The Stock Market Has Helped Crypto

Bitcoin is up 0.7% at $27.2K, staying within the recovery trend that has been in place since the 12th. However, this recovery is painfully slow, and local resistance at $27.5K, which has been supporting since late March, remains in place.

Yen Sinks to 6.5 Month Low, is 140 Next?

All eyes will be on Japan’s Core CPI release early on Friday. This is a key inflation indicator and could move the dial of the yen. The markets are expecting Core CPI to rise to 3.4% in April, after two straight readings of 3.1%.

Dollar Explodes Higher, But Unlikely to Last

The dollar has strengthened against its major rivals over the past two weeks, gaining 2% against a basket of major currencies. The Dollar Index surpassed 103, a level not seen since the second half of March.

USD/JPY Rally Runs Out of Steam, Japan's Inflation Rises

The Japanese yen is in positive territory today, in what could be the end of a 6-day rally by the US dollar. During that time, the yen has plunged 440 points and hit a six-month low on Thursday. In the European session, USD/JPY is trading at 138.13, down 0.41%.

Will Retail Sales Weigh on Canadian Dollar?

The Canadian consumer is holding tightly to their wallet, which is not all that surprising in the current economic climate. Inflation ticked higher in April, rising from 4.3% to 4.4%. Add in high interest rates and it’s not hard to sympathize with consumers who are struggling with the cost of living.

Chinese Yuan Moves Have Global Implications

This week, the yuan broke above the 7.0000 handle against the dollar and continued to rise. Generally, the Chinese currency isn't a popular trade because it's officially kept within a trading band. The government allowed that band to drift above the technically and psychologically important level for the first time since late last year.

Canada: Retail Sales Decline in March, But February's Reading Revised Up

Retail sales fell by 1.4% month-on-month (m/m) in March in line with the Statistics Canada's advanced estimate. However, February's print was revised up to a flat reading from an originally reported loss of 0.2%.

Will a Slowdown in UK Inflation Change the BoE's Plans?

With the BoE leaving the door open to more rate hikes at its latest gathering, pound traders will probably be sitting on the edge of their seats in anticipation of next week’s inflation numbers, scheduled to be released on Wednesday at 06:00 GMT. However, they could somewhat readjust their positions the day before, as they will get an idea of how the UK economy has been performing this month through the preliminary PMIs. The icing on the cake may be Friday’s retail sales.

Preview of RBNZ May 2023 Monetary Policy Statement

In its February Monetary Policy Statement the Reserve Bank signalled a peak cash rate of 5.50% this year, with the contours of the projection most consistent with getting there in three further steps of 25 basis points. But we've already had signs that the RBNZ is wavering from that path, the most obvious one being the surprise 50 basis point hike at the April policy review.

Week Ahead – Debt Ceiling Drama, Turkish Rate Decision Pre-Presidential Run-off

Wall Street will remain focused on debt ceiling drama, a plethora of Fed speak, flash PMIs, and bank stress. It will be a busy week filled with economic releases, with most of the attention falling on the first look at the May PMI readings, a second look at Q1 GDP/Core PCE, New Home Sales, and the FOMC meeting minutes.