Foreign Exchange Market Update

January 21, 2022

European Union (EU): Eurozone Consumer Confidence Falls Less Than Expected

Euro traded at 1.1343 against USD at 9:00 am PST.

Eurozone's consumer confidence weakened for a fourth month in a row in January, but the decline was less than expected, preliminary data from the European Commission showed. The flash consumer confidence index eased to -8.5 from -8.4 in December. The latest reading remained the worst since March, when the score was -10.8. The corresponding indicator for the EU dropped to -10.0 from -9.6 in the previous month. The indicators for both regions are now well below its pre-pandemic level and approaching its long-term average in both areas. 01/21/2022 - 8:04:00 (RTTNews)

United Kingdom (UK): Consumer Sentiment Weakens in January: GfK

British Pound traded at 1.3556 against USD at 9:00 am PST.

UK consumer confidence weakened in January amid concerns over higher inflation and interest rate hikes, survey results from GfK showed. The consumer confidence index fell to -19 in January from -15 in the previous month. All five measures of the index were down in comparison to the December 17th data. The index measuring the past personal financial situation dropped slightly to -6 in January from -5. The outlook for personal financial situation declined 3 points to -2. The assessment of general economic situation logged a marked decline. The gauge for the past general economic situation slid to -47 in January from -39 in the prior month. At the same time, the outlook for general economic conditions worsened to -32 from -24. The major purchase index came in at -10 versus -6 in the previous month. 01/21/2022 - 01:53:00 (RTTNews)

Japan Inflation Climbs 0.8% On Year in December

Japanese Yen traded at 113.80 against USD at 9:00 am PST.

Overall consumer prices in Japan were up 0.8% on year in December. That was in line with expectations and up from 0.6% in November. Core CPI, which excludes volatile food prices, was up an annual 0.5% - unchanged but shy of forecasts for 0.6%. Individually, prices were up for food, housing, fuel, clothing, education and recreation; they were down for furniture, medical care and communications. On a seasonally adjusted monthly basis, overall inflation and core CPI both were up 0.1%. 01/20/2022 - 20:35:00 (RTTNews)