Articles
U.S. Treasury auctions off $22 billion of 30 year bonds at a high yield of 4.405%
401823 July 12, 2024 01:14 Forexlive Latest News Market News
-
High-yield
4.405%
versus
4.403%
last
month -
WI
at
the
time
of
the
auction
4.383% -
Tail
+2.2
basis
points
vs
six-month
average
of
-0.9
basis
points -
Bid
to
Cover
2.30X
vs
six
month
average
of
2.42X -
Dealers
15.88%
vs
six-month
average
of
14.9% -
Directs
23.36%
vs
six-month
average
of
17.5% -
Indirects
60.76%
vs
six-month
average
of
67.6%
AUCTION
GRADE:
D+
The
30-year
bond
auction
was
mixed
but
mostly
worse
than
the
six-month
average
of
the
components
The
Bad:
-
Tail
was
2.2
basis
points
above
the
WI
level
at
the
time
of
the
auction -
Bid
to
cover
was
less
than
the
6
-month
average -
international
demand
(indirect)
was
much
lower
than
the
six
month
average
The
Good:
-
Domestic
demand
was
much
stronger
than
the
six-month
average
Overall,
the
grade
has
to
be
less
than
the
average
but
the
domestic
demand
saves
the
day.
Meanwhile,
stocks
remain
under
pressure
with
the
S&P
and
NASDAQ
and
a
fairing
the
worst.
The
S&P
is
down
-51
points
or
-0.91%.
The
NASDAQ
index
is
down
-345
points
or
-1.86%.
The
Dow
industrial
average
is
still
holding
onto
gains
of
20
points
or
0.05%
and
the
Russell
2000
is
soaring
by
67.16
points
or
3.27%.
There
is
a
flow
of
funds
out
of
the
high
flying
tech
stocks
including:
-
Meta
Platforms
-3.86% -
Amazon
-2.70% -
Nvidia
-4.84% -
Google
-2.77% -
Apple
-2.17% -
Microsoft
-2.39% -
Tesla
-6.40%
Mexican Peso holds steady on Banxico minutes, soft US CPI
401821 July 12, 2024 01:14 FXStreet Market News
-
Mexican
Peso
fluctuates
amid
volatile
session
influenced
by
US
data. -
Banxico
minutes
reveal
potential
for
interest
rate
adjustments
as
inflation
is
expected
to
converge
by
Q4
2025. -
US
inflation
data
misses
estimate,
pushing
US
Treasury
yields
and
USDollar
Index
lower. -
Mixed
US
data
and
strong
carry
trade
demand
keeping
Peso
resilient
against
weakening
Greenback.
The
Mexican
Peso
stood
firm
against
the
US
Dollar
after
the
Bank
of
Mexico
(Banxico)
revealed
its
last
meeting
minutes.
Additionally,
US
inflation
data
came
in
softer
than
expected,
opening
the
door
for
the
Fed
to
lower
borrowing
costs.
The
USD/MXN
trades
at
17.83,
virtually
unchanged.
Banxico’s
June
minutes
showed
that
the
board
foresees
an
inflationary
environment
that
may
allow
for
discussing
adjustments
to
interest
rates.
They
acknowledged
that
the
labor
market
remains
robust,
yet
growth
has
shown
signs
of
moderation.
Some
members
project
growth
to
be
lower
than
expected
as
Mexico’s
economic
activity
has
been
weak
since
the
end
of
2023.
Most
policymakers
mentioned
that
inflation
will
converge
toward
the
target
in
the
last
quarter
of
2025.
Across
the
border,
US
Treasury
bond
yields
and
the
Greenback
tanked
as
US
inflation
was
softer
than
expected,
while
the
number
of
Americans
filing
for
unemployment
claims
came
below
estimates
and
the
previous
reading.
The
US
Dollar
Index
(DXY),
which
tracks
the
value
of
a
basket
of
six
currencies
against
the
US
Dollar,
tanks
more
than
0.50%
and
is
down
at
104.41.
The
US
10-year
Treasury
note
is
slipping
more
than
10
basis
points
(bps)
at
4.17%,
a
level
last
seen
on
March
13,
2024.
Mixed
US
data
helped
to
cap
American
currency
losses
against
the
Peso,
which
had
remained
one
of
the
most
sought
carry-trade
currencies.
Daily
digest
market
movers:
Mexican
Peso
hurt
by
Banxico
minutes
-
Banxico’s
board
members
added
that
services
inflation
does
not
show
a
clear
downward
trend,
which
was
one
of
the
reasons
for
keeping
rates
unchanged
at
the
June
meeting. -
They
commented
that
trading
conditions
experienced
significant
disruptions
and
added
that
the
Mexican
Peso
depreciated
considerably. -
Mexico’s
June
inflation
figures
were
higher
than
expected
due
to
a
rise
in
food
prices
when
most
economists
expect
Banxico
to
resume
lowering
interest
rates. -
June
US
Consumer
Price
Index
(CPI)
contracted
-0.1%
MoM,
below
estimates
of
a
0.1%
increase.
Core
CPI
ticked
lower,
down
a
tenth
from
0.2%
in
May,
and
the
consensus
was
0.1%
MoM
in
June. -
In
the
12
months
to
June,
headline
CPI
was
3%,
down
from
3.3%,
and
underlying
inflation
was
below
estimates,
and
the
previous
month’s
3.4%
came
at
3.3%. -
Initial
Jobless
Claims
for
the
week
ending
July
6
missed
the
mark
and
came
in
better
than
the
consensus
of
236K
at
222K,
lower
than
the
previous
reading
of
239K. -
According
to
the
CME
FedWatch
Tool
data,
odds
for
a
September
cut
are
84%,
up
from
72%
on
Wednesday.
Technical
analysis:
Mexican
Peso
edges
higher
but
floats
around
17.80
The
USD/MXN
downtrend
remains
in
play,
though
Thursday’s
price
action
has
seen
some
consolidation
within
the
17.70-17.90
area.
Even
though
momentum
remains
bearish,
the
Relative
Strength
Index
(RSI)
flipped
flat
at
bearish
territory,
hinting
that
sellers
are
taking
a
respite.
In
the
event
of
a
bearish
continuation,
bears
need
to
clear
the
17.70
mark.
Once
surpassed,
the
next
stop
would
be
the
confluence
of
the
December
5
high
and
the
50-day
Simple
Moving
Average
(SMA)
near
17.56/57,
followed
by
the
200-day
SMA
at
17.26.
The
next
floor
level
would
be
the
100-day
SMA
at
17.19.
Conversely,
USD/MXN
buyers
need
to
clear
the
June
24
cycle
low
of
17.87
turned
resistance
before
challenging
the
psychological
18.00
figure.
Further
upside
is
seen
above
the
July
5
high
at
18.19,
followed
by
the
June
28
high
of
18.59,
allowing
buyers
to
challenge
the
YTD
high
of
18.99.
Mexican
Peso
FAQs
The
Mexican
Peso
(MXN)
is
the
most
traded
currency
among
its
Latin
American
peers.
Its
value
is
broadly
determined
by
the
performance
of
the
Mexican
economy,
the
country’s
central
bank’s
policy,
the
amount
of
foreign
investment
in
the
country
and
even
the
levels
of
remittances
sent
by
Mexicans
who
live
abroad,
particularly
in
the
United
States.
Geopolitical
trends
can
also
move
MXN:
for
example,
the
process
of
nearshoring
–
or
the
decision
by
some
firms
to
relocate
manufacturing
capacity
and
supply
chains
closer
to
their
home
countries
–
is
also
seen
as
a
catalyst
for
the
Mexican
currency
as
the
country
is
considered
a
key
manufacturing
hub
in
the
American
continent.
Another
catalyst
for
MXN
is
Oil
prices
as
Mexico
is
a
key
exporter
of
the
commodity.
The
main
objective
of
Mexico’s
central
bank,
also
known
as
Banxico,
is
to
maintain
inflation
at
low
and
stable
levels
(at
or
close
to
its
target
of
3%,
the
midpoint
in
a
tolerance
band
of
between
2%
and
4%).
To
this
end,
the
bank
sets
an
appropriate
level
of
interest
rates.
When
inflation
is
too
high,
Banxico
will
attempt
to
tame
it
by
raising
interest
rates,
making
it
more
expensive
for
households
and
businesses
to
borrow
money,
thus
cooling
demand
and
the
overall
economy.
Higher
interest
rates
are
generally
positive
for
the
Mexican
Peso
(MXN)
as
they
lead
to
higher
yields,
making
the
country
a
more
attractive
place
for
investors.
On
the
contrary,
lower
interest
rates
tend
to
weaken
MXN.
Macroeconomic
data
releases
are
key
to
assess
the
state
of
the
economy
and
can
have
an
impact
on
the
Mexican
Peso
(MXN)
valuation.
A
strong
Mexican
economy,
based
on
high
economic
growth,
low
unemployment
and
high
confidence
is
good
for
MXN.
Not
only
does
it
attract
more
foreign
investment
but
it
may
encourage
the
Bank
of
Mexico
(Banxico)
to
increase
interest
rates,
particularly
if
this
strength
comes
together
with
elevated
inflation.
However,
if
economic
data
is
weak,
MXN
is
likely
to
depreciate.
As
an
emerging-market
currency,
the
Mexican
Peso
(MXN)
tends
to
strive
during
risk-on
periods,
or
when
investors
perceive
that
broader
market
risks
are
low
and
thus
are
eager
to
engage
with
investments
that
carry
a
higher
risk.
Conversely,
MXN
tends
to
weaken
at
times
of
market
turbulence
or
economic
uncertainty
as
investors
tend
to
sell
higher-risk
assets
and
flee
to
the
more-stable
safe
havens.
United States 30-Year Bond Auction: 4.405% vs 4.403%
401820 July 12, 2024 01:14 FXStreet Market News
Information
on
these
pages
contains
forward-looking
statements
that
involve
risks
and
uncertainties.
Markets
and
instruments
profiled
on
this
page
are
for
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only
and
should
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in
any
way
come
across
as
a
recommendation
to
buy
or
sell
in
these
assets.
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should
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your
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research
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does
not
guarantee
that
this
information
is
of
a
timely
nature.
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in
Open
Markets
involves
a
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of
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including
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all
or
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well
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emotional
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the
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investment
advice.
Nvidia down 3%, Russell 2000 up 3%
401819 July 12, 2024 00:40 Forexlive Latest News Market News
Everyone
is
trying
to
make
sense
of
this
market
but
this
looks
like
position-squaring
to
me.
An
extremely
crowded
trade
has
been
to
buy
AI
(i.e.
NVDA)
and
short
rate-sensitive
stocks
(Russell
2000).
That’s
been
a
wonderful
trade
as
the
Russell
2000
languished
and
Nvidia
soared
to
briefly
become
the
most-valuable
stock
in
the
world.
The
trade
has
looked
like
a
blow-off
lately
and
there
is
some
real
angst
creeping
in
around
the
Fed,
inflation
and
growth.
That
may
have
led
to
a
rush
to
the
exits
today.
It
may
also
be
compounded
by
a
rush
into
stocks
that
benefit
from
lower
rates,
many
of
which
are
in
the
Russell
2000.
Russell
2000
daily
Looking
ahead,
I
wonder
if
this
kind
of
turmoil
argues
for
volatility,
which
has
been
depressed.
VIX
daily
Fed’s Daly: One or two rate cuts this year would be more or less the appropriate path
401818 July 12, 2024 00:39 FXStreet Market News
Federal
Reserve
(Fed)
Bank
of
San
Francisco
President
Mary
C.
Daly
acknowledged
improving
inflation
figures
on
Thursday but
warned
that
shelter
inflation
and
labor
remain
sticking
points,
and
that
expectations
of
three
rate
cuts
may
be
an
overreaction.
Key
highlights
Full ArticleThe
economy
looks
to
be
on
a
path
where
one
or
two rate
cuts
this
year
would
be
more
or
less
the
appropriate
path.My
expectation
is
that
inflation
will
come
down
gradually,
the
labor
market
is
gradually
slowing.Recent
inflation
prints
are
a
relief,
but
progress
is
bumpy.It
is
likely
some
policy
adjustments
will
be
warranted.The
labor
market
has
softened
but
is
still
solid.We
are
at
the
point
where
additional
labor
market
slowing
is
more
likely
to
result
in
a
rise
in
unemployment.The
decline
in
super-core
ex-housing
inflation
is
welcome.Shelter
prices
are
coming
down,
but
the
lack
of
supply
means
the
process
is
slower
than
it
has
been
in
history.It’s
a
fairly
big
signal
from
the
Fed
that
so
many
of
us
are
talking
about
the
labor
market.
US Dollar extends losses as soft inflation data confirms market’s September rate cut expectations
401817 July 12, 2024 00:39 FXStreet Market News
-
US
Dollar
loses
momentum
on
decelerating
CPI
figures. -
Markets now
are
more
certain
of
September
cut. -
US
Treasury
yields
fall,
making
traders
lose
interest
in
USD.
The
US
Dollar
measured
by
the
DXY
index
slipped
further
on
Thursday,
mainly
due
to
the
decelerating
inflation
figures
from
the
US
Consumer
Price
Index
(CPI),
which
makes
an
even
better
case
for
a
September
interest
rate
cut
by
the
Federal
Reserve
(Fed).
Though
markets
are
getting
increasingly
confident
about
the
rate
cut,
Fed
officials
remain
cautious
and
have
indicated
that
they
are
not
in
a
hurry
to
implement
changes
without
studying
data-driven
indicators
thoroughly.
Daily
digest
market
movers:
DXY
under
stress
as
inflation
softens
and
markets
expect
a
rate
cut
-
Keeping
with
his
earlier
stance,
Fed
Chair
Powell
reiterated
that
the
Fed’s
job
is
not
yet
done
when
it
comes
to
managing
inflation
and
even
suggested
the
Fed
has
more
work
to
do. -
He
indicated
that
the
confidence
to
lower
rates
based
solely
on
inflation
is
not
sufficient
yet,
but
also
pointed
out
that
the
Fed
doesn’t
need
inflation
to
be
under
2%
before
rate
cuts
begin. -
On
the
data
front,
the
US
Consumer
Price
Index
(CPI)
for
June
reported
a
decline
to
3%
YoY
from
3.3%
in
May
as
per
the
US
Bureau
of
Labor
Statistics
(BLS),
below
the
market’s
expectations.
The
core
measure
rose
by
3.3%
YoY,
lower
than
the
3.4%
expected. -
Amid
continued
signs
of
inflation
softening,
market
participants’
confidence
in
a
potential
rate
cut
in
September
strengthens,
placing
downward
pressure
on
USD.
DXY
technical
outlook:
Negative
outlook
intensifies
as
DXY
loses
100-day
SMA
The
DXY
index
losing
its
10-day
Simple
Moving
Average
(SMA)
has
stirred
up
a
negative
outlook
for
the
USD
with
both
the
Relative
Strength
Index
(RSI)
and
the
Moving
Average
Convergence
Divergence
(MACD)
indicators
swinging
into
negative
trajectory.
The
100-day
SMA
threshold
has
been
breached,
intensifying
the
bearish
tone.
The
next
potential
backstop
for
further
declines
could
be
noted
at
the
200-day
SMA
level,
providing
a
critical
bottom
for
the
market.
US
Dollar
FAQs
The
US
Dollar
(USD)
is
the
official
currency
of
the
United
States
of
America,
and
the
‘de
facto’
currency
of
a
significant
number
of
other
countries
where
it
is
found
in
circulation
alongside
local
notes.
It
is
the
most
heavily
traded
currency
in
the
world,
accounting
for
over
88%
of
all
global
foreign
exchange
turnover,
or
an
average
of
$6.6
trillion
in
transactions
per
day,
according
to
data
from
2022.
Following
the
second
world
war,
the
USD
took
over
from
the
British
Pound
as
the
world’s
reserve
currency.
For
most
of
its
history,
the
US
Dollar
was
backed
by
Gold,
until
the
Bretton
Woods
Agreement
in
1971
when
the
Gold
Standard
went
away.
The
most
important
single
factor
impacting
on
the
value
of
the
US
Dollar
is
monetary
policy,
which
is
shaped
by
the
Federal
Reserve
(Fed).
The
Fed
has
two
mandates:
to
achieve
price
stability
(control
inflation)
and
foster
full
employment.
Its
primary
tool
to
achieve
these
two
goals
is
by
adjusting
interest
rates.
When
prices
are
rising
too
quickly
and
inflation
is
above
the
Fed’s
2%
target,
the
Fed
will
raise
rates,
which
helps
the
USD
value.
When
inflation
falls
below
2%
or
the
Unemployment
Rate
is
too
high,
the
Fed
may
lower
interest
rates,
which
weighs
on
the
Greenback.
In
extreme
situations,
the
Federal
Reserve
can
also
print
more
Dollars
and
enact
quantitative
easing
(QE).
QE
is
the
process
by
which
the
Fed
substantially
increases
the
flow
of
credit
in
a
stuck
financial
system.
It
is
a
non-standard
policy
measure
used
when
credit
has
dried
up
because
banks
will
not
lend
to
each
other
(out
of
the
fear
of
counterparty
default).
It
is
a
last
resort
when
simply
lowering
interest
rates
is
unlikely
to
achieve
the
necessary
result.
It
was
the
Fed’s
weapon
of
choice
to
combat
the
credit
crunch
that
occurred
during
the
Great
Financial
Crisis
in
2008.
It
involves
the
Fed
printing
more
Dollars
and
using
them
to
buy
US
government
bonds
predominantly
from
financial
institutions.
QE
usually
leads
to
a
weaker
US
Dollar.
Quantitative
tightening
(QT)
is
the
reverse
process
whereby
the
Federal
Reserve
stops
buying
bonds
from
financial
institutions
and
does
not
reinvest
the
principal
from
the
bonds
it
holds
maturing
in
new
purchases.
It
is
usually
positive
for
the
US
Dollar.
Tesla plans to delay robotaxi event to October from August
401815 July 12, 2024 00:15 Forexlive Latest News Market News
TSLA
shares
Shares
of
Tesla
are
down
sharply
on
this
headline.
Shares
were
working
on
a
13(!)-day
winning
streak
earlier
today
but
this
should
be
the
end
of
that.
The
initial
event
was
scheduled
for
August
8
but
it
appears
as
though
the
robotaxi
won’t
be
ready.
I
think
one
of
things
driving
the
recent
rally
was
a
belief
that
FSD
was
solved
(or
that
someone
buying
it
knew
it
was).
Interestingly,
Morgan
Stanley
was
out
with
a
note
today
highlighting
that
they
still
hadn’t
received
an
invitation
to
the
August
event.
So
hot
rn.
It’s
true.
Tesla’s
stock
has
been
hot
lately.
But
during
my
run
(jog?)
this
morning
I
was
thinking
that
it’s
just
really
hot
outside…
right
now.
If
you
are
reading
this
somewhere
where
there
is
a
heat
wave
or
heat
advisory
alert
that
has
been
issued,
stop
and
think
for
a
moment
about
all
that
you
have
to
do
today.
Now
imagine
that
the
air
conditioning
went
out.
Whatever
you
thought
you
were
going
to
do,
you’re
probably
not
doing
it
anymore.
Then
think
about
all
the
people
in
Houston
that
lost
power
following
Beryl.
Imagine
what
it
must
feel
like
in
Delhi
(approx.
34
million
people)
when
temps
hit
126.1F
last
May.
It’s
little
wonder
why
the
leader
of
the
world’s
largest
democracy
travelled
to
Novo-Ogaryovo
this
past
Monday
to
give
someone
a
hug.
AI
may
be
very
important.
AC
is
more
important.
In
a
hot
world,
AC
>
AI.
Some
pithy
thoughts
on
Tesla
following
our
most
recent
bull-bear
lunch
on
Wednesday:
-
For
the
first
time
in
memory,
the
majority
of
the
more
than
20
client
lunch
attendees
believe
the
next
$50
move
in
the
stock
is
higher
rather
than
lower
with
a
majority
expecting
the
stock
to
outperform
the
market
through
year-end. -
At
the
same
time,
the
vast
majority
of
attendees
said
they
did
not
own
TSLA
stock
in
their
portfolios
in
any
meaningful
size. -
Just
our
opinion,
but
we
think
this
dichotomy
of
a
market
that
is
prepared
for
the
stock
to
go
higher
vs.
having
low
or
no
exposure
is
related
to
an
acceptance
that
the
stock
is
being
driven
by
momentum
and
other
factors
that
cannot
be
measured
with
any
acceptable
accuracy.
The
struggling
car
business
(90%
of
revenues)
can
be
measured
and
‘tracked.’
The
AI,
robotics,
FSD/robotaxi
and
much
of
the
energy
business
is
seen
as
too
small
to
matter
or
does
not
produce
the
same
quantum
of
weekly/monthly
information
to
be
tracked.
This
makes
it
difficult
for
some
institutions
to
justify
owning
the
stock
in
size. -
Here’s
the
other
thing
about
yesterday’s
lunch
that
I
actually
didn’t
realize
until
one
client
brought
it
to
my
attention
later
that
afternoon.
The
core
auto
business
barely
came
up
at
all.
For
90
minutes,
we
talked
energy
storage,
megapacks,
AI,
FSD,
China,
geopolitics
and
the
8/8
‘robotaxi
day’
(invitation
still
not
received)
and
other
topics.
The
topic
of
cars
was
almost
completely
absent
from
the
discussion.
-
Severe
storms
and
unusual
global
weather
phenomena
(including
heat
waves)
may
be
focusing
investor
attention
on
companies
that
may
be
well
positioned
to
address
climate
and
energy-related
problems. -
Tesla
has
long
been
absent
from
the
broader
market
discussion
about
AI
for
much
of
this
year. -
Tesla
is
a
car
company.
But,
in
our
opinion,
it
is
just
now
starting
to
get
more
institutional
investor
attention
about
its
other
capabilities
including
energy,
manufacturing,
AI
and
robotics.
Cars
are
just
one
of
many
form
factors
of
embodied
AI/robotics. -
Part
of
our
bull
thesis
is
our
belief
that
investors
will
continue
to
appreciate
Tesla’s
ability
to
collect
monumental
amounts
of
data
that
can
be
used
to
improve
its
AI
and
robotics
capabilities.
Over
time,
we
expect
there
to
be
an
entirely
different
industry
classification
of
the
company
as
it
diversifies
beyond
an
‘auto
pure
play’
over
which
time
different
types
of
analysts
(ie
not
auto
analysts)
may
be
more
dominant
in
covering
the
name.
There
is
precedent
here.
Lastly
on
Tesla’s
‘Megafactory’
in
Lathrop
-
The
Lathrop
factory
which
has
40GWh
of
capacity
(10,000
megapacks/year)
can
produce
storage
products
that
could
generate
profit
equivalent
to
as
many
as
1
million
Tesla
vehicles. -
The
Lathrop
factory
sits
just
outside
of
Stockton
in
the
site
of
a
former
JC
Penney
distribution
center.
Check
it
out
on
Google
Maps
and
you
will
see
it’s
right
next
to
an
Ashley
Furniture
warehouse
and
down
the
street
from
an
In-N-Out
Burger
distribution
center.
It’s
around
4.36k
square
feet. -
See
the
relatively
small
size
of
the
Lathrop
factory.
The
Lathrop
facility
packages
Tesla
battery
packs
(shipped
from
Giga
Nevada)
into
shipping
container
sized
battery
modules
combined
with
bi-directional
inverter,
thermal
management
system,
and
AC
main
in
a
single
electronic
system.
The
Lathrop
factory
compares
to
the
10
million
square
foot
Giga
Texas
vehicle
factory
in
Austin. -
See
our
recent
report
where
we
increased
the
value
of
Tesla
Energy
to
$50/share
from
$36
previously
while
reducing
the
value
of
the
core
auto
business
to
$380/share
from
$422/share. -
Investors
have
taken
for
granted
that
the
US
energy
grid
will
be
stable
although
generating
power
equivalent
to
EV
sales.
Given
increasing
demands
from
buildings
and
AI/datacenters,
rising
temperatures
and
stress
to
the
grid,
and
given
that
fewer
accidents
we
are
increasingly
worried
about
the
stress
on
the
grid
and
the
need
for
adoption. -
US
data
center
power
usage
may
be
equivalent
to
the
power
used
by
150
million
electric
cars
by
2030.
We
estimate
a
typical
EV
has
a
distribution
efficiency
of
approximately
4
miles/kWh
by
2030.
MOST
EVs
can
today
achieve
ranges
of
approximately
3-4
miles
per
kWh.
Assuming
a
data
center
has
a
power
usage
effectiveness
of
approximately
1.2
(meaning
a
data
center
uses
1.2kWh
to
deliver
1.0kWh
of
power
to
its
server
racks)
then
500MW
of
data
center
power
usage
at
90%
efficiency
means
the
effective
range
in
TWh
of
power
consumed
by
data
centers
by
2030
can
be
the
equivalent
of
1.8
million
EVs
in
one
year
or
5.0
million
miles
driven
(3-4
miles/kWh
times
150
million
EVs)
versus
approximately
1.0
TWh
today,
or
approximately
3
million
miles.
This
implies
an
effective
range
of
approximately
3
miles/kWh
for
a
typical
EV.
The
IBM
Global
Team
Tech
and
Global
Sustainability
team’s
forecast
of
FY27
data
center
power
usage
of
337
TWh
is
equivalent
to
the
usage
of
112mm
EVs.
…
Of
course
the
pullback
comes
right
after
the
bolded.
h/t
@SawyerMerritt
Copper trades strong for the time being – TDS
401814 July 12, 2024 00:14 FXStreet Market News
The
industrial
metals
complex
remains
in
the
crosshairs
for
Commodity
Trading
Advisors
(CTAs),
TDS
senior
commodity
strategist
Ryan
McKay
notes.
Base
metals
remain
on
demand
“With
the
upcoming
plenum
in
China
gaining
plenty
of
market
focus,
base
metals
have
held
strong
as
stimulus
optimism
gets
baked
in.
However,
our
gauge
of
global
commodity
demand
continues
to
weaken,
while
depressed
premiums
and
surging
inventories
in
the
Middle
Kingdom
argue
against
fundamental
tightness
in Copper.”
“With
still
bloated
money
manager
positioning
on
Comex
and
LME,
the
lack
of
evidence
supporting
current
physical
tightness,
or
a
disappointment
on
potential
Chinese
stimulus,
can
continue
to
see
these
positions
unwind.
Indeed,
speculators
on
the
Shanghai
Futures
Exchange
(SHFE)
hold
only
modest
positions
across
the
base
metals
complex.”
“In
this
sense,
as
upside
momentum
fails
to
manifest,
CTAs
have
turned
into
sellers
of
the
Red
Metal.
However,
funds
could
halt
their
selling
if
prices
move
back
above
$9,760/t,
while
further
downside
toward
$9,142/t
would
be
needed
to
fuel
additional
liquidations.”
EUR/GBP Price Analysis: Continues declining towards next downside target
401812 July 12, 2024 00:14 FXStreet Market News
-
EUR/GBP
is
falling
to
its
next
downside
target
at
the
June
14
low. -
It
is
in
a
short
and
medium
term
downtrend
with
odds
favoring
a
continuation
lower.
EUR/GBP
is
steadily
falling
in
a
short-term
downtrend.
Given
“the
trend
is
your
friend”
it
will
probably
continue
until
it
reaches
its
next
downside
target
at
the
level
of
the
June
14
low
at
0.8398.
EUR/GBP
Daily
Chart
The
medium-term
trend
is
also
bearish
after
the
break
below
the
trendline
in
late
May
decisively
reversed
the
trend
which
had
hitherto
been
sideways.
A
break
below
Thursday’s
low
at
0.8414
would
add
confirmation
of
a
decline
towards
0.8398.
At
that
key
support
level
the
pair
could
potentially
bounce
–
although
it
is
at
risk
of
going
even
lower
after
any
pullback
higher
has
run
its
course.
Gold extends gain to $50, nears all-time record close
401811 July 11, 2024 23:42 Forexlive Latest News Market News
Rate
cuts?
Failing
growth?
Huge
deficits?
Political
instability?
Geopolitical
fears?
Take
your
pick,
gold
has
them
all.
The
week
started
off
with
a
slump
on
data
showing
China
didn’t
add
to
reserves
(at
least
officially)
for
a
second
month
but
that
hasn’t
been
enough
to
derail
the
trade.
Gold
is
up
$51
to
$2422.
With
a
few
more
dollars,
today’s
trade
could
be
the
all-time
high
closing
level.
The
May
record
intraday
high
was
$2449,
which
probably
isn’t
reachable
today
but
is
definitely
in
the
crosshairs
for
the
next
week
or
so.
gold
daily
United States 4-Week Bill Auction: 5.27% vs previous 5.28%
401810 July 11, 2024 23:39 FXStreet Market News
Information
on
these
pages
contains
forward-looking
statements
that
involve
risks
and
uncertainties.
Markets
and
instruments
profiled
on
this
page
are
for
informational
purposes
only
and
should
not
in
any
way
come
across
as
a
recommendation
to
buy
or
sell
in
these
assets.
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should
do
your
own
thorough
research
before
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investment
decisions.
FXStreet
does
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this
information
is
free
from
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or
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misstatements.
It
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not
guarantee
that
this
information
is
of
a
timely
nature.
Investing
in
Open
Markets
involves
a
great
deal
of
risk,
including
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of
all
or
a
portion
of
your
investment,
as
well
as
emotional
distress.
All
risks,
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and
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associated
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investing,
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of
principal,
are
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responsibility.
The
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and
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not
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mentioned
in
the
body
of
the
article,
at
the
time
of
writing,
the
author
has
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position
in
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mentioned
in
this
article
and
no
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with
any
company
mentioned.
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author
has
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advice.
Precious metals start a rally after soft US CPI data – TDS
401809 July 11, 2024 23:39 FXStreet Market News
Precious
metals
rally
started
after
below
expected
US
inflation
data
hit
the
market.
Asian
demand
for
Gold
(XAU/USD)
and
Silver (XAG/USD)
goes
up,
TDS
senior
commodity
strategist
Ryan
McKay
notes.
Asian
demand
is
set
to
remain
strong
“Below
expected
inflation
data
is
compounding
the
precious
metals
rally
after
softer
employment
data
had
already
bolstered
expectations
of
a
September
start
to
the
Federal
Reserve
(Fed)
cutting
cycle.
In
this
sense,
a
key
macro
cohort
that
has
been
on
the
sidelines
thus
far
is
increasingly
likely
to
regain
interest
in Gold.”
“Indeed,
the
first
evidence
of
renewed
interest
is
starting
to
show
as
ETF
positions
continue
to
rise
in
July,
after
June
saw
the
first
monthly
increase
since
May
2023.
Furthermore,
while
Chinese
Gold
reserves
were
flat
for
a
second
consecutive
month,
top
traders
on
the
Shanghai
Futures
Exchange
(SHFE)
have
added
back
to
their
net
positions,
highlighting
Asian
demand
is
set
to
remain
strong.”
“Silver is
also
surging
as
Chinese
interest
has
ramped
up
in
recent
weeks,
with
traders
adding
roughly
+20k
SHFE
lots
to
their
net
position
in
July.”