EURUSD is stable. Overview for 19.10.2022

The main currency pair looks stable on Wednesday. The current quote in EURUSD is 0.9830. The day before there was a local increase in risk appetite. On the one hand, spot gas prices in Europe have normalised. This is due to the high level of gas storage capacity (e.g. 97% in Germany) and the warm weather. As long as climatic conditions permit, gas withdrawals have been reduced.

On the other hand, China has refused to publish Q3 GDP statistics and a number of other indicators. The decision probably stems from a desire not to disturb the already emotional capital markets. Overall, this is what is keeping EURUSD "balanced".

Today the Eurozone will present the final inflation calculation for September. The consumer price index is likely to remain at 10.0% y/y, as shown by the initial release. Core inflation was 4.8% y/y. There are no "surprises" in the data, but one can be surprised by how quickly prices are "accelerating".

The US is preparing to release reports on the number of building permits and new home starts. Reactions to the data are unlikely: investors are interested in news of a different order - for example, what the Fed's rate will do next.