Posted on September 6, 2022 During Monday, the Labor Day holiday in the United States, the price of the EURUSD moved in a range of 0.9878-0.9954 to end up closing the session in European time at levels of 0, 9929 below parity. The interest rate on the 10-year US bond closed slightly higher at 3.22%. The community currency closed almost flat against the Japanese yen at 139.57. The euro depreciated against the pound sterling and the Swiss franc to 0.8623 and 0.9731 respectively at the close. In the United States, non-farm payroll data has been published, which was 315,000, exceeding the estimated figure (300,000) but considerably lower than the figure for the previous period (526,000), reflecting the state of the American economy. The unemployment rate in the month of August rose slightly from 3.5% to 3.7%. In the UK, it has been announced that Liz Truss has won the Tory primary, making her the successor to Boris Johnson as British Prime Minister. The composite PMI for August was 49.6 points below expectations and the preliminary figure (50.9 points). Catherine Mann, a member of the Bank of England, said a swift and powerful transition to tight monetary policy rather than a gradual process is needed to prevent current inflation levels from becoming anchored in the medium-term outlook. In a European key, bets on rate hikes by the European Central Bank are already beginning. In Europe, hawkish voices are increasing within the ECB, proposing a 75bp hike at the institution’s next meeting in September. This is mainly due to the inflation data for the Eurozone for the month of August published last Wednesday, which presented a year-on-year growth of 9.1%, exceeding analysts’ expectations (9%) and the figure for the previous month (8.9 %). In addition to this, it must be taken into account that growth prospects have deteriorated even further and, even so, the members of the Council are showing impassiveness. In Italy, pending the elections. The center-right alliance holds a clear lead in the run-up to the September 25 general election according to polls. The coalition’s manifesto includes a commitment to EU integration and the continuation of the NGEU plan, although there are some anti-EU biases. INFORMATIONTitleEurope prepares for the announcement of the next rate hikeDescriptionDuring Monday, a Labor Day holiday in the United States, the price of the EURUSD moved in a range of 0.9878-0.9954 to end up closing the session in European time at levels of 0.9929 below parity. Author GLOBALCAJA
Europe prepares for the announcement of the next rate hike
