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29 Jul 2024

The calm before the storm?

• Quiet start. No major data or news overnight. Major asset classes contained to recent ranges. AUD hovering near its 1-year average, NZD a bit weaker.• Busy few days. Several events looming. In the US there are a few jobs indicators due over coming days, with the US Fed also meeting.• AU CPI. Quarterly inflation due tomorrow. This is a more detailed set of figures. Consensus looking for core inflation to come in above the RBA’s forecasts. It has been a quiet start to the week, unsurprising given the lack of economic data and news. In contrast to Eurozone equities...

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Currency Markets Stabilise as Traders Brace for Heavy Week

Markets are holding steady ahead of a week full of potential volatility landmines: central bankers in Tokyo, Washington and London will deliver rate decisions, four of the ‘magnificent seven’ technology companies – Amazon, Apple, Meta, and Microsoft – will release earnings, the euro area will publish an inflation update, and a critical US non-farm payrolls report will cap things off before the August doldrums set in. The dollar is edging higher, Treasury yields are slumping, and equity futures are setting up for a second day of gains after last week’s steep stock market selloff. Investors remain unwilling to take short...

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