News

Europe Roundup: Euro edges higher against dollar after Euro zone factory activity jumps, European shares gain, Gold rises, Oil up as OPEC+ meets to decide on production policy-April 1st,2021

Posted at 01 April 2021 / Categories Market Roundups


Market Roundup

•German Feb Retail Sales (MoM)  1.2%, 2.0% forecast, -4.5% previous

•German Feb Retail Sales (YoY)  -9.0%,  -6.3% forecast, -8.7% previous

•Russia Mar Markit Manufacturing PMI  51.1, 51.5 previous

•Sweden Manufacturing PMI  63.7, 62.5 forecast, 61.6 previous

•Swiss Feb Retail Sales (YoY) -6.3%,-0.5% previous          

•Swiss CPI (YoY)  -0.2%,-0.3% forecast, -0.5% previous

•Swiss Mar CPI  (MoM)  0.3%, 0.4% forecast, 0.2% previous

• Spanish Mar Manufacturing PMI 56.9, 56.0 forecast, 52.9 previous

• Italian Mar Manufacturing PMI  59.8, 59.8 forecast, 56.9 previous

•French Mar Manufacturing PMI  59.3, 58.8 forecast, 56.1 previous

•German Mar Manufacturing PMI 66.6, 66.6 forecast, 60.7 previous

•Greece March  Manufacturing PMI  51.8, 49.4 previous

•EU March Manufacturing PMI  62.5, 62.4 forecast, 57.9 previous

•UK March Manufacturing PMI  58.9, 57.9 forecast, 55.1 previous

Looking Ahead Economic Data (GMT)

•12:30 Canada Feb Building Permits (MoM)  -1.4% forecast, 8.2%  previous

•12:30 US Initial Jobless Claims 680K forecast, 684K previous

•12:30 US Continuing Jobless Claims 3,775K forecast, 3,870K previous

•12:30 US Jobless Claims 4-Week Avg  736.00K previous

•13:00 Russia Central Bank reserves (USD) 580.9B previous

•13:30 Canada March Manufacturing PMI  54.8 previous

 •13:45 Canada Mar Manufacturing PMI  59.0 forecast, 58.6 previous

•14:00 US Feb Construction Spending (MoM)  -1.0% forecast, 1.7% previous

•14:00 US March ISM Manufacturing Employment  53.0 forecast, 54.4 previous

•14:00 US Mar ISM Manufacturing Prices  85.0 forecast, 86.0 previous

•14:00 US ISM March Manufacturing PMI 61.3 forecast, 60.8 previous

•16:00 Russia GDP Quarterly (YoY) (Q4) -2.2% forecast, -3.4% previous

Looking Ahead - Events, Other Releases (GMT)

•20:05 US FOMC Member Kaplan Speaks

Fxbeat

EUR/USD: The euro edged higher against dollar on Thursday as strong factory activity data out of the euro zone supported euro. Euro zone monthly factory activity growth galloped at its fastest pace in the near 24-year history of a leading business survey last month.IHS Markit's final Manufacturing Purchasing Managers' Index (PMI) jumped to 62.5 in March from February's 57.9, ahead of the initial 62.4 "flash" estimate and the highest reading since the survey began in June 1997. The euro changed hands up 0.06% at $1.1735, after hitting a near five-month low of $1.1704. Immediate resistance can be seen at 1.1754 (5DMA), an upside break can trigger rise towards 1.1819 (38.2%fib).On the downside, immediate support is seen at 1.1654(23.6% fib), a break below could take the pair towards 1.1660 (Lower BB).

GBP/USD: Sterling strengthened against the dollar on Thursday, as upbeat UK manufacturing data boosted sterling. British factories rode a wave of orders in March and prepared for a gradual reopening of the economy from its COVID-19 shutdowns by hiring staff at the fastest rate since 2014, a survey showed on Thursday The IHS Markit/CIPS UK Manufacturing Purchasing Managers’ Index (PMI) rose to 58.9, revised up from a preliminary 57.9 and marking the highest reading in just over 10 years.. Immediate resistance can be seen at 1.3807 (38.2%fib), an upside break can trigger rise towards 1.3851 (21DMA).On the downside, immediate support is seen at 1.3764 (5 DMA), a break below could take the pair towards 1.3715(50%fib).

USD/CHF: The dollar edged higher against the Swiss franc on Thursday as investors parsed the details of a $2 trillion U.S. government spending plan and hoped for strong jobs data later in the week. The U.S. currency has gained 3.57% against the basket of six major currencies during the first quarter of 2021, its best quarterly performance since 2018 with investors betting on a swift and robust economic recovery. Immediate resistance can be seen at 0.9478 (23.6 % fib), an upside break can trigger rise towards 0.9501(Higher BB).On the downside, immediate support is seen at 0.9417 (5DMA), a break below could take the pair towards 0.9358 (38.2% fib ).

USD/JPY: The dollar edged higher against the Japanese yen on Thursday as growing bets on faster growth in the United States continued buoy dollar. The U.S. currency held firm against the yen after ending March with its biggest monthly gains since November 2016.The dollar traded at 110.80 yen, having risen to as much as 110.97, its highest in a year. Strong resistance can be seen at 110.97 (23.6% fib), an upside break can trigger rise towards 111.61 (March 16th 2020 high).On the downside, immediate support is seen at 110.27 (5 DMA), a break below could take the pair towards 109.76 (38.2% fib).

Equities Recap

European stocks kicked off the new quarter with small gains on Thursday, as optimism around a new U.S. government spending plan eclipsed concerns of another COVID-19 wave with France imposing a third national lockdown.

At (GMT 12:20 ),UK's benchmark FTSE 100 was last trading up at 0.44percent, Germany's Dax was up by 0.49 percent, France’s CAC finished was up by 0.40 percent.

Commodities Recap

Gold rose on Thursday as a slight pullback in the dollar and U.S. bond yields helped bullion regain some its appeal as an inflation hedge against the backdrop of President Joe Biden's multi-trillion-dollar infrastructure investment plan.

 Spot gold rose 0.4% to $1,713.10 per ounce by 1052 GMT, after touching its lowest since March 8 at $1,677.61 on Wednesday. Most markets will be closed for Good Friday on April 2.

Oil prices rose on Thursday on optimism about the strength of U.S and European economies and hopes that OPEC and its allies will keep production curbs in place.

Brent crude rose by $1.33 cents, or 2.1%, to $64.07 a barrel by 1023 GMT. U.S. oil was up $1.36, or 2.3%, at $60.52 a barrel.


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