Posted at 16 October 2020 / Categories Market Roundups
Market Roundup
•Italian Sep Car Registration (YoY) 9.5%,-0.4% previous
•Italian Sep Car Registration (MoM) 75.8%,-35.0% previous
•UK Sep Car Registration (YoY) -4.4%,-5.8% previous
•UK Sep Car Registration (MoM) 276.1%,-50.1% previous
•French Sep Car Registration (MoM) 62.4%,-42.1% previous
•German Sep Car Registration (YoY) 8.4% , -20.0% previous
•German Sep Car Registration (MoM) 5.6% , -20.3% previous
•Italian Sep HICP (MoM) 0.9%,1.0%forecast, 1.0% previous
•Italian Sep CPI (MoM) -0.7%,-0.6% forecast, -0.6% previous
•Italian Sep CPI (MoM) -0.7%,-0.6% forecast, -0.6% previous
•EU Sep CPI (MoM) 0.1%,0.1% forecast, -0.4% previous
• EU Sep CPI (YoY) -0.3%, -0.3% forecast, -0.3% previous
• EU Sep Core CPI (YoY) 0.2%,0.2% forecast, 0.2% previous
• EU Sep Core CPI (MoM) 0.2%, 0.2% forecast, 0.2% previous
• EU Sep HICP ex Energy & Food (YoY) 0.4%,0.4% forecast, 0.4% previous
• Italian Aug Trade Balance 3.928B, 9.694B previous
•Italian Aug Trade Balance EU 0.35B, 3.01B previous
•Canada Aug Foreign Securities Purchases by Canadians 5.74B, 1.29B previous
•Canada Aug Foreign Securities Purchases 15.50B, -8.52B previous
•US Sep Retail Sales Ex Gas/Autos (MoM) 1.5% 0.7% previous
•US Sep Retail Sales (MoM) 1.9%,0.7% forecast, 0.6% previous
•US Sep Retail Sales (YoY) 5.36%, 2.57% previous
•US Sep Core Retail Sales (MoM) 1.5%%, 0.5% forecast, 0.7% previous
•Canada Aug Manufacturing Sales (MoM) -2.0% -1.4% forecast,
Looking Ahead Economic Data (GMT)
•13:15 US Sep Manufacturing Production (MoM) 0.7% forecast, 1.0% previous
•13:15 US Sep Industrial Production (MoM) 0.5% forecast, 0.4% previous
•13:15 US Sep Industrial Production (YoY) -7.73% previous
•14:00 US Sep Capacity Utilization Rate 71.9% forecast, 71.4% previous
•14:00 US Oct Michigan Current Conditions 88.5 forecast, 87.8 previous
•14:00 US Aug Retail Inventories Ex Auto 0.9% previous
•14:00 US Oct Michigan Consumer Expectations 76.5, 75.6 previous
•14:00 US Oct Michigan Consumer Sentiment 80.5, 80.4 previous
•14:00 US Aug Business Inventories (MoM) 0.4% forecast, 0.1% previous
Looking Ahead - Events, Other Releases (GMT)
•15:00 IMF Meetings
Fxbeat
EUR/USD: The euro gained against dollar on Friday investor concerns about diminishing chances of coronavirus relief as the pandemic intensifies in parts of the U.S. supported euro. U.S. President Donald Trump said on Thursday he was willing to raise his offer of $1.8 trillion for a relief deal with Democrats in Congress, but the idea was shot down by Senate Majority Leader Mitch McConnell. Investors also kept an eye on Brexit trade negotiations, with Prime Minister Boris Johnson set to give Britain’s response to European Union demands. Investors also kept an eye on Brexit trade negotiations, with Prime Minister Boris Johnson set to give Britain’s response to European Union demands .Immediate resistance can be seen at 1.1747 (50%fib), an upside break can trigger rise towards 1.1796 (61.8%fib).On the downside, immediate support is seen at 1.1702 (38.2%fib), a break below could take the pair towards 1.1638 (23.6%fib).
GBP/USD: Sterling rose slightly on Friday but was still on track to end the week on a loss, as markets waited for Britain to say whether it would continue with Brexit negotiations after the European Union leaders’ summit left the UK disappointed. Britain left the European Union in January. Since then, both sides have been locked in negotiations to try and reach a trade deal before the status-quo transition period ends on Dec. 31.British Prime Minister Boris Johnson will set out his approach to Brexit later on Friday. He had previously set Oct. 15 as a deadline after which the UK would quit negotiations if a deal had not been reached. At 1230 GMT, the pound was up 0.2% on the day versus the dollar, at $1.2922, but set to end the week down 0.9%. Immediate resistance can be seen at 1.2957 (11DMA), an upside break can trigger rise towards 1.2988 (38.2%fib).On the downside, immediate support is seen at 1.2906 (23.6%fib), a break below could take the pair towards 1.2883(21DMA).
USD/CHF: The dollar dipped against the Swiss franc on Friday as caution grew over a global surge in coronavirus cases and fading prospects for a U.S. stimulus package before the Nov. 3 election. Fresh restrictions to combat COVID-19 have been introduced across Europe, and the U.S. Midwest is battling spikes in new cases as data show the country’s economic recovery is losing steam. Investors will get a further indicator of the health of the U.S. economy with retail sales data due later on Friday. Relief plans remain bogged down in a three-way negotiation between the White House, Senate Republicans and House Democrats. Immediate resistance can be seen at 0.9156 (38.2 % fib), an upside break can trigger rise towards 0.9200 (Psychological level).On the downside, immediate support is seen at 0.9129 (5DMA), a break below could take the pair towards 0.9094 (23.6% fib ).
USD/JPY: The dollar declined against the Japanese yen on Friday as investors sought safe havens, fearing that a resurgence in coronavirus cases and a lack of additional U.S. fiscal stimulus would hobble the world economy. U.S. President Donald Trump’s offer on Thursday to raise the size of a fiscal stimulus package to win the support of Republicans and Democrats helped improve market sentiment, though many investors still believe a deal is unlikely before the Nov. 3 election. Meanwhile, An unexpected rise in U.S. weekly jobless claims figures added to worries about a sputtering world economy, especially in the face of a spike in COVID-19 cases in Europe. Strong resistance can be seen at 105.52 (11 DMA), an upside break can trigger rise towards 105.82 (38.2%fib).On the downside, immediate support is seen at 105.10 (23.6% fib), a break below could take the pair towards 104.82 (Higher BB).
Equities Recap
European shares bounced from two-week lows on Friday but were still set for weekly losses after a sell-off that was marked by fears of a second wave of COVID-19 infections, Brexit-related uncertainty and doubts about more U.S. fiscal stimulus.
At (GMT 13:30 ),UK's benchmark FTSE 100 was last trading up at 1.51 percent, Germany's Dax was down by 1.15 percent, France’s CAC finished was up by 1.67 percent.
Commodities Recap
Gold steadied on Friday as the dollar eased but was still set for its first weekly loss in three as doubts over a U.S. stimulus agreement before next month’s presidential election dented demand for the metal as an inflation hedge.
Spot gold was up 0.1% at $1,910.06 per ounce by 1107 GMT but down more than 1% so far this week. U.S. gold futures gained 0.3% to $1,914.40.
Oil prices fell on Friday, dragged down by concerns that a spike in COVID-19 cases in Europe and the United States is curtailing demand in two of the world’s biggest fuel consuming regions, while a stronger U.S. dollar also pressured prices.
Brent crude futures for December were down 50 cents, or 1.2%, to $42.66 a barrel by 1226 GMT and U.S. West Texas Intermediate (WTI) crude futures for November delivery slid 42 cents, or 1%, to $40.55.