13 Sep 23. 0852 IST or 0322 GMT or 2322 EST
Good Morning!
Dollar index holds above 104.50 and could test 105+ levels taking USDJPY higher towards 148 or higher and dragging down Euro below 1.0770 to target 1.07 now. Aussie and Pound have turned down again to target 0.6350 and 1.2450-1.24 respectively. EURJPY could be ranged within 159-156 while USDCNY could rise above support at 7.25. USDRUB has recovered its fall and trades above 96 just now. A rise to 98/99 cannot be negated in the near term. EURINR trades above 89 and could move up slowly towards 89.50 or higher. USDINR can trade within 83.10-82.80/70 and needs a clear breakout on either side for further direction clarity. On the charts upside scope is visible till 83.30.
The US Treasury yields remain stable and higher. Looks like the market is waiting to see the US CPI data release today. Broadly the picture is bullish, and the yields can rise more. The German yields sustain higher and are keeping intact our bullish view. Further rise is possible from here. The 10Yr and 5Yr GoI have dipped but supports can limit the downside. View is bullish and there is room to rise further.
Dow Jones seems to lack a strong follow-through buying. DAX is stuck within its 15500-16100 range. Nifty has come down after opening with a wide gap-up but the support at 19900-19850 region is likely to limit the downside. Nikkei has risen back but could face rejections from 33000. Shanghai is bearish while it remains below the resistance at 3150.
Brent and WTI have risen well and looks bullish to target $95 and $90 respectively in the near term. Gold has broken below the lower end of the 1940-1960 range and is likely to fall further from here. Silver remains stuck within 23-23.50 range. Copper has fallen back, failing to break above 3.80. Natural gas has risen sharply above 2.70 and has room to move up further towards 3.0. The outcome of US CPI data today would be crucial to watch as it could bring in volatility in the market.
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