In right this moment’s Asian session, 21 April, the tumbled consistent with intraday weak spot seen within the US inventory indices futures after the markets reopened from the Good Friday vacation break.
The US Federal Reserve’s independence has come underneath renewed risk from US President Trump once more, when over the weekend it was reported that the US White Home Administration has continued to guage the accessible choices to hunt a removing of Fed Chair Powell earlier than his tenure ends in 2026.
The Japanese yen strengthened to a degree final seen in September final 12 months, the place the shed -1% coupled with the rallying by 1.1% to carry at a 3-year excessive. As well as, the and declined by -0.9% every, respectively, right now of this writing.
Japan’s snapped its prior two classes of features with an intraday lack of 1.1% whereas the Hong Kong inventory market remained shut for the Easter Monday vacation.
These observations recommend that market members on the combination are questioning the US White Home administration’s present insurance policies which will erode the arrogance of holding US property, and such a insecurity might amplify if the long-held independence of the Fed by way of conducting financial coverage is eliminated.
General, the risk to the Fed’s independence had a better market affect than the ECB’s dovish tone following its final Thursday, 17 April.”
The yellow metallic has continued to thrive in such unsure instances, the place Gold () added on to its features with an intraday rally of 1.6% that noticed one other contemporary all-time intraday excessive of $3,385 in right this moment’s Asian session.
Financial Knowledge Releases
Supply: MarketPulse
Fig 1: Key knowledge for right this moment’s Asian mid-session
Chart of the Day – Potential Deceleration of USD/JPY After Minor Bounce
Supply: Buying and selling View
Fig 2: USD/JPY minor development as of 21 Apr 2025
The USD/JPY has continued to plunge after its bearish breakdown from its “Pennant” configuration (thought-about as a minor consolidation inside its ongoing medium-term downtrend part) on final Wednesday, 16 April.
The hourly RSI momentum indicator has hit an excessive oversold studying of 8.2, its lowest degree previously 4 months, which means that USD/JPY might even see an imminent minor corrective bounce earlier than one other leg of impulsive down transfer resurfaces.
Potential minor corrective bounce intermediate resistance to observe might be at 141.74 (former minor swing low of 17 April), and if the 142.70 short-term pivotal resistance shouldn’t be surpassed to the upside, the USD/JPY might face renewed potential draw back strain to show the following intermediate helps at 140.30/140.00 and 139.00/138.70.
On the flip facet, a clearance above 142.70 invalidates the bearish tone to kickstart a possible imply reversion rebound sequence for the following intermediate resistances to return in at 144.10 and 145.10.
