Posted at 24 July 2020 / Categories Market Roundups
Market Roundup
• UK June Retail Sales (MoM) 13.9%, 8.0% forecast, 12.0% previous
• UK June Core Retail Sales (YoY) 1.7%,-3.7% forecast, -9.8% previous
• UK June Core Retail Sales (MoM) 13.5%,7.5% forecast, 10.2% previous
• UK June Retail Sales (YoY) -1.6%,-6.4% forecast, -13.1% previous
• French Jul Markit Composite PMI 57.6 , 53.5 forecast, 51.7previous
• French Jul Services PMI 57.8, 52.3 forecast, 50.7 previous
• French Jul Manufacturing PMI 52.6, 53.2 forecast, 52.3 previous
• German Jul Manufacturing PMI 50.0, 48.0 forecast, 45.2 previous
• German Jul Composite PMI 55.5, 50.3 forecast, 47.0 previous
• German Jul Services PMI 56.7, 50.5 forecast, 47.3 previous
• EU Jul Markit Composite PMI 54.8, 51.1 forecast, 48.5 previous
• EU Jul Manufacturing PMI 51.1, 50.0 forecast, 47.4 previous
• EU Jul Services PMI 55.1, 51.0 forecast, 48.3 previous
• UK Manufacturing PMI 53.6, 52.0 forecast, 50.1 previous
• UK Manufacturing Services PMI 56.6, 51.5 forecast, 47.1 previous
• UK Composite PMI 57.1, 51.1 forecast, 47.7 previous
Looking Ahead-Economic Data (GMT)
•12:30 Belgium Jul NBB Business Climate -14.0 forecast, -22.9 previous
• 13:45 US July Services PMI 51.0 previous, 47.9 previous
• 13:45 US July Markit Composite PMI 47.9 previous
• 13:45 US July Manufacturing PMI 51.5 forecast, 49.8 previous
• 14:00 US June New Home Sales 700K forecast, 676K previous
• 14:00 US New Home Sales (MoM) 4.0%,16.6% previous
• 17:00 U.S. Baker Hughes Oil Rig Count 180 previous
Looking Ahead - Events, Other Releases (GMT)
• No significant events
Fxbeat
EUR/USD: The euro strengthened against dollar on Friday after data showed European business activity bounced back in July. Investors took comfort from purchasing managers’ index (PMI) data which showed euro zone business activity bounced back to growth in July as more parts of the economy that were locked down to curtail the spread of the coronavirus reopened. The euro was at $1.16020, close to its highest level since October 2018, having enjoyed a winning streak for all of July, as the European Union’s passing of a 750 billion-euro recovery fund restored confidence. Immediate resistance can be seen at 1.1606 (23.6% fib), an upside break can trigger rise towards 1.1629 (23rd July high).On the downside, immediate support is seen at 1.1553 (5 DMA), a break below could take the pair towards 1.1491(38.2% fib).
GBP/USD: The pound gained against dollar on Friday after data pointed to a recovery in British retail sales .Retail sales recovered to almost pre-lockdown measures in June, with sales volumes exceeding all forecasts of economists. A survey measuring employers’ confidence in hiring and investing also rose, turning positive for the first time since February. The pound remained gained against a broadly weaker dollar, It was last trading at 1.2759 at 11:45 GMT. Immediate resistance can be seen at 1.2799 (Higher BB), an upside break can trigger rise towards 1.2861 (23.6% fib).On the downside, immediate support is seen at 1.2719 (5 DMA), a break below could take the pair towards 1.2633 (11 DMA).
USD/CHF: The dollar declined against the Swiss franc on Friday as escalation in U.S.-China tensions increased demand for safe haven Swiss franc. Beijing retaliated after the United States ordered the Chinese consulate in Houston to close. China made a tit-for-tat move by ordering the U.S. consulate in Chengdu to shut, stoking fears over relations between the world's two largest economies. At (GMT 12:10), greenback dipped 0.22% versus the Swiss franc to 0.9494. Immediate resistance can be seen at 0.9299 (5 DMA), an upside break can trigger rise towards 0.9343 (9 DMA).On the downside, immediate support is seen at 0.9238 (Lower BB), a break below could take the pair towards 0.9200 (Psychological level).
USD/JPY: The dollar declined against the Japanese yen on Friday as increased political tensions between China and U.S. increased demand for safe haven yen. Sino-U.S. ties have deteriorated over issues ranging from the COVD-19 pandemic, which began in China, to Beijing trade and business practices, its territorial claims in the South China Sea and its clampdown in Hong Kong. The yen was last up 0.6% at 106.25, its highest since June 23, after China's foreign ministry told the U.S. embassy early on Friday to close its consulate in the city of Chengdu, after Washington ordered the closure of the Chinese consulate in Houston. Strong resistance can be seen at 106.82 (5 DMA), an upside break can trigger rise towards 107.00 (Psychological level).On the downside, immediate support is seen at 106.11 (Daily low), a break below could take the pair towards 105.31 (23.6%fib).
Equities Recap
European shares fell on Friday as global sentiment soured after Beijing ordered United States to close its consulate in a Chinese city in retaliation to similar action from Washington.
At (GMT 12:15),UK's benchmark FTSE 100 was last trading down at 1.14 percent, Germany's Dax was down by 1.65 percent, France’s CAC finished was up by 1.21 percent.
Commodities Recap
Gold resumed its march toward $1,900 on Friday as an escalation in the U.S.-China spat added further safe-haven fuel to a rally to a nine-year peak driven by fears over the economic hit from the coronavirus pandemic.
Spot gold was up 0.3% at $1,892.32 per ounce by 1002 GMT, having hit its highest since September 2011 at $1,897.91 on Thursday.U.S. gold futures rose 0.1% to $1,890.90.
Oil prices edged higher on Friday, supported by a weaker dollar, though tensions between the United States and China weighed.
Brent crude was up 26 cents at $43.57 a barrel at 0944 GMT, while U.S. West Texas Intermediate (WTI) crude was up 29 cents at $41.36.