Fed Rate Hike Probability Rises to 61% After PPI

The rise in the probability of a Fed rate hike to 61% after the PPI may suppress risk appetite and create downward pressure on the index. The current technical picture is already weak: the price is below the 20- and 50-day moving averages, and MACD is negative and below its signal line. Although RSI at 32.7 is approaching oversold territory, this may limit short-term rebound buying. With the rate hike expectation, selling pressure is likely to continue and the 7600 support level is likely to be tested. However, oversold conditions may limit sharp declines, so a cautious downward outlook prevails.

The rise in the probability of a Fed rate hike to 61% after the PPI could create near-term downward pressure on the NDX. Technical indicators are already weak: price is below the SMA20 and SMA50, RSI at 38 is weak but not oversold, and MACD is negative and below its signal line. Rate hike expectations could have a negative impact on growth stocks. In the 1-3 day outlook, downside risk may persist, but low RSI levels could lead to limited buying interest.

The rise in the probability of a Fed rate hike to 61% after the PPI is a supportive development for the DXY in the short term. Technical indicators already point to a moderate upward trend: the price is above the SMA20 and SMA50, the RSI is at 56 in neutral-positive territory, and the MACD is above its signal line. This news could reinforce the existing upward momentum and trigger a move toward the 99 level. However, it is prudent to be cautious due to the rate hike expectation being fully priced in and data-dependent volatility. In the 1-3 day outlook, the upward bias remains, but with limited confidence.

The rise in the probability of a Fed rate hike to 61% after the PPI is a negative factor for gold prices. GLD's last close at 4371.255 shows a 0.69% decline in 24 hours, and the RSI at 41.2 indicates weak momentum. The MACD is in negative territory and below the signal line, suggesting that downward pressure may continue. However, the fact that the price is well above the SMA20 and SMA50 (403 levels) is noteworthy; this points to data inconsistency and calls for caution. In the short term, selling pressure on gold may persist due to rate hike expectations, but one should not be overly assertive.