Marketwatch North America

Daily Insights
August 24, 2023

U.S. Treasury yields are higher in all tenors today, reversing course from the previous two days of trading. Former St. Louis Fed President James Bullard reiterated what will likely be an oft-repeated sentiment at the Fed’s Jackson Hole Summit that starts today: ‘… the probabilities are that we are in a new regime that will be a higher interest-rate regime’ and that ‘inflation is above target today. Core inflation is likely to be sticky and come down rather slowly.’

The U.S. dollar has followed yields higher, gaining vs. the G10 pairs and lifting the dollar index 0.41%. The DXY tested the 103.50 level yesterday after reaching a 2-month high at 103.981 in early trading.

GBP/USD is on the threshold of re-testing support at 1.2600, the 5th test of that level since late June. Despite the recent decline the GBP is still +4.65% vs. the USD during 2023.

USD/JPY is +0.58%, continuing its 2-week sideways range. The USD is +10.01% this year, the dollar’s biggest gain among all major currency pairs.

The CAD has been the dollar’s most steady counterpart this year, -0.07%.

Oil prices are -0.30%, and gasoline -0.56%. Gold is in its 4th daily gain, +0.19% today and +1.63% since last Friday’s close.

Global equities are mixed again in minor gains and losses with investors sidelined prior to headlines from Jackson Hole.

Economic Calendar

USD - Unemployment Claims
All - BRICS Summit
USD - Core Durable Goods Orders m/m
GBP - CBI Realized Sales
USD - Durable Goods Orders m/m
USD - FOMC Member Harker Speaks
All - Jackson Hole Symposium
CAD - Corporate Profits q/q
USD - Natural Gas Storage
GBP - GfK Consumer Confidence
JPY - Tokyo Core CPI y/y
JPY - SPPI y/y

Market Indicators

Currency Pairs
Pair High Low
usd/jpy 145.959 144.617
eur/usd 1.08764 1.08141
gbp/usd 1.27284 1.26262
aud/usd 0.6488 0.64218
usd/cad 1.35874 1.35096
eur/gbp 0.85767 0.85383
usd/mxn 16.8584 16.7667
Equities and Commodities
S&P 500 4435.54
NASDAQ 15077.9
DOW 34499
GOLD 1919.72

This document is for information purposes only and does not constitute any recommendation or solicitation to any person to enter into any transaction or adopt any trading strategy, nor does it constitute any prediction of likely future movements in exchange rates or prices or any representation that any such future movements will not exceed those shown on any illustration. All exchange rates and figures appearing are for illustrative purposes only. You are advised to make your own independent judgment with respect to any matter contained herein.

About Mark Allen


Mark Allen, a Senior Trader at the GPS Capital Markets Salt Lake City office, boasts nearly 30 years’ market trading experience, with a focus on foreign exchange. Having worked with GPS for the last decade, he adeptly manages market risk during New York trading hours. Prior to joining GPS, Mark co-managed a London hedge fund from San Diego and traded for a multinational bank in San Francisco.