U.S. CB Consumer Confidence Will Be The Key Focus Today

The US CB Consumer Confidence Will be the Key focus for today

The dollar index retreated slightly at the start of the week. The currency declined from six-month highs as a U.S. debt ceiling agreement increased risk appetite on international markets and diminished the allure of the dollar as a safe haven.

The $31.4 trillion debt ceiling will be suspended until Jan. 1, 2025 thanks to a budget deal that U.S. President Joe Biden reached with House Speaker Kevin McCarthy on Sunday. The agreement is prepared, according to Biden, for a vote in Congress.

The dollar index fell by 0.17% to 104.04, retreating from the high of 104.30.

Bullions had a neutral trade yesterday. Gold prices settled at 59419 and settled up by 0.11%. Silver settled at 71125, with a minor loss of 0.15%.

Both precious metals fell from their all-time highs set earlier this month as investors shifted their allegiance to the dollar following a series of hawkish comments from Fed officials. Due to the uncertainties surrounding a potential US government default, gold saw minimal buying even as mood declined.

Base Metals had a mixed trade yesterday amid fear of a further deterioration in economic conditions this year. The main manufacturing and service sector activity figures from China, the largest copper importer in the world, will also come into focus.

Copper prices settled at 714.30, up by 0.26%, and Zinc prices up by 0.59% and settled at 714.30. Aluminum and Lead prices settled with minor losses.

The assumption that the debt ceiling agreement in the United States, the largest oil consumer in the world, will increase demand helped crude prices bounce back from their day’s low. But fears of further interest rate rises and that OPEC+ will leave output quotas unchanged capped gains.

Brent crude futures were down by 0.14% to $77.05, recovered from the low of $76.20 a barrel. U.S. West Texas Intermediate crude was at $72.99 a barrel, up 0.21%. MCX crude oil rose by 0.53% and settled at 6036, recovering from the day’s low of 5970.

Economic data and events to watch


At 12.30 am- Spanish Flash CPI y/y is to be released. Data is foreseen at 3.6%, lower than 4.1% previously.

At 1.30 pm – M3 Money Supply y/y, data is foreseen at 2.1%, lower than the previous 2.5%.

At 1.30 pm – Private Loans y/y, data is foreseen at 2.7%, lower than the previous 2.9%.

All the above data may have a positive impact on the Euro.


At 6.00 pm- The current Account is set to release. Data is foreseen to have a contraction of 9.9B, against a contraction of 10.6 B.

Above data could have a negative impact on the Canadian dollar.


At 6.30 pm– HPI m/m. Data is foreseen at 0.2%, lower than the previous reading of 0.5%.

At 7.30 pm – The market will react strongly to CB Consumer Confidence. Data is foreseen at 99.1, slightly lower than 101.30.

All the above data could have a negative impact on the dollar.