Posted at 07 February 2022 / Categories Market Roundups
Market Roundup
•Swiss Jan Unemployment Rate s.a 2.3%,2.4% forecast,2.4% previous
•Swiss Jan Unemployment Rate n.s.a 2.6%,2.7% forecast,2.6% previous
•UK Halifax House Price Index (YoY) 9.7%,9.8% previous
•German Dec Industrial Production (MoM) -0.3%,0.4% forecast ,-0.2% previous
• UK Halifax House Price Index (MoM) 0.3%,1.1% previous
Looking Ahead Economic Data
•14:00 French 12-Month BTF Auction -0.643% previous
•14:00 French 6-Month BTF Auction-0.660% previous
•14:00 French 3-Month BTF Auction-0.671% previous
• US 6-Month Bill Auction 0.500% previous
• US 3-Month Bill Auction 0.240% previous
• US Dec Consumer Credit 22.00B forecast, 39.99B previous
Looking Ahead - Events, Other Releases (GMT)
•15: 45 ECB President Lagarde Speaks
Fxbeat
EUR/USD: The euro dipped on Monday after a surge last week that followed the hawkish turn from the European Central Bank, as traders turned to the dollar, betting the jump in U.S. jobs created in January could lead to faster U.S. Federal Reserve rate hikes.The European common currency dropped 0.2% to as low as $1.1425, having hit its highest since mid-January on Friday. Those gains had been driven by a hawkish turn from the ECB, which led markets to bring forward the likely timing of euro zone rate rises and sent bond yields sharply higher. Immediate resistance can be seen at 1.1483(23.6% fib), an upside break can trigger rise towards 1.1518 (Higher BB).On the downside, immediate support is seen at 1.1448 (38.2 % fib), a break below could take the pair towards 1.1412 (50% fib).
GBP/USD: Sterling declined against the dollar on Monday after unexpectedly strong U.S. jobs data soothed concerns about the global economy The January payrolls report on Friday showed annual growth in average hourly earnings climbed to 5.7%, from 4.9%, while payrolls for prior months were revised up by 709,000 to radically change the trend in hiring. The U.S. dollar index edged up 0.05% to 95.491 , after shedding 1.8% last week. Immediate resistance can be seen at 1.3547 (5DMA), an upside break can trigger rise towards 1.3571 (38.2%fib).On the downside, immediate support is seen at 1.3494 (50%fib), a break below could take the pair towards 1.3423(61.8%fib).
USD/CHF: The dollar edged lower against the Swiss franc on Tuesday as strong U.S. jobs growth data reinforced expectations for Federal Reserve interest rate hikes, while geopolitical tentions incred demand for safe haven asserts. French President Emmanuel Macron traveled to Moscow seeking commitments from Russian President Vladimir Putin to dial down tensions with Ukraine, which Western leaders fear the Kremlin plans to invade. Investors were also cautious of growing bets on larger Federal Reserve interest rate hike after a data on Friday showed that U.S. created more than expected jobs in January.Immediate resistance can be seen at 0.9279 (23.6 % fib), an upside break can trigger rise towards 0.9331 (Higher BB).On the downside, immediate support is seen at 0.9225 (38.2%fib), a break below could take the pair towards 0.9189 (50% fib ).
USD/JPY: The dollar dipped against the Japanese yen on Monday as fears about a possible Russian invasion of Ukraine. On Monday, the market will keep an eye on President Vladimir Putin's meeting with his French counterpart Emmanuel Macron.Macron is due to visit Moscow after speaking on Sunday with U.S. President Joe Biden in a coordination logic ahead of talks with Putin. Russia has denied planning to invade Ukraine but has tens of thousands of troops near its neighbour's borders, prompting the United States to order about 3,000 extra troops to bolster NATO's eastern flank in Poland and Romania. Strong resistance can be seen at 115.47 (23.6% fib), an upside break can trigger rise towards 115.60 (Higher BB).On the downside, immediate support is seen at 114.84 (38.2%fib), a break below could take the pair towards 114.44 (38.2% fib).
Equities Recap
European shares rebounded on Monday after five straight weeks of falls, as gains in mining stocks and positive earnings reports outweighed worries of a looming policy tightening cycle and geopolitical tensions.
At (GMT 12:22 ),UK's benchmark FTSE 100 was last trading up at 0.54 percent, Germany's Dax was up by 0.34 percent, France’s CAC was up by 0.14 percent.
Commodities Recap
Gold prices rose on Monday as mounting inflationary pressures and concerns around Ukraine kept the precious metal in demand, while investors await more data this week to weigh how aggressively the U.S. Federal Reserve will hike interest rates.
Spot gold rose 0.2% to $1,811 per ounce by 1048 GMT, after hitting its highest since Jan. 27 at $1,814.91 earlier in the session. U.S. gold futures gained 0.2% to $1,811.70.
Oil prices rose on Monday, reversing earlier losses, as investors kept bullish sentiment on expectations that global supply would remain tight as demand picks up and shrugged off signs of progress in the U.S.-Iran nuclear talks.
Brent crude was up 60 cents, or 0.6%,at $93.87 a barrel as of 0152 GMT, after touching its highest since Oct. 3, 2014 of $94.00 earlier. It slid to as low as $92.47 in an early trade.
U.S. West Texas Intermediate crude climbed 25 cents, or 0.3%, to $92.56 a barrel