• Russia announced yesterday, that will hit any missile trying to hit Syrian ground and target it’s source as well.
• President Trump twitted in response that Russia should get ready because the missiles will be coming and they are new and smart.
• Theresa May seems also to be about to get Cabinet approval today, for the UK to participate in a possible conflict.
• No timetable seems to be laid out, however, clouds of war seem to be drawing near.
• Gold and oil gain as they seem to be feeding on the news. Any further escalation could push prices higher.
- Support: 1.2355(S1), 1.2230(S2), 1.2100(S3)
- Resistance: 1.2495(R1), 1.2680(R2), 1.2885(R3)
All of Fed’s policymakers saw a strengthening economy
• Also, all agreed on gradual rate hikes and a strong majority considers trade retaliation acts as a downside risk.
• The minutes definitely have hawkish elements in them, however, do not clearly provide signals for a 4 rate hike path.
• Overall, we could see the US Dollar strengthening in the long run, as the arguments for a more hawkish stance prevail. Especially considering that the possibility of a possible trade war could be lower.
- Support: 105.55(S1), 104.66(S2), 103.65(S3)
- Resistance: 106.95(R1), 108.30(R2), 109.20(R3)
Today’s other economic highlights
• France: Final CPI (EU Norm.) rate for March, Survey: +1.7% YoY, Prior: +1.7% YoY, 06:45 GMT, could be positive for EUR.
• Sweden: CPI rate for March, Survey: +2.0% YoY, Prior:+1.6% YoY, 07:30 GMT, could support the SEK.
• Eurozone: Industrial Production for February, Survey:+0.1% MoM, Prior:-1.0% MoM, 09:00 GMT, could support EUR ECB’s meeting minutes are published,11:30 GMT.
• US: Initial Jobless Claims, Survey: 230K, Prior: 242K, 11:20 GMT, could support the USD OPEC Monthly report, 11:20 GMT.
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