Posted at 10 March 2022 / Categories Market Roundups
Market Roundup
•Brazil Jan Industrial Production (YoY) -7.2%-6.0%forecast,-5.0% previous
•US Jan JOLTs Job Openings 11.263M, 10.925M forecast,10.925M previous
•US Cushing Crude Oil Inventories -0.585M ,-0.972M previous
•US Crude Oil Inventories -1.863M,-0.657M forecast -2.597M previous
•US Gasoline Inventories -1.405M, -2.105M forecast,-0.468M previous
Looking Ahead Economic Data(GMT)
•00:30 Australia Building Approvals (MoM)-27.9% forecast,8.2% previous
•00:30 Australia Private House Approvals-17.5% forecast, -1.8% previous
Looking Ahead - Events, Other Releases (GMT)
•No events ahead
Currency Summaries
EUR/USD: The euro gained more than 1.5% against the dollar on Wednesday as risk appetite returned to financial markets and energy and commodity prices eased from recent peaks that were driven by Russia's invasion of Ukraine and the Western sanctions imposed in response. The European Central Bank meets on Thursday but amid the specter of stagflation, money markets expect policymakers to delay rate hikes until late in the year. After touching a 22-month low on Monday of $1.0806, the euro was last at $1.1071 , up 1.57% on the day. Immediate resistance can be seen at 1.0091(50%fib), an upside break can trigger rise towards 1.1171(61.8%fib).On the downside, immediate support is seen at 1.0043(9DMA), a break below could take the pair towards 1.1003 (38.2%fib).
GBP/USD: The British pound rebounded against the U.S. dollar on Wednesday as a drop in oil prices and an upswing in sentiment pushed the greenback rally triggered by Russia’s invasion of Ukraine into reverse. The pound was up 0.48% at $1.3184while the dollar index lost over 1% against its main currency rivals .ion of Ukraine into reverse. A two-day summit of European leaders is scheduled Thursday and Friday in Versailles, outside Paris. Immediate resistance can be seen at 1.3222(50%fib), an upside break can trigger rise towards 1.3277(9DMA).On the downside, immediate support is seen at 1.3159(38.2%fib), a break below could take the pair towards 1.3079 (23.6%fib).
USD/CAD: The Canadian dollar strengthened against its U.S. counterpart on Wednesday as global equity markets rallied after they were pressured by Russia's invasion of Ukraine and the price of oil pulled back from a 14-year high. U.S. stocks surged, rebounding from several days of declines as oil prices pulled back sharply and investors gauged developments in the Ukraine crisis. The loonie was up 0.5% at 1.2810 to the greenback, after declines in the previous four sessions. It traded in a range of 1.2804 to 1.2894. On Tuesday, it touched its weakest intraday level since Dec. 22 at 1.2901 .Immediate resistance can be seen at 1.2854(38.2%fib), an upside break can trigger rise towards 1.2925 (23.6%fib).On the downside, immediate support is seen at 1.2800 (50%fibl), a break below could take the pair towards 1.2746(61.8%fib).
USD/JPY: The dollar strengthened against yen on Wednesday as Ukraine and Russia looked to resume diplomatic talks. Russia's foreign minister Sergei Lavrov arrived in Turkey ahead of planned talks on Thursday with his Ukrainian counterpart Dmytro Kuleba for what will be the first meeting between the two since Russia invaded Ukraine two weeks ago. The dollar has beeen frantically sought since the Russian invasion of Ukraine are coming in for corrections, accentuated by reports the EU will ramp up joint debt issuance to offset the impact of the crisis and to fund better energy and security efforts.The dollar was last trading 0.44 percent higher versus the Japanese yen at 115.91 .Strong resistance can be seen at 115.92(23.6%fib), an upside break can trigger rise towards 116.15(Higher BB).On the downside, immediate support is seen at 115.43(38.2%fib), a break below could take the pair towards 115.31(9DMA).
Equities Recap
European stocks rebounded from recent sharp losses and closed on a high note on Wednesday as commodity prices fell, and traders indulged in some hectic bargain hunting across the board.
UK's benchmark FTSE 100 closed up by 3.25% percent, Germany's Dax ended up by 7.92% percent, France’s CAC finished the day up by 7.13% percent.
U.S. stocks surged on Wednesday led by financial and tech shares, rebounding from several down days as oil prices pulled back sharply after fanning inflationary fears and investors gauged developments in the Ukraine crisis.
Dow Jones closed down by 2.00% percent, S&P 500 closed up by 2.57% percent, Nasdaq settled up by 3.59% percent.
Treasuries Recap
The benchmark U.S. 10-year Treasury yield rose for a third straight day on Wednesday as concerns over rising prices persisted a day ahead of a report on inflation even as oil prices plunged.
The yield on 10-year Treasury notes was up 7.3 basis points at 1.944% after touching 1.95%, its highest level since Feb. 25. The three-day streak of gains in the yield is the longest in a month.
Commodities Recap
Gold shed over 3% On Wednesday as a retreat in oil prices helped riskier assets rebound after sharp declines spurred by the Ukraine war.
Spot gold fell 3.3% to $1,983.96 per ounce by 13:54 ET (1854 GMT), snapping a rally that took it near the August 2020 all-time high. U.S. gold futures settled down 2.7% at $1,988.20.
Oil prices fell by more than 12% as Ukraine and Russia looked to resume diplomatic talks and the United Arab Emirates said it supports hiking oil output to ease mayhem in energy markets.
Brent crude futures settled down $16.84, or 13.2%, at $111.14 a barrel, their biggest one-day decline since April 21, 2020. U.S. crude futures ended down $15.44, or 12.5%, at $108.70