The US dollar is higher, the US yields are higher and the US stocks are higher ahead of the US CPI data. The month-on-month headline number and the core measure for CPI are both expected to show 0.3% rises. With the year on year measures expected at 2.9% versus 2.7% last month, and the core at 3.1% unchanged from last month. US initial jobs claims are expected to remain fairly steady at 235K versus 237K estimate.The rise in the dollar is modest versus the euro at 0.09%. It is more pronounced versus the JPY at 0.34% and the GBP at 0.15%. In the video above, I take a look at the technicals that are driving those currency pairs given the moves to the upside in traded here today. What are the technical bias, the target and the risk defining levels? Be aware be prepared.The ECB rate decision will take place at 8:15 AM this morning. There is not a lot of anxiety given the expectations for unchanged policy. The board is split in the comments about future policy action. The ECB has lowered the main financing rate from 4.5% to the current 2.15%. The EURUSD is below its 200-hour moving average at 1.1693. Stay below moving average keeps the technical bias, more to the downside.Looking at the US debt market to start the North American session, yields are higher by about 2 basis points across the curve:2-year yield 3.554%, +2.1 basis points 5 year yield 3.602%, +2.0 basis points10 year yield 4.051%, +1.9 basis points30 year yield 4.698%, +2.2 basis pointsIn the premarket for the US stock stocks, both the S&P and NASDAQ index are higher implying yet another record close for the day. Yesterday, both as indices closed at record levels.Dow industrial average is up 84 pointsS&P index is up 14.71 pointNASDAQ index is up 71 pointsin other markets Crude oil is trading down $0.68 at $63Gold prices are lower by $-21 at $3619.87. Yesterday the price closed at a new record at $3657.58Silver is down $0.09 at $41.02.Bitcoin is trading up $290 at $114,277 This article was written by Greg Michalowski at investinglive.com. Source: investinglive.com (Read Full Article)

Prior decisionDeposit facility rate 2.00% vs 2.00% expectedPrior 2.00%Main refinancing rate 2.15% vs 2.15% expectedPrior 2.15%Marginal lending facility 2.50%Prior 2.50%Assessment of the inflation outlook is broadly unchangedNew ECB staff projections present a picture of inflation similar to that projected in JuneHeadline inflation seen averaging 2.1% in 2025, 1.7% in 2026 and 1.9% in 2027Core inflation seen averaging 2.4% in 2025, 1.9% in 2026 and 1.8% in 2027The economy is projected to grow by 1.2% in 2025 (previously 0.9%)The growth projection for 2026 is now slightly lower, at 1.0%, while the projection for 2027 is unchanged at 1.3%Will continue to follow a data-dependent and meeting-by-meeting approachECB is not pre-committing to a particular rate pathFull statementAll in all, it reads as a nothing burger but the euro is down with EUR/USD easing a little from 1.1685 to 1.1670 currently. The inflation projections are just marginally changed, with it being 0.1% higher in 2025 and 2026 while 0.1% lower for 2027. Meanwhile, there is a slight downgrade to the 2026 economic projection as well.Besides that, the language in the statement is broadly unchanged with all the key buzzwords still present i.e. data-dependent, meeting-by-meeting approach, no pre-commitment.It’s on to Lagarde’s press conference next. This article was written by Justin Low at investinglive.com. Source: investinglive.com (Read Full Article)