Posted at 23 July 2020 / Categories Market Roundups
Market Roundup
• German Aug GfK German Consumer Climate -0.3, -5.0 forecast, -9.6 previous
•French Jul Business Survey 82, 85 forecast, 77 previous
• Sweden June Unemployment Rate 9.8%,9.0% previous
• UK Jul CBI Industrial Trends Orders -46, -38 forecast, -58 previous
Looking Ahead Economic Data
• 12:30 US Continuing Jobless Claims 17,067K forecast, 17,338K previous
• 12:30 US Jobless Claims 4-Week Avg 1,375.00K previous
• 12:30 US Initial Jobless Claims 1,300K forecast, 1,300K previous
• 13:00 Russia Central Bank reserves (USD) 574.2B previous
• 14:00 US Leading Index (MoM) 2.1% forecast, 2.8% previous
• 14:00 EU Consumer Confidence -12.0 forecast, -14.7 previous
• 15:00 US Jul KC Fed Composite Index 1 previous
• 15:00 US Jul KC Fed Manufacturing Index 2 previous
Looking Ahead - Events, Other Releases (GMT)
• No significant events
Fxbeat
EUR/USD: The euro edged higher against dollar on Thursday as hopes the euro bloc will bounce back quickly from the impact of COVID-19 given this week’s recovery fund deal supported euro. The European Parliament has to approve the spending plan over the next several months, before it can become reality and help lift the EU economy from recession. The common currency hit $1.1594 on Thursday, its best since January 2019. Immediate resistance can be seen at 1.1597 (Daily high), an upside break can trigger rise towards 1.1614 (23.6% fib).On the downside, immediate support is seen at 1.1558 (Daily low), a break below could take the pair towards 1.1494 (38.2% fib).
GBP/USD: The British pound declined against dollar on Thursday on the last day of the Brexit negotiations, as traders looked out for news on whether Britain could walk away from the European Union with a deal at the end of the year. Overnight implied volatility gauges showed traders were slightly nervous about possible emerging headlines on Thursday as levels inched to a one-month high of 8.85%. The pound was down 0.1% at $1.2701 and down 0.2% versus the euro at 91.02. Immediate resistance can be seen at 1.2746 (Daily high), an upside break can trigger rise towards 1.2857 (23.6% fib).On the downside, immediate support is seen at 1.2675 (5 DMA), a break below could take the pair towards 1.2614 (38.2 %fib).
USD/CHF: The dollar declined against the Swiss franc on Thursday as heightened Sino-U.S. tensions increased demand for safe haven Swiss franc. The United States gave China until Friday to close its consulate in Houston amid accusations of spying, and President Donald Trump said it was “always possible” other Chinese missions could be ordered to close as well. Immediate resistance can be seen at 0.9750 (12 May high), an upside break can trigger rise towards 0.9922 (Higher BB).On the downside, immediate support is seen at 0.9265 (Daily low), a break below could take the pair towards 0.9200 (Psychological level).
USD/JPY: The dollar was little changed against the Japanese yen on Thursday as investors took a wait-and-see approach to tensions between the two countries. The United States gave China until Friday to close its consulate in Houston following allegations of spying. China has vowed to respond, and the escalating tension between the world's two largest economies. At ( GMT 12:10),greenback edged higher 0.03% versus the Japanese to 107.18 Strong resistance can be seen at 107.25 (21 DMA), an upside break can trigger rise towards 107.50 (50% fib).On the downside, immediate support is seen at 107.07 (5 DMA), a break below could take the pair towards 106.50 (38.2% fib).
Equities Recap
European shares climbed on Thursday, as investors brushed off simmering U.S.-China tensions and focused on better-than-expected earnings reports from companies such as Unilever, Daimler and Publicis.
At (GMT 12:10 ),UK's benchmark FTSE 100 was last trading up at 0.21 percent, Germany's Dax was up by 0.22 percent, France’s CAC was last up by 0.20 percent.
Commodities Recap
Gold rose for a fifth straight session on Thursday, hitting a nine-year high as escalating tensions between the United States and China increased its safe-haven appeal.
Spot gold was up 0.4% to $1,878.76 per ounce at 1141 GMT, having hit its highest since September 2011 at $1,888.26. U.S. gold futures rose 0.6% to $1,876.70.
Oil prices edged lower on Thursday as a weaker dollar, which usually boosts oil prices, was outweighed by concerns about rising U.S. oil inventories and surging coronavirus cases.
Brent crude fell 9 cents, or 0.2%, to $44.20 a barrel by 1113 GMT, while U.S. West Texas Intermediate (WTI) crude eased by 5 cents, or 0.1%, to $41.85.