Bulls take a breather ahead of API crude inventories report. Middle East tensions and Venezuelan tumbling output support. WTI (oil futures on NYMEX) extended its five-day winning streak and hit fresh two-week tops just shy of the $ 63 mark before entering a phase of bullish consolidation, as the focus now shifts towards the US American Petroleum Institute (API). The barrel of WTI accelerated its last week’s rebound, as the sentiment was underpinned by rising
CME Group’s advanced figures for EUR futures markets saw investors scaled back their open interest positions by around 8K contracts on Monday vs. Friday’s final 609,396 contracts. In the same line, volume decreased sharply for the second straight day, this time by more than 235K contracts – the largest drop so far this month. EUR/USD sidelined ahead of FOMC EUR/USD managed to rebound from recent lows in the mid-1.2200s to levels beyond the key 1.2300
Bloomberg quoted people familiar with the matter, as saying that the latest discussions of the joint technical committee of Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC producers in Vienna concluded that the oil market will see a rebalancing between Q2 and Q3 this year. No further details have been mentioned on the same.
Continuing with his scheduled speech, the newly appointed Bank of Japan (BoJ) Deputy Governor Amamiya was further noted saying that it is necessary for Deputy Gov. to be headed in same direction as BoJ chief on monetary policy and 2% price goal contributes to FX stability in long-term. The comments, however, did little to influence the Japanese Yen, with the USD/JPY pair holding with modest daily gains just below session tops touched in the past hour. 
The euro found some support yesterday following a Reuters report stating that ECB officials have conceded that QE purchases will likely end later this year and are now shifting the debate internally to the future path of rate increases, explains Viraj Patel, Research Analyst at ING. Key Quotes “The report also noted that policymakers are content with market expectations for the first ECB depo rate hike in mid-2019. It’s somewhat ironic that the unnamed sources
EUR/USD The EUR/USD pair has rallied significantly during trading on Monday, as traders came back from the weekend. This is interesting, because I think a lot of traders are starting to question the statement coming out the Federal Reserve this week. If there are signs of a 4th interest rate hike this year, that could be very bullish for the US dollar. However, if we continue with just 3, that is something that people knew
BTC/USD Well, Bitcoin tried to rally during the day on Monday, but as you can see is starting to roll over already. At some point, it looks as if we will continue to see selling pressure every time we rally, so I think that the market will eventually try to break down to a fresh, new low, perhaps reaching towards the February level near the $7000 level. If we break down below there, we could
Following the comments from the Bank of Japan (BoJ) Deputy Governor Amamiya, another newly appointed Deputy Governor Wakatabe is now speaking at the Presser. Main Headlines: Various data show positive impacts of easing. Benefits of monetary policy have not yet spread through to the economy. Will work towards achieving 2% inflation target. Should avoid a premature shift in policy. BoJ shouldn’t hesitate to add easing if needed.
   •  Rising US bond yields offset subdued USD and help gain positive traction.   •  Fading safe-haven demand provides an additional boost.   •  Not so dovish comments by BoJ’s Amamiya/Wakatabe cap gains.  The USD/JPY pair moved past 106.30-40 supply zone and spike to fresh multi-day tops in the last hour, albeit quickly retreated few pips thereafter. Against the backdrop of a subdued US Dollar price action, a goodish pickup in the US Treasury bond yields
USD/JPY The US dollar initially spent most the day trying to rally against the Japanese yen but has struggled to retain any gains that have happened. Ultimately, we turned around to form a shooting star, and I think that shows just how “risk off” the market is starting to become. I believe that the 105.50 level offer support, and I think that the support extends down to the 105 level. If we break down below