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This article was written by Eamonn Sheridan at www.forexlive.com.

It’s a packed data agenda ahead.

As background to the Tokyo area inflation data:

• National-level CPI data for this month will follow in about three weeks, it takes longer to gather and collate the national data.
• Tokyo CPI is a sub-index of the national CPI
  It measures the change in prices of goods and services in the Tokyo metropolitan area
  Its considered a leading indicator of national CPI trends because Tokyo is the largest city in Japan and is a major economic hub.
• Historically, Tokyo CPI data has been just slightly higher than national Japan CPI data. The cost of living in Tokyo is a touch higher than in most other parts of Japan. Higher rents, for example.

While the data is going to be watched the focus in Japan right now is on JGB yields (getting the long end under control) and tariff chaos.

• This snapshot from the ForexLive economic data calendar, access it here.
• The times in the left-most column are GMT.
• The numbers in the right-most column are the ‘prior’ (previous month/quarter as the case may be) result. The number in the column next to that, where there is a number, is the consensus median expected.

• I’ve noted data for New Zealand and Australia with text as the similarity of the little flags can sometimes be confusing.

This article was written by Eamonn Sheridan at www.forexlive.com.

Costco and Dell will report earnings after the close:

Costco

• EPS estimate $4.24. That compares to $3.78 in the same period a year ago.
• Revenues are expected at $63.13 billion which compares to 58.52 billion last year

Dell:

• EPS is expected at $1.70. A year ago it was at $1.27.
• Revenues are expected at $23.18 billion. A year ago, revenues were reported at $22.24 billion.
• Server backlog last quarter came in at $9 billion.

This article was written by Greg Michalowski at www.forexlive.com.

A US appeals court has reinstated US president Trumps tariffs during appeal temporarily.

The keyword is “temporarily”. I would assume that is for a formal appeal to take place, but cannot be too sure.

This article was written by Greg Michalowski at www.forexlive.com.

Crude oil futures settle at $60.94. That is down $0.90 or -1.46%.

The high price reached $63.04. The low price was at $60.57 the price is closing below it’s 100 and 200 hour moving averages.

This article was written by Greg Michalowski at www.forexlive.com.

White House is also reporting that Treasury Secretary Bessent and USTR Greer have been in touch with counterparts on tariffs after court ruling.

• They will win the trade battle in court.

This article was written by Greg Michalowski at www.forexlive.com.

White House is saying:

• Israel signed off on cease-fire proposal
• discussions are continuing
• Hamas is not accepted it yet
• Countries intend to continue trade talks despite ruling deeming Liberation Day tariffs void
• US trade policy will continue
• The Pres. has other authorities for tariffs

This article was written by Greg Michalowski at www.forexlive.com.

• High yield 4.194%
• Wi level at the time of the auction 4.216%
• Tail -2.2 basis points. The six month average -0.8 basis points
• Bid to cover 2.69X. The six month average 2.64X
• Direct 23.64% versus the six month average of 21.4%
• Indirects 71.52% vs the six month average of 67.6%.
• Dealers 4.85% vs six month average of 11.0%.

Auction Details and Evaluation

Grade Justification: A

• Why not A+? While all metrics are solid or better-than-average, the bid-to-cover was only modestly above average, not exceptional. A perfect score would typically require blowout figures across all categories.

• Strengths: The deep tail, strong indirect and direct participation, and low dealer retention all point to very strong end-user demand — the market wanted this issuance.

Summary

This was a very strong auction with broad participation and pricing well through the WI. The only reason for not assigning a perfect “A+” is that the bid-to-cover wasn’t exceptionally high — just slightly better than average. Still, an A grade reflects excellent overall execution.

This article was written by Greg Michalowski at www.forexlive.com.

The FT is reporting:

• Germany is reportedly buying a 10% digital tax on global tech giants like Meta and Google.
• German Chancellor Merz’s coalition agreed to evaluate a tax on Internet platforms in its treaty signed in early May.
• The proceeds would be used to strengthen the country’s media landscape.

Is that a tariff on a US business?

This article was written by Greg Michalowski at www.forexlive.com.

• Powell did not discuss expectations from monetary policy
• Powell said his policy will depend on incoming economic information

The full statement from the Fed on the meeting.

May 29, 2025

Statement on Chair Powell’s meeting with the President

For immediate release

At the President’s invitation, Chair Powell met with the President today at the White House to discuss economic developments including for growth, employment, and inflation.

Chair Powell did not discuss his expectations for monetary policy, except to stress that the path of policy will depend entirely on incoming economic information and what that means for the outlook.

Finally, Chair Powell said that he and his colleagues on the FOMC will set monetary policy, as required by law, to support maximum employment and stable prices and will make those decisions based solely on careful, objective, and non-political analysis.

I would have loved to watch that live….

Wonder if Trump will spin things Powell said?

This article was written by Greg Michalowski at www.forexlive.com.

A 2nd US court blocks Trump tariffs in case filed by toy company

• Pusing tariff order for 14 days.

This article was written by Greg Michalowski at www.forexlive.com.

• Crude drawdown -2.795M vs est build of 0.118M
• Gasoline drawdown -2.441M vs estimated drawdown of -0.527M
• Distillates drawdown -0.724M vs estimate of build of 0.481M
• Cushing build of 0.075M vs est of drawdown of -0.457M

This article was written by Greg Michalowski at www.forexlive.com.