Well, the Biden-Trump debate has come and gone and it was rather uninspiring to say the least. Amid Biden's incoherent responses and Trump's falsehoods, it is another reminder of the sad reality that these are two best presidential candidates set to lead the US. It's definitely a question to the world, how did we end up here? At this point, I think The Rock has a fair shot of taking office if he really wanted to. Let's go 'Murica.
Anyway, USD/JPY continues to be in the spotlight when it comes to markets at the moment. The pair is slowly testing the limits of the Japan MOF and BOJ, rising now to 161.00. Once again, the pace of the move also matters but it has been rather one-sided in the last few weeks. So, that might also be a reason for Japanese officials to step in.
In case you missed the earlier news, Kanda was replaced as Japan's top currency diplomat here. But just be aware that it comes amid a normal reshuffle in the finance ministry. So, it's not to say that Tokyo was unhappy about Kanda's ability to handle the pressure. I mean, can you really blame him? He was left with very limited cards to play with from the onset.
Looking to European trading, the focus will switch towards inflation data instead. We'll be getting the June preliminary readings for France, Spain, and Italy. At the balance, they are estimated to show some moderation in price pressures on the month but we'll see. And after that, there is the US PCE price report to follow alongside possible month-end and quarter-end shenanigans.
0600 GMT - UK Q1 final GDP figures
0600 GMT - Germany May import price index
0645 GMT - France June preliminary CPI figures
0700 GMT - Spain June preliminary CPI figures
0700 GMT - Switzerland June KOF leading indicator index
0755 GMT - Germany June unemployment change, rate
0900 GMT - Italy June preliminary CPI figures
That's all for the session ahead. I wish you all the best of days to come and good luck with your trading! Stay safe out there.
