Posted at 24 May 2021 / Categories Market Roundups
Market Roundup
•Finnish Apr PPI (YoY) 8.7%, 6.7% previous
• Finnish Apr Import Price Index (YoY) 12.0%, 7.7% previous
•Finnish Apr Export Price Index (YoY) 9.4%, 6.9% previous
Looking Ahead - Economic Data (GMT)
• 12:30 US Apr Chicago Fed National Activity 1.71 previous
•15:30 US 3-Month Bill Auction 0.015% previous
•15:30 US 6-Month Bill Auction 0.030% previous
•16:00 Russian Mar Real Wage Growth (YoY) 0.8% forecast,2.0% previous
•16:00 Russian Apr Unemployment Rate 5.4% forecast, 5.4% previous
Looking Ahead - Economic events and other releases (GMT)
•12:30 US FOMC Member Brainard Speaks
•13:00 ECB McCaul Speaks
•14:30 BoE Gov Bailey Speaks
Fxbeat
EUR/USD: The euro edged higher against dollar on Monday as investors anxiously awaited a key read on U.S. inflation this week for cues on monetary policy . The U.S. central bank has pledged to keep interest rates low until the economy reaches full employment, and inflation hits 2% and is on track to "moderately" exceed that level for some time. Data on Friday showed U.S. factory activity gathered speed in early May amid strong domestic demand. The euro was up a quarter of a percent above $1.22. The single currency has gained around 4% on the greenback over the past three months. Immediate resistance can be seen at 1.2231(23.6%fib), an upside break can trigger rise towards 1.2294 (Higher BB).On the downside, immediate support is seen at 1.2164(38.2%fib), a break below could take the pair towards 1.2136(14DMA).
GBP/USD: Britain’s pound edged lower against greenback on Monday, trading just shy of $1.42 as investors set their eyes on an address by four policymakers from the Bank of England to a parliamentary sub-committee.Gains in recent weeks have brought the pound back within touching distance of a nearly three-year high of $1.4240 against the dollar, a level it hit in February this year. By 12:00 GMT, sterling was 0.08% lower on the day at $1.4128 and flat to the euro at 86.08 pence. Immediate resistance can be seen at 1.4170(Daily high), an upside break can trigger rise towards 1.4216 (23.6%fib).On the downside, immediate support is seen at 1.4100 (38.2% fib), a break below could take the pair towards 1.4075(14 DMA).
USD/CHF: The dollar was little changed against the Swiss franc on Monday as traders pared earlier bets the Federal Reserve may move soon to taper its stimulus though markets were not fully convinced that higher U.S. inflation is transient. Minutes from the Fed's April policy meeting released last week showed a sizable minority of policymakers wanted to discuss tapering bond purchase on worries that pouring more money to an economy on the mend could stoke inflation. Immediate resistance can be seen at 0.9015 (11 DMA), an upside break can trigger rise towards 0.9033 (38.2% fib).On the downside, immediate support is seen at 0.8949 (23.6% fib), a break below could take the pair towards 0.8911 (Lower BB).
USD/JPY: The dollar edged higher against the Japanese yen Monday as bets on a robust global economic recovery continued to support currencies seen as riskier. The dollar index hovered around the 90 mark, down 0.2% on the day and close to a three-month low of 89.646 hit on Friday. Traders were watching for progress on a new stimulus package in the United States, after the White House pared down its infrastructure bill to $1.7 trillion on Friday but failed to gain Senate Republican backing.Strong resistance can be seen at 109.07 (38.2%fib), an upside break can trigger rise towards 107.29 (38.2% fib).On the downside, immediate support is seen at 108.57 (61.8% fib), a break below could take the pair towards 108.38 (Lower BB).
Equities Recap
European stocks closed in on record highs on Monday as investors counted on continued economic recovery and strength in corporate earnings to keep the market momentum going.
At (GMT 12:00 ),UK's benchmark FTSE 100 was last trading upat 0.14 percent , France’s CAC was lastr up by 0.01 percent.
Trading activity was subdued with markets in Austria, Denmark, Hungary, Norway, Switzerland and Germany closed for holiday.
Commodities Recap
Gold steadied on Monday, consolidating near a 4-1/2-month peak, buoyed by a subdued dollar and a selloff in cryptocurrencies, while investors awaited key economic data releases this week.
Spot gold was little changed at $1,881.40 per ounce by 1021 GMT. Last week, gold prices hit their highest level since Jan. 8 at $1,889.75. U.S. gold futures rose 0.3% to $1,882.10.
Oil prices rose on Monday as a potential snag emerged in reviving the 2015 Iran nuclear deal that could add more oil supply, while Goldman Sachs said the case for higher prices remains intact even with increased Iran exports.
Brent crude oil futures for July rose $1.25, or 1.9%, to $67.69 a barrel by 0950 GMT, while U.S. West Texas Intermediate for July was at $64.73 a barrel, up $1.15, or 1.8%.