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America’s Roundup: Dollar index jumps to four-month peak, Wall Street dips, Gold slides 2%,Oil falls as Suez Canal reopens, dollar rallies; eyes on OPEC+ meeting-March 31st,2021

Posted at 30 March 2021 / Categories Market Roundups


Market Roundup

•US Redbook (YoY) 9.8%,9.4% previous

•US Redbook (MoM) -17.4%,-17.6% previous

•US Jan S&P/CS HPI Composite - 20 n.s.a. (YoY) 11.1%, 11.0% forecast, 10.1% previous

• US Jan S&P/CS HPI Composite - 20 n.s.a. (MoM) 0.9%, 0.8% previous

• US Jan House Price Index (YoY) 12.0%, 11.4% previous

• US Jan S&P/CS HPI Composite - 20 s.a. (MoM) 1.2%, 1.2% forecast, 1.3% previous

• US Jan House Price Index 316.7, 313.5 previous

• US Jan House Price Index (MoM) 1.0%,  1.1% previous

• US March CB Consumer Confidence  109.7, 96.9 forecast, 91.3 previous

• US March Dallas Fed Services Revenues 21.6, 2.6 previous

• US March Texas Services Sector Outlook  28.9 ,5.0 previous

Looking Ahead Economic Data (GMT)

•23:50 Japan March Industrial Production forecast 1m ahead (MoM)   2.1% previous

•23:50 Japan Apr Industrial Production forecast 2m ahead (MoM) -6.1% previous

•23:50 Japan Feb Industrial Production (MoM)  -1.2% forecast, 4.3% previous

•00:00 New Zealand Mar NBNZ Own Activity  21.3% previous

•00:00   New Zealand Mar ANZ Business Confidence  7.0 previous

•00:00   Australia Feb Private Sector Credit (MoM)  0.3% previous

•00:00 Australia Feb Private House Approvals  -12.2% previous

•00:00 Australia Feb Housing Credit  0.4% previous

•00:00 Australia Feb Building Approvals (MoM)  5.0% forecast, -19.4% previous

Looking Ahead - Events, Other Releases (GMT)

•No significant events

Currency Summaries

EUR/USD: The euro declined against dollar on Tuesday as stronger dollar and renewed concern about the euro zone growth outlook weighed on euro. The dollar climbed   as Treasury yields spiked again, with accelerating vaccinations and massive stimulus in the United States stoking inflation concerns. The euro weakened to $1.1711, its lowest level since early November. It was last down 0.4% to $1.1715. Immediate resistance can be seen at 1.1758(5DMA), an upside break can trigger rise towards 1.1840 (32.6%fib).On the downside, immediate support is seen at 1.1700 (Psychological level), a break below could take the pair towards  1.1626 (Nov 3rd  low).

GBP/USD: Sterling dipped against dollar on Tuesday as investors focused on the outlook for reopening the UK economy from its lockdown. Some lockdown restrictions in England ended on Monday, in contrast to much of Europe, where France and Germany are among the countries contending with a third wave of COVID-19 infections and hospitalisations. The currency hit daily  high at $1.3786, later slipped to $1.3735, down 0.10% on the day .Immediate resistance can be seen at 1.3767(9DMA), an upside break can trigger rise towards 1.3816(38.2%fib).On the downside, immediate support is seen at 1.3714 (23.6% fib), a break below could take the pair towards 1.3665(March 25th low).

USD/CAD: The Canadian dollar weakened on Tuesday to its lowest level in nearly three weeks against its U.S. counterpart, as oil fell and the prospect of a major spending package to tackle America's infrastructure needs broadly bolstered the greenback. The Canadian dollar was trading 0.4% lower at 1.2633 to the greenback, or 79.16 U.S. cents, having touched its weakest level since March 10 at 1.2646. Immediate resistance can be seen at 1.2658(March 30th high), an upside break can trigger rise towards 1.2712(32%fib).On the downside, immediate support is seen at 1.2606(5 DMA), a break below could take the pair towards 1.2565(23.6%fib).

USD/JPY: The dollar rose against the Japanese yen Tuesday as accelerating U.S. vaccinations and plans for a major stimulus package stoked inflation expectations and raised Treasury yields. The dollar index rose above the 93 mark and was last up around a third of a percent at 93.185, its highest level in four months.The dollar  rose above 110 yen, a level not seen since March last year, and was last up 0.5% on the day. Strong resistance can be seen at 110.49 (23.6%fib), an upside break can trigger rise towards 111.00 (Psychological level).On the downside, immediate support is seen at 109.66 (Daily low), a break below could take the pair towards 109.34 (38.2% fib).

Equities Recap

European shares headed towards record highs on Tuesday on hopes of a vaccine-driven economic recovery, while investors looked past the fallout of a U.S. hedge fund default that hit banking stocks a day earlier.

UK's benchmark FTSE 100 closed up by 0.53 percent, Germany's Dax ended up  by 1.28 percent, France’s CAC finished the day up by 1.21 percent.

U.S. stocks ended down slightly on Tuesday, with investors selling tech-related growth shares after U.S. Treasury yields hit a 14-month high.

Dow Jones closed down by  0.31% percent, S&P 500 closed down by 0.32% percent, Nasdaq settled down by 0.11%  percent.

Treasuries Recap

U.S. Treasury yields dipped in Tuesday afternoon trade, reversing an overnight rise in the benchmark yield to a 14-month high, as traders prepared for quarter-end and ahead of President Joe Biden's infrastructure spending announcement.

 The 10-year yield rose to 1.776% in early London trade, its highest since Jan. 22. banking stocks a day earlier.

Commodities Recap

Gold prices slipped nearly 2% on Tuesday as a firmer dollar, higher Treasury yields and hopes for a faster U.S. economic recovery dampened demand for safe-haven bullion.

Spot gold  was down 1.6% at $1,684.64 per ounce by 1:57 p.m EDT (1757 GMT). Earlier in the session, bullion fell about 2% to its lowest since March 8 at $1,678.40. U.S. gold futures  settled 1.7% down at $1,686.

 


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