Posted at 24 August 2021 / Categories Market Roundups
Market Roundup
• German GDP (QoQ) (Q2) 1.6% ,1.5% forecast,1.5% previous
• German GDP (YoY) (Q2) 9.8%,9.6% forecast, 9.6% previous
• UK Aug CBI Distributive Trades Survey 20 forecast, 23 previous
Looking Ahead –Economic Data (GMT)
• 12:55 US Redbook (YoY) 15.0% previous
• 12:30 US Corporate Profits (QoQ) 18.1% previous
• 14:00 US New Jul Home Sales (MoM) 3.0% forecast, -6.6% previous
• 14:00 US Richmond Aug Manufacturing Shipments 21 previous
• 14:00 US Richmond Aug Services Index 19 previous
• 14:00 US Richmond Aug Manufacturing Index 27 previous
• 14:00 US Aug New Home Sales 700K forecast, 676K previous
Looking Ahead - Events, Other Releases (GMT)
• 12:30 ECB's Schnabel Speaks
Fxbeat
EUR/USD: The euro was little changed dollar on Tuesday as investors awaited the Fed's Jackson Hole symposium on Friday. Investors are less confident Fed Chair Jerome Powell's speech at Jackson Hole this week will indicate a timeline for winding down the Fed's bond-buying program.On the data front, the German economy grew more than expected in the second quarter as the easing of COVID-19 curbs spurred consumers to dip into record savings piled up during the winter lockdown and the state pressed on with a huge debt-financed stimulus push. Immediate resistance can be seen at 1.1792(50%fib), an upside break can trigger rise towards 1.1845 (61.8%fib).On the downside, immediate support is seen at 1.1734(38.2%fib), a break below could take the pair towards 1.1665 (23.6%fib)
GBP/USD: Sterling edged lower against the dollar on Tuesday, but held most gains made against the greenback on the back of a risk rebound at the start of the week that saw the British currency bounce nearly 1%.The pound has traded roughly in line with risk sentiment in global markets, and a recovery in world stock markets on Monday helped give it a leg up after a nearly 2% loss last week - its worst in 2 months.By 0818 GMT on Tuesday, sterling was 0.2% lower to the dollar at $1.3697 , but still holding on to its Monday bounce. Immediate resistance can be seen at 1.3733(50%fib),an upside break can trigger rise towards 1.3793 (61.8%fib).On the downside, immediate support is seen at 1.3673(38.2%fib), a break below could take the pair towards 1.3595(23.6%fib).
USD/CHF: The dollar was little changed against the Swiss franc on Tuesday as uncertainty over U.S. monetary policy ahead of a major Federal Reserve event. Worries the Fed was edging closer to tapering its stimulus weighed on global markets last week but investors are now less confident Powell’s speech at Jackson Hole will indicate a timeline for winding down the Fed’s bond-buying program. Immediate resistance can be seen at 0.9143 (38.2%fib), an upside break can trigger rise towards 0.9156 (9DMA).On the downside, immediate support is seen at 0.9107(50%fib), a break below could take the pair towards 0.9072(61.8%fib).
USD/JPY: The dollar was little changed against the Japanese yen on Tuesday as traders were wary of chasing the mood-driven move lower ahead of a Federal Reserve symposium that could map out an end to stimulus and asset purchases. The U.S. dollar index fell just over 0.5% to a one-week low of 92.994, busting through an uptrend that had been gaining momentum and lifted the index by 1% last week. Strong resistance can be seen at 109.96(23.6%fib), an upside break can trigger rise towards 110.25(19th Aug high).On the downside, immediate support is seen at 109.61(38.2%fib), a break below could take the pair towards 109.35 (50%fib).
Equities Recap
European stocks extended their recovery on Tuesday after a full U.S. approval of a COVID-19 vaccine boosted Wall Street to record highs, while latest data showed a stronger-than-expected economic recovery in Germany.
At (GMT 11:29),UK's benchmark FTSE 100 was last trading down at 0.22 %percent, Germany's Dax was up by 0.29 %percent, France’s CAC finished was downby 0.39% percent.
Commodities Recap
Gold eased on Tuesday as the dollar steadied, but speculation that a spike in coronavirus cases may prompt the U.S. Federal Reserve to defer its tapering of monetary stimulus kept bullion above the pivotal $1,800 level.
Spot gold fell 0.2% to $1,801.37 per ounce by 0901 GMT, but was hovering near a three-week high hit in the previous session, when prices jumped 1.4% on a broad retreat in the dollar.U.S. gold futures fell 0.2% to $1,803.60.
Oil prices rose on Tuesday, extending sharp gains on a bullish demand outlook as Mexico suffered a big production outage and U.S. regulators issued their first full approval for a COVID-19 vaccine.
Brent crude oil futures were up 83 cents, or 1.2%, at $69.58 a barrel by 0941 GMT, while U.S. West Texas Intermediate (WTI) gained 68 cents, or 1%, to $66.32.