Posted at 23 February 2022 / Categories Market Roundups
Market Roundup
• German Mar GfK Consumer Climate -8.1, -6.3 forecast, -6.7 previous
•French Feb Business Survey 112, 112 forecast, 112 previous
•EU Jan CPI (YoY) 5.1%,5.1% forecast, 5.1% previous
•EU Jan CPI (MoM) 0.3%,0.3% forecast, 0.4% previous
•EU Jan Core CPI (YoY) 2.3%,2.3% forecast,2.3% previous
Looking Ahead Economic Data (GMT)
•13:30 Canada Corporate Profits (QoQ) 2.8% previous
•13:55 Redbook (YoY) 15.4% previous
Looking Ahead - Events, Other Releases (GMT)
•16:00 ECB's Schnabel Speaks
•17:00 UK MPC Member Tenreyro Speaks
Fxbeat
EUR/USD: The euro edged higher against the dollar on Wednesday with investors bracing for further developments in the Ukrainian crisis after Western countries announced sanctions against Russia for ordering troops into separatist regions . The single currency staged a slight rebound on Tuesday when it approached its lowest since Feb. 3, the day when the European Central Bank’s hawkish shift boosted its exchange rate. The euro was up 0.1% against the dollar at $1.1340 after hitting its lowest on Tuesday since Feb. 14 at $1.1286.Immediate resistance can be seen at 1.1354(38.2%fib), an upside break can trigger rise towards 1.1362 (61.8%fib).On the downside, immediate support is seen at 1.1333(5DMA), a break below could take the pair towards 1.407 (38.2%fib).
GBP/USD: Sterling edged up on Wednesday as investors waited to see how Russian President Vladimir Putin will respond to Western sanctions over the standoff with Ukraine. British Prime Minister Boris on Monday said he would end all coronavirus restrictions in England including mandatory self-isolation for people with COVID-19.Investors are also waiting for a Bank of England (BoE) Governor Andrew Bailey, Deputy Governor Ben Broadbent and other two BoE members speeches to parliament later in the morning . Sterling rose 0.1% versus the dollar to $1.3606 at 0930 GMT, after touching a six-day low in the previous day. Immediate resistance can be seen at 1.3603(38.2%fib), an upside break can trigger rise towards 1.3651(23.6%fib).On the downside, immediate support is seen at 1.3566(50%fib), a break below could take the pair towards 1.3528(61.8%fib).
USD/CHF: The dollar edged higher against the Swiss franc on Wednesday as dollar regained footing as investors awaiting further developments on the Ukraine crisis, while also preparing for impending policy tightening by major central banks. Western nations on Wednesday imposed new sanctions on Russia for ordering troops into separatist regions of eastern Ukraine and threatened to go further if Moscow launched an all-out invasion of its neighbour. Federal Reserve officials last week quelled what had been rising market expectations for an aggressive initial response to 40-year-high U.S. inflation, signalling that steady interest rate hikes should be enough. Immediate resistance can be seen at 0.9209 (50%fib), an upside break can trigger rise towards 0.9473 (38.2% fib).On the downside, immediate support is seen at 0.9182(38.2% fib), a break below could take the pair towards 0.9150(23.6%fib).
USD/JPY: The dollar strengthened against yen on Wednesday as demand for safe-haven yen waned, with investors waiting to see Russian President Vladimir Putin's next move after he sent troops into separatist regions of Ukraine. The initial push to send soldiers to Donetsk and Luhansk this week triggered coordinated, yet modest sanctions from Western countries, albeit with the prospect of more to come if Moscow seeks to push further into the country. The dollar was last trading 0.32 percent higher versus the Japanese yen at 115.02 .Strong resistance can be seen at 115.22(38.2%fib), an upside break can trigger rise towards 115.62(23.6%fib).On the downside, immediate support is seen at 114.90(50%fib), a break below could take the pair towards 114.49(23.6%fib).
Equities Recap
European bourses rose on Wednesday, supported by some strong earnings reports, while investors took stock of Western sanctions against Moscow over its standoff with Ukraine.
At (GMT 12:00),UK's benchmark FTSE 100 was last trading up at 0.28% percent, Germany's Dax was up by 0.53 % percent, France’s CAC was last up by 0.82% percent.
Commodities Recap
Gold dipped on Wednesday as riskier assets bounced back, with bullion investors awaiting further developments on the Ukraine crisis, while also preparing for impending policy tightening by major central banks.
Spot gold dropped 0.2% to $1,894.82 per ounce by 1035 GMT, retreating from a near nine-month high of $1,913.89 hit on Tuesday. U.S. gold futures shed 0.6% to $1,896.10.
Oil prices fell on Wednesday, retreating from seven-year highs hit the previous day as it became clear that the first wave of U.S. and European sanctions on Russia were unlikely to disrupt oil supplies.
Brent crude was down 59 cents, or 0.6%, to $96.25 a barrel at 1027 GMT, after hitting $99.50 on Tuesday, the highest since September 2014.
U.S. West Texas Intermediate (WTI) crude futures fell 76 cents, or 0.8%, to $91.15 a barrel, after reaching $96 on Tuesday.