Change (Apr) USA - S&P Global US Manufacturing PMI (Apr) USA - ISM Manufacturing PMI (Apr) USA - ISM Manufacturing Prices (Apr) USA - JOLTs Job Openings (Mar) USA - Crude Oil Inventories USA - FOMC Statement USA - Fed Interest Rate Decision USA - FOMC Press Conference On Tuesday, the S&P 500 underwent a decline, terminating its five-month streak of consecutive gains. This downturn was propelled by apprehensions surrounding inflation, ignited by data highlighting wage pressure. Concurrently, this development aligns with the commencement of the Federal Reserve's two-day meeting. The Dow Jones Industrial Average witnessed a decline of 570 points, equating to a 1.1% decrease, while the S&P 500 experienced a 1.5% drop, and the NASDAQ Composite saw a 2% downturn. Particularly noteworthy is the S&P 500's recording of a 3% loss for the month. NDX, SPX, and DJI indices daily chart The escalation in US labor costs throughout the first quarter exceeded expectations, primarily propelled by rising wages and benefits. This development has revived apprehensions regarding inflation, particularly amid a diminishing investor confidence in potential Federal Reserve rate reductions. As per the Employment Cost Index, labor expenses surged by 1.2% in the preceding quarter, following an unrevised 0.9% uptick in the quarter prior. On a year-over-year basis, labor costs climbed by 4.2%. This report emerges following recent data indicating a buildup of price pressures in the initial quarter, amplifying concerns surrounding inflation. The downtrend of EUR/USD persists for the second consecutive day, with the pair hovering around the 1.0650 level during Asian trading hours on Wednesday. Amid European market closures in observance of Labour Day, market participants eagerly anticipate the Federal Reserve's forthcoming policy decision. EUR/USD daily chart Despite the release of robust Eurozone data on Tuesday, the Euro encountered challenges in sustaining its upward trajectory. Notably, Eurozone GDP surpassed expectations, expanding by 0.3% in the first quarter. Moreover, the Harmonized Index of Consumer Prices (HICP) exhibited stable year-over-year growth, meeting anticipated levels. However, the core HICP, excluding food and energy prices, exhibited a softening trend, albeit still surpassing estimates. Investor sentiment remains optimistic regarding the possibility of interest rate cuts by the European Central Bank in June, as a majority of ECB policymakers have signaled their endorsement for such measures. On Tuesday, the Japanese Yen incurred notable losses against its American counterpart, reversing a significant portion of the gains witnessed the previous day, driven by the potential intervention by Japanese authorities. The primary contributor to the JPY's weakness is the substantial interest rate differential between Japan and the United States, a trend expected to persist in the foreseeable future. This, combined with heightened demand for the US Dollar, propelled the USD/JPY pair higher during intraday trading. USD/JPY daily chart Following the publication of the AiG Industry Index on Wednesday, indicating a continued contraction in Australia's private business activity for March, the Australian Dollar remains subdued. Despite this, market sentiment suggests that the Reserve Bank of Australia will maintain its current interest rates of 4.35% in the upcoming meeting scheduled for next week. The Australian Dollar faced additional downward pressure following the release of disappointing Aussie Retail Sales data on Tuesday, raising speculation about its potential impact on the RBA's interest rate stance. However, optimism stemming from higher-than-anticipated domestic inflation figures from the previous week has led to speculation that the central bank might delay any decisions regarding interest rate cuts. AUD/USD daily chart During the early Asian session on Wednesday, the NZD/USD pair faces selling pressure around the 0.5880 level. The New Zealand Dollar depreciates in response to worse-than-expected employment data from New Zealand. NZD/USD daily chart In the first quarter of this year, New Zealand faced a notable increase in its unemployment rate amidst a prolonged recession compounded by high-interest rate conditions. According to Statistics New Zealand's report on Wednesday, the nation's Unemployment Rate rose to 4.3% in Q1 from 4.0% in Q4, surpassing market expectations of 4.2%. Simultaneously, Employment Change figures recorded a decrease of 0.2% in Q1, contrasting with the previous reading's 0.4% rise and falling short of the projected 0.3% increase. The upsurge in the unemployment rate may prompt the Reserve Bank of New Zealand to uphold its elevated rate for an extended duration to counter inflationary pressures. Market sentiment suggests that the RBNZ is inclined to maintain a restrictive Official Cash Rate, with any potential for rate cuts unlikely until 2025. As the Federal Reserve initiates its two-day policy-setting meeting, market consensus leans towards the central bank maintaining its benchmark interest rate within the current range of 5.25%-5.50%, a level sustained since July. Investors are particularly attentive to Federal Reserve Chair Jerome Powell's subsequent remarks following the monetary policy statement. These remarks are expected to carry substantial significance, with investors keen to glean insights into Powell's alignment with the market's less dovish perspective on the rate outlook.
by FOREXN1
1