Important events today:

14:00 UTC – US: Bank of England interest rate decision.

The United States is to publish a release on Servant Business Activity today. A sharp increase in inflation has a negative impact on many sectors of the American economy. The service industry is facing a drop in consumer demand as people are forced to spend a lot of money on food and energy.

Against this background, I am waiting for the release of weak data, which may provoke another wave of sales in the US stock market, which in turn will lead to a fall in USDJPY, since assets are historically correlated with each other. Another negative signal for the US stock market is the fall in the yield spread of US 2-year and 10-year Treasury bonds. The spread, as in April, again went into the negative area, which in the past has always been negatively perceived by investors in the stock market.

Recommendations: Selling 135.55/136.00 with a TP of 134.88.