FTX lacked in their risk focus & the rest is history.That and a CPI miss led to a USD rout

Technical Analysis

RISK

Or lack thereof, led to the demise of the FTX currency exchange last week. That story led to sharply lower digital currencies, including a 92% decline in the FTX token FTT.

From an economic perspective, the US CPI proved to be the binary release that many thought it would be. The subsequent wave sent the USD sharply lower, the stocks soaring and yields lower in the US (the USD is driving the global markets now). And we all thought the wave was going to be the “red wave” when the Republican swept the mid term elections. That was not meant to be, however.

For a preview of the key technical levels in play for the new trading week, and some thoughts on FTX and CPI, view the weekend forex report.

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