Posted at 03 March 2022 / Categories Market Roundups
Market Roundup
•Swiss Feb CPI (YoY) 2.2%,1.7% forecast, 1.6% previous
•Swiss Feb CPI (MoM) 0.7%,0.3% forecast,0.2% previous
•Italian Feb Services PMI 52.8,52.5 forecast,48.5 previous
•French Feb Services PMI 55.5, 57.9 forecast, 53.1 previous
•French Feb Markit Composite PMI 55.5, 57.4 forecast,52.7 previous
•German Feb Services PMI 55.8, 56.6 forecast,52.2 previous
•EU Feb Services PMI 55.5, 55.8 forecast,51.1 previous
•EU Feb Markit Composite PMI 55.5, 55.8 forecast,52.3 previous
•UK Feb Composite PMI 59.9, 60.2 forecast,54.2previous
•UK Feb Services PMI 60.5,60.8 forecast,54.1 previous
•EU Jan PPI (YoY) 30.6%,26.9% forecast ,26.2% previous
•EU Jan Unemployment Rate 6.8%,7.0% forecast,7.0% previous
Looking Ahead Economic Data (GMT)
•13:30 US Continuing Jobless Claims 1,475K forecast,1,476K previous
•13:30 US Jobless Claims 4-Week Avg 236.25K previous
•13:30 US Initial Jobless Claims 226K forecast,232K previous
•13:30 US Unit Labor Costs (QoQ) (Q4)0.3% forecast,0.3% previous
•14:45 US Feb Markit Composite PMI 56.0 forecast,51.1 previous
•14:45 US Feb Services PMI 56.7 forecast,51.2 previous
•15:00 US Feb ISM Non-Manufacturing Business Activity 59.9 previous
•15:00 US Feb ISM Non-Manufacturing Prices 82.3 previous
•15:00 US Feb ISM Non-Manufacturing PMI 61.0 forecast,59.9 previous
•15:00 US Jan Factory Orders (MoM) 0.5% forecast ,-0.4% previous
•15:00 US Feb ISM Non-Manufacturing Employment 52.3 previous
Looking Ahead - Events, Other Releases (GMT)
•16:30 Canada BoC Gov Macklem Speaks
•18:30 UK MPC Member Tenreyro Speaks
•20:30 Bank of Canada Senior Deputy Governor Rogers Speech
•23:30 US FOMC Member Williams Speaks
Fxbeat
EUR/USD: The euro was pinned near 21-month lows versus the dollar on Thursday, as a fresh surge in energy prices heightened worries about the euro area economic outlook. Euro zone inflation hit a record high of 5.8% last month, data on Wednesday showed. The problem for the European Central Bank, which meets next week, is that while the war in Ukraine is likely to boost inflation further, it is a negative for both growth and inflation in the longer term.The single currency was down 0.3% at $1.1086 , holding near Wednesday's low of $1.1058, its lowest since May 2020. It is down 1.6% so far this week and is heading for a fourth consecutive weekly loss against the U.S. dollar. Immediate resistance can be seen at 1.1119(38.2%fib), an upside break can trigger rise towards 1.1169(50%fib).On the downside, immediate support is seen at 1.1058(23.6%fib), a break below could take the pair towards 1.1000 (Psychological level).
GBP/USD: Sterling declined against the dollar on Thursday as traders weighed the impact of Russia’s invasion of Ukraine on monetary policy. The Bank of England remains likely to hike its interest rate for a third consecutive meeting this month but expectations of a rate hike from the European Central Bank by the end of the year have declined since Russia invaded Ukraine a week ago. Against the dollar, sterling was down 0.2% to $1.3375 as the dollar was supported by Wednesday’s comments from Federal Reserve Chair Jerome Powell in which he reiterated his support for a 25 basis point interest rate hike this month. Immediate resistance can be seen at 1.3416(50%fib), an upside break can trigger rise towards 1.3476(61.8%fib).On the downside, immediate support is seen at 1.3346(38.2%fib), a break below could take the pair towards 1.3272(23.6%fib).
USD/CHF: The dollar initially gained but gave up some ground against the Swiss franc on Thursday as worries that Russia's invasion of Ukraine will hurt economic growth kept investors cautious. Havens such as the yen and Swiss franc have been supported, though they dipped overnight with strength from the dollar and riskier currencies. Federal Reserve Chair Jerome Powell said on Wednesday the central bank would begin carefully raising interest rates this month, but was ready to move more aggressively if needed – more or less the scenario traders have priced in. The dollar was down against swiss franc 0.06% at 0.9196 per dollar. Immediate resistance can be seen at 0.9215 (50%fib), an upside break can trigger rise towards 0.9246(61.8% fib).On the downside, immediate support is seen at 0.9183 (38.2% fib), a break below could take the pair towards 0.9145 (23.6%fib).
USD/JPY: The dollar strengthened against yen on Thursday as risk appetite improved after the U.S. Federal Reserve chairman tried to assuage fears about aggressive interest rate hikes. U.S. Federal Reserve Chair Jerome Powell said on Wednesday the central bank would begin "carefully" raising interest rates this month, but was ready to move more aggressively if needed more or less the scenario traders have priced in. The Japanese yen weakened 0.15% at 115.68 per dollar .Strong resistance can be seen at 115.75(23.6%fib), an upside break can trigger rise towards 116.00(Psychological level).On the downside, immediate support is seen at 115.39(50%fib), a break below could take the pair towards 115.27(5DMA).
Equities Recap
European stocks are seen opening flat to slightly lower on Thursday as fighting rages in Ukraine for an eighth day.
At (GMT 13:24 ),UK's benchmark FTSE 100 was last trading down at 0.61 percent, Germany's Dax was down by 0.61 percent, France’s CAC was last up by 0.04 percent.
Commodities Recap
Gold steadied on Thursday as the Russia-Ukraine conflict kept investors on their toes and buoyed demand for safe-haven bullion, countering pressure from an uptick in riskier assets
Spot gold rose 0.3% to $1,931.32 per ounce. U.S. gold futures rose 0.7% to $1,936.00.
Benchmark Brent crude oil prices climbed close to $120 a barrel on Thursday, with Russian oil exports disrupted as traders try to avoid becoming entangled in sanctions.
U.S. West Texas Intermediate crude hit a high of $116.57, its loftiest since 2008, before retreating a little to $113.12, up $2.52 or 2.3%.