For the bulls, possible resistance levels at $3.370 inside swing bottom from a past dip, and finally at the all-time high of $4.049.
For the bears, possible support levels at $3.180 inside swing support from May 17th top, also at $3.000 where the MA50 stands now ,and finally at $2.880 bottom of 24th May.
It’s a relatively busy day ahead on the US economic calendar. Key stats include Philly FED Manufacturing numbers and the weekly jobless claim figures.
• Shares on Wall Street extended losses on Wednesday following the latest monetary policy update from the Federal Reserve.
The Dow Jones dropped over 300 points on the announcement, standing 303 points in the red at 2:05 pm ET. At the same time, the S&P 500 tumbled 0.79%, while the tech-heavy Nasdaq 100 lost 0.73%.
• The Federal Reserve on Wednesday began closing the door on its pandemic-driven monetary policy as officials projected an accelerated timetable for interest rate increases, opened talks on how to end crisis-era bond-buying, and said the 15-month-old health emergency was no longer a core constraint on U.S. commerce.
Signaling that broad changes in policy may happen sooner than expected, U.S. central bank officials moved their first projected rate increases from 2024 into 2023, with 13 of 18 policymakers foreseeing a "liftoff" in borrowing costs that year and 11 seeing two quarter-percentage-point rate increases.
Seven of the officials see rates moving higher next year, opening the possibility of even more aggressive action.
• Annual inflation in Canada, as measured by the Consumer Price Index (CPI), rose to 3.6% in May from 3.4% in April, the data published by Statistics Canada revealed on Wednesday. This reading came in higher than the market expectation of 3.5%. On a monthly basis, the CPI remained steady at 0.5%.
Moreover, the Bank of Canada's (BoC) Core CPI, which excludes volatile food and energy prices, climbed to 2.8% on a yearly basis from 2.3% and surpassed analysts' estimate of 2.4%.
• U.S. import prices increased more than expected in May as the cost of petroleum products rose and supply chain bottlenecks boosted prices of other goods, adding to signs that inflation was heating up amid a reopening economy.
Import prices rose 1.1% last month after gaining a 0.8% in April, the Labor Department said on Wednesday.
• U.S. oil stockpiles dropped by more than expected in the latest week, the Energy Information Administration said on Wednesday. Crude oil inventories fell 7.355 million barrels last week, compared with analysts' expectations for a draw of 3.29 million barrels.
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• At 12:30 (GMT) CAD ADP Non-Farm Employment Change is expected. This measures the Estimated change in the number of employed people, excluding the farming industry.
• At 12:30 (GMT) US Philly Fed Manufacturing Index figure is due. This is a survey of about 250 manufacturers in the Philadelphia Federal Reserve district which asks respondents to rate the relative level of general business conditions.
• At 12:30 (GMT) US Unemployment Claims is due. This report includes The number of individuals who filed for unemployment insurance for the first time during the past week.
• At 14:30 (GMT) US Energy Information Administration (EIA) Natural Gas Storage is also expected. This reports the change in the number of cubic feet of natural gas held in underground storage during the past week.
US Indices yesterday:
• Dow Jones -0.77%
• S&P 500 -0.54%
• Nasdaq -0.24%
Sources: Investing.com, forexfactory.com, fxstreet.com, breakingthenews.net