Posted at 25 March 2022 / Categories Market Roundups
Market Roundup
•UK Feb Core Retail Sales (MoM) -0.7%,0.5% forecast, 1.7%previous
•UK Feb Core Retail Sales (YoY) 4.6%,5.6% forecast, 7.2% previous
•UK Feb Retail Sales (YoY) 7.0%,7.8% forecast, 9.1% previous
•UK Feb Retail Sales (MoM) -0.3%, 0.6% forecast, 1.9% previous
• German Mar Current Assessment 97.0,96.5 forecast, 98.6 previous
• German Mar Business Expectations 85.1,92.0 forecast, 99.2 previous
• German Mar Ifo Business Climate Index 90.8, 94.2 forecast, 98.9 previous
•EU Feb M3 Money Supply (YoY) 6.3%, 6.3% forecast, 6.4% previous
•EU Private Sector Loans (YoY) 4.4%,4.3% previous
•Canada Manufacturing Sales (MoM) 3.7%, 0.6% previous
Looking Ahead Economic Data(GMT)
•14:00 US Mar Michigan 5-Year Inflation Expectations 3.00%
•14:00 US Mar Michigan Consumer Expectations 54.4 forecast ,59.4 previous
•14:00 US Michigan Consumer Sentiment 59.7 forecast , 62.8 previous
•14:00 US Mar Michigan Current Conditions 67.8 forecast , 68.2 previous
•14:00 US Pending Home Sales (MoM) 1.0% forecast , -5.7% previous
•14:00 US Feb Pending Home Sales Index 109.5 previous
•14:00 Canada Jan Budget Balance (YoY) -70.11B previous
•14:00 Canada Jan Budget Balance 3.58B previous
•17:00 U.S. Baker Hughes Oil Rig Count 524 previous
•17:00 U.S. Baker Hughes Total Rig Count 663 previous
Looking Ahead - Events, Other Releases (GMT)
•13:00 UK BOE MPC Member Catherine L Mann
•14:00 US FOMC Member Williams Speaks
•15:30 US FOMC Member Barkin Speaks
•16:00 US Fed Waller Speaks
• 16:45 Canada BoC Deputy Gov Kozicki Speech
Fxbeat
EUR/USD: The euro edged higher on Friday, but concerns about a potential slowdown of the economy kept gains in check. German business morale deteriorated in March due to worsening supply chain issues resulting from high petrol prices and driver shortages, a survey showed on Friday. The data had little impact on bond markets, following PMI data on Thursday showing euro zone business activity was stronger than expected in March, although prices rose at a record pace and business optimism came under a severe dent.The single currency rose 0.1% to $1.1016. Immediate resistance can be seen at 1.1016(5DMA), an upside break can trigger rise towards 1.1056 (38.2%fib).On the downside, immediate support is seen at 1.0948(23.6%fib), a break below could take the pair towards 1.0900 (14th March low).
GBP/USD: The British pound edged lower against both the U.S. dollar on Friday after consumer morale fell to its lowest level in 16 months and an unexpected decline in retail sales.The Office for National Statistics said February retail sales volumes were down by 0.3% from January as stormy weather deterred some shoppers from venturing out. Meanwhile, a survey by GfK showed British consumer confidence fell to its lowest level since November 2020 in March because of inflation worries, high interest rates and the war in Ukraine.The pound gradually slipped against the dollar to trade 0.1% lower at $1.3174. Immediate resistance can be seen at 1.3206 (38.2%fib), an upside break can trigger rise towards 1.3271(50%fib).On the downside, immediate support is seen at 1.3170(9DMA), a break below could take the pair towards 1.3127 (23.6%fib).
USD/CHF: The dollar declined against the Swiss franc on Friday as sentiment was broadly cautious as markets evaluated the economic risks from the Federal Reserve’s policy tightening and Russia’s war in Ukraine. Ukrainian troops are recapturing towns east of the capital Kyiv and Russian forces who had been trying to seize the city are falling back on their overextended supply lines.The U.S. Federal Reserve raised borrowing costs for the first time in three years last week as it sought to combat soaring prices. Its top policymakers have since signalled a more aggressive approach to monetary policy tightening this year. Immediate resistance can be seen at 0.9295(38.2%fib), an upside break can trigger rise towards 0.9333 (23.6%fib).On the downside, immediate support is seen at 0.9266 (50% fib), a break below could take the pair towards 0.9238 (61.8%fib).
USD/JPY: The dollar declined against the yen on Friday on the difference in rate hike expectations between the Bank of Japan and other major central banks. The Bank of Japan (BOJ) provided a bullish signal as it refrained from stepping into the market Friday morning, even as the 10-year government bond yield rose above the level at which the central bank had offered to buy an unlimited amount in February. However, Governor Haruhiko Kuroda clarified that a weak yen benefits the economy. Japan’s yen staged a rebound versus the greenback, up 0.6% , after hitting a fresh low since December 2015 overnight. Strong resistance can be seen at 121.90 (38.2%fib), an upside break can trigger rise towards 122.33(23.6%fib).On the downside, immediate support is seen at 121.44(50%fib), a break below could take the pair towards 120.08(61.8%fib).
Equities Recap
European shares fell for a third straight session on Friday and was set to end the week lower, as the escalating Russia-Ukraine conflict kept investors cautious heading into the weekend.
At (GMT 12:08 ),UK's benchmark FTSE 100 was last trading up at 0.28 percent, Germany's Dax was up by 0.94 percent, France’s CAC was last trading up by 0.80 percent.
Commodities Recap
Gold prices were little changed on Friday, as firmer U.S. Treasury yields offset non-yielding bullion’s demand, but the metal was cautiously on course for its best week in three.
Spot gold was flat at $1,956.87 per ounce at 1012 GMT, holding near its highest since March 14 hit on Thursday. U.S. gold futures shed 0.3% to $1,956.60.
Oil prices slipped on Friday, with some supply concerns easing after a partial export resumption from Kazakhstan's CPC crude terminal, while the European Union remained split on whether to impose an oil embargo on Russia.
Brent crude fell $1.29, or 1.1%, to $117.74 a barrel at 1049 GMT and U.S. West Texas Intermediate (WTI) crude slid $1.80, or 1.6%, to $110.54 after both had dropped more than 2% the previous session.