investingLive European markets wrap: Eurozone inflation ticks up in July; USD/JPY intervention again?
<p>Headlines:</p><ul><li><a href="https://investinglive.com/news/how-have-interest-rate-expectations-changed-after-this-week-s-events-0" rel="follow">How have interest rate expectations changed after this week's events?</a></li><li><a href="https://investinglive.com/central-banks/boj-governor-ueda" rel="follow">BOJ governor Ueda says to expect to keep raising interest rates in response to economic, financial conditions</a></li><li><a href="https://investinglive.com/central-banks/boj-governor-ueda-says-will-conduct-monetary-policy-in-a-manner-so-as-to-not-fall-behind-the-curve" rel="follow">BOJ governor Ueda says will conduct monetary policy in a manner so as to not fall behind the curve</a></li><li><a href="https://investinglive.com/central-banks/boj-leaves-rates-unchanged-as-expected-vote-was-8-1" rel="follow">BOJ leaves rates unchanged as expected. Vote was 8-1</a></li><li><a href="https://investinglive.com/central-banks/ecb-s-kocher-decisions-to-be-based-on-incoming-data-to-bring-inflation-back-to-the-2-target" rel="follow">ECB's Kocher: Decisions to be based on incoming data to bring inflation back to the 2% target</a></li><li><a href="https://investinglive.com/news/euro-area-inflation-nudges-up-in-july-keeps-the-pressure-on-the-ecb" rel="follow">Euro area inflation nudges up in July, keeps the pressure on the ECB</a></li><li><a href="https://investinglive.com/news/french-inflation-accelerates-in-july-reaffirming-the-broader-trend-in-the-region" rel="follow">French inflation accelerates in July, reaffirming the broader trend in the region</a></li><li><a href="https://investinglive.com/news/italy-july-preliminary-cpi-xx-vs-2-8-y-y-expected" rel="follow">Italy July preliminary CPI +2.8% vs +2.8% y/y expected</a></li><li><a href="https://investinglive.com/news/german-unemployment-rises-by-slightly-more-than-anticipated-in-july" rel="follow">German unemployment rises by slightly more than anticipated in July</a></li><li><a href="https://investinglive.com/stocks/south-korea-s-kospi-extends-rebound-in-closing-stages-of-the-week-now-up-17-today" rel="follow">South Korea's KOSPI extends rebound in closing stages of the week, now up 17% today</a></li></ul><p>Market update:</p><ul><li>USD and AUD lead, CHF lags on the day</li><li>WTI crude up 0.7% to $84.20</li><li class="text-align-justify" style="text-align: justify;">European indices mostly higher; S&P 500 futures up 0.5%</li><li class="text-align-justify" style="text-align: justify;">US 10-year yields up 1.2 bps to 4.675%</li><li class="text-align-justify" style="text-align: justify;">Gold down 1.1% to $4,057</li><li class="text-align-justify" style="text-align: justify;">Bitcoin down 1.3% to $63,887</li></ul><p></p><p class="text-align-justify" style="text-align: justify;">As we count down to the end of the month, markets are still seeing some volatile swings in ending the week.</p><p class="text-align-justify" style="text-align: justify;">The rebound in tech shares continues after South Korea's benchmark KOSPI index posted near 18% gains today. And that's setting a more positive backdrop for broader markets.</p><p class="text-align-justify" style="text-align: justify;">European stocks are pushing modestly higher with the DAX up 0.7% and CAC 40 up 0.9%, while US futures are posting solid gains as well in looking to wrap up the week. S&P 500 futures are up 0.5% with Nasdaq futures up 1.3% currently. No hyperscaler worries this week is also helping to bolster the mood, for now at least.</p><p class="text-align-justify" style="text-align: justify;">Besides that, we once again had another taste of Japanese yen volatility with a suspected second round of intervention. USD/JPY recovered well from yesterday's drop to settle above 160.00 today before being shot back down to 158.55 in a jiffy during the session. It was a gradual recovery after but one that is quick to see the pair move back up by 0.3% to 160.05 currently.</p><p class="text-align-justify" style="text-align: justify;">At the same time, the dollar is seeing a modest bounce as well with EUR/USD down 0.3% to 1.1495 and USD/CHF up 0.5% to 0.8095 on the day.</p><p class="text-align-justify" style="text-align: justify;">In terms of economic data, we had euro area inflation numbers for July and they were a tad hotter than expected. That will just serve to keep the ECB on their toes ahead of a likely rate hike again in September.</p><p class="text-align-justify" style="text-align: justify;">In other markets, oil prices are settling just a little higher with WTI crude up 0.7% to $84.20 and 10-year Treasury yields also just a touch higher by nearly 2 bps to 4.68%. Meanwhile, gold is seen down 1.1% to $4,057 as the back and forth continues for precious metals.</p><p class="text-align-justify" style="text-align: justify;"></p>
This article was written by Justin Low at investinglive.com.
This article was sourced from Forexlive. WealthWire aggregates financial news for informational purposes only. This does not constitute investment advice.
