News

Europe Roundup: Sterling inches higher after positive UK sales data, European stocks rise, Gold eases, Oil heads for weekly fall on Iranian oil hopes-February 18th,2022

Posted at 18 February 2022 / Categories Market Roundups


Market Roundup

•UK Jan Retail Sales (MoM) 1.9%,1.0% forecast,-3.7% previous

•UK Jan Core Retail Sales (YoY) 7.2%,7.9% forecast,-3.0% previous

•UK Jan Retail Sales (YoY) 9.1%  ,8.7% forecast,-0.9%previous

•French Jan CPI (MoM)  0.3%,0.3% forecast, 0.2%previous

•French Jan HICP (YoY)  3.3%,3.3%forecast,3.3% previous

•French Jan HICP (MoM) 0.2%,0.1% forecast 0.1%previous

•Canada Jan New Housing Price Index (MoM)  0.9%,0.2% previous

•Canada Dec Retail Sales (MoM) -1.8%, -2.1% forecast,0.7%previous

•Canada Dec Core Retail Sales (MoM) -2.5%, -2.0%forecast, 1.1% previous

Looking Ahead Economic Data (GMT)

•15:00 US Jan Existing Home Sales  6.10M forecast,6.18M previous

•15:00 US Jan Existing Home Sales (MoM)  -1.0% forecast,-4.6% previous

Looking Ahead - Events, Other Releases (GMT)

•15:15 US Chicago Fed President Evans Speaks

•15:45 US Fed Waller Speaks

•16:00 US Fed Monetary Policy Report

•16:00 US FOMC Member Williams Speaks

•18:30 US FOMC Member Brainard Speaks

Fxbeat

EUR/USD: The euro edged lower against dollar on Friday as investors pinned their hopes on high-level diplomacy next week to avoid a Russian invasion of Ukraine. U.S. Secretary of State Antony Blinken agreed to a meeting with Russia's foreign minister Sergei Lavrov, raising the prospect of ending the standoff over Ukraine. Currencies have been hit by the crisis, with a few reports of easing tensions breathing some life back into geopolitical trade. The euro edged down 0.08% on the day at $1.1348.Immediate resistance can be seen at 1.1395(11DMA), an upside break can trigger rise towards 1.1412 (23.6%fib).On the downside, immediate support is seen at 1.1348(38.2%fib), a break below could take the pair towards 1.1298 (50%fib).

GBP/USD: Sterling edged higher versus the dollar on Friday as sterling was helped by better-than-expected UK retail sales numbers. The flat start comes despite positive UK retail sales data published Friday, showing a stronger than expected bounce.Sales volumes in the UK in January rose 1.9% from the previous month, surpassing forecasts of 1.2%, as consumers began to return to more normal buying behaviours post-pandemic, reversing some of the 4% drop seen in December 2021.Sterling rose 0.1% versus the dollar, to $1.3596.Immediate resistance can be seen at 1.3616(38.2%fib), an upside break can trigger rise towards 1.3673(Higher BB).On the downside, immediate support is seen at 1.3549(11DMA), a break below could take the pair towards 1.3533(50%fib).

USD/CHF: The dollar strengthened against the Swiss franc on Friday buoyed by hopes of a solution to the standoff between Moscow and the West over Ukraine. Some risk appetite returned to markets after the U.S. State Department said that Secretary of State Antony Blinken agreed to a meeting with Russian foreign minister Sergei Lavrov next week, provided Russia does not invade Ukraine. The dollar   gained 0.2% on the franc on Friday to 0.9216 francs. Immediate resistance can be seen at 0.9233(50%fib), an upside break can trigger rise towards 0.9256 (61.8% fib).On the downside, immediate support is seen at 0.9209 (38.2% fib), a break below could take the pair towards 0.9172 (23.6%fib).

USD/JPY: The dollar strengthened against yen on Friday as investors took comfort from a plan to hold talks between the United States and Russia over the crisis in Ukraine.  Sentiment improved after news late on Thursday that U.S. Secretary of State Antony Blinken had accepted an invitation to meet with Russian Foreign Minister Sergei Lavrov late next week provided Russia does not invade Ukraine.This followed a jittery Thursday when Kyiv's forces and pro-Russian separatists exchanged fire. The dollar rose 0.11% on the yen , reaching as high as 115.28 yen, having touched a two-week low in early Friday trading. Strong resistance can be seen at 115.15(50%fib), an upside break can trigger rise towards 115.43(61.8%fib).On the downside, immediate support is seen at 114.83(38.2%fib), a break below could take the pair towards 114.42(23.6%fib).

Equities Recap

European shares edged lower on Friday investors hoped for a diplomatic breakthrough next week to ease Russia-Ukraine tensions.

At (GMT 14:19 ),UK's benchmark FTSE 100 was last trading up at 0.12 percent, Germany's Dax was down  by 1.09 percent, France’s CAC finished was down by 0.21 percent.

Commodities Recap

Gold retreated slightly from a key $1,900 level on Friday as a potential Russia-U.S. meeting cooled some nerves about an escalation in the Ukraine conflict, but the recent rally set bullion up for a third straight weekly gain.

Spot gold was down 0.3% at $1,892.27 per ounce by 1238 GMT, after earlier touching its highest since June 2021 at $1,902.22, en route to a weekly gain of about 1.6%.U.S. gold futures fell 0.5% to $1,893.30.

Oil prices extended losses on Friday and were heading for a weekly fall as the prospect of increased Iranian oil exports eclipsed fears of potential supply disruption resulting from the Russia-Ukraine crisis.

Brent crude futures fell $1.54, or 1.6%, to $91.43 a barrel by 1236 GMT, extending a 1.9% drop from the previous session.

U.S. West Texas Intermediate (WTI) crude futures shed $1.58, or 1.7%, to $90.18 a barrel after sliding 2% on Thursday.


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