By Chris Becker
The USD fell against the majors last night, on the back of the July CPI print which was lower than expected, sending the yearly print perilously close to the magical 2% number that central bankers dream and nightmare about each night. This sent USDJPY below 100 briefly, while Pound and Euro rocketed higher, helped by much better than expected German ZEW Survey and a slight uptick in inflation in the Mother Country. Oil was buoyed too by continued speculation that a production cut or freeze is coming while gold just sort of sat there.
The Shanghai Composite was roaring higher, but came back a little yesterday, down half a percent to 3110 points, still holding above the previous stalled support level at 3000 points. I’m still targeting a run up to 3400 points here on this breakout, with a tight stop:
