Posted at 23 December 2021 / Categories Market Roundups
Market Roundup
•German Nov Import Price Index (MoM) 3.0%,1.1% forecast, 3.8% previous
•German Nov Import Price Index (YoY) 24.7%,22.3% forecast, 21.7% previous
•Spanish GDP (QoQ) (Q3) 2.6%,2.0% forecast ,1.1% previous
•Italian Dec Consumer Confidence 117.7,116.2 forecast , 117.5 previous
•Belgium Dec CPI (MoM) 5.71%,1.25% previous
•Belgium Dec CPI (YoY) 5.71%,5.64% previous
Looking Ahead - Economic Data (GMT)
•13:30 US Nov Durables Excluding Defense (MoM) 0.8% previous
•13:30 US Nov Core Durable Goods Orders (MoM) 0.6%forecast, 0.5% previous
•13:30 Canada Oct GDP (MoM) 0.8% forecast,0.1% previous
•13:30 US Continuing Jobless Claims 1,820K forecast, 1,845K previous
•13:30 US Initial Jobless Claims 205K forecast, 206K previous
•13:30 US Jobless Claims 4-Week Avg 203.75K previous
•13:30 US GDP (YoY) 3.97% previous
•13:30 US Nov Durable Goods Orders (MoM) 1.6% forecast, -0.4% previous
•13:30 US Nov Goods Orders Non Defense Ex Air (MoM) 0.6% forecast, 0.7% previous
•13:30 US Nov Real Personal Consumption (MoM ) 0.7% previous
•13:30 US Nov PCE Price index (YoY) 5.0 previous
•13:30 US Nov PCE price index (MoM) previous
•13:30 US Nov Personal Spending (MoM) 0.6% forecast,1.3% previous
•13:30 US Nov Core PCE Price Index (MoM) 0.4% forecast, 0.4% previous
•13:30 US Nov Core PCE Price Index (YoY) 4.5% forecast, 4.1% previous
•15:00 US Dec Michigan Consumer Expectations 67.8 forecast, 63.5 previous
•15:00 US Nov New Home Sales (MoM) 0.4% previous
•15:00 US Dec Michigan Inflation Expectations 4.9% forecast, 4.9% previous
•15:00 US New Home Sales 770K forecast, 745K previous
Looking Ahead - Economic events and other releases (GMT)
•No significant events
Fx Beat
EUR/USD: The euro edged higher against dollar on Thursday as investors adopted a more optimistic stance about the global economic outlook, despite the rapid spread of the Omicron coronavrus variant. Risk appetite has improved since Monday, when markets were rattled by government restrictions relating to the spread of Omicron. However, data on Wednesday showed U.S. consumer confidence improving more than expected in December, suggesting the economy would continue to expand in 2022 despite a resurgence in COVID-19 infections and reduced stimulus spending. Immediate resistance can be seen at 1.322(38.2%fib), an upside break can trigger rise towards 1.1353 (Higher BB).On the downside, immediate support is seen at 1.1283 (5DMA), a break below could take the pair towards 1.1262 (Lower BB).
GBP/USD: Sterling rose to one-month highs against the dollar on Thursday, benefiting from some reassuring reports on the Omicron COVID-19 variant and a move higher in Britain's short-dated government bond yields. On the data front, UK businesses posted the weakest quarterly growth since the three months to April when lockdowns were in effect, the Confederation of British Industry (CBI) said. .By 1030 GMT, the pound rose 0.4% to the dollar at $1.3380, just off a one-month peak of $1.33875 hit earlier . Against the euro, it firmed to the highest in a month, up 0.4% to 84.45 pence . Immediate resistance can be seen at 1.3453 (38.2% fib), an upside break can trigger rise towards 1.3517 (23.6%fib).On the downside, immediate support is seen at 1.3389(38.2%fib), a break below could take the pair towards 1.3338 (61.8%fib).
USD/CHF: The dollar edged higher against the Swiss franc on Thursday as markets welcomed signs that the Omicron variant of COVID19 could be less severe than feared, as well as strong economic data from the US. U.S. consumer confidence improved further in December, suggesting the economy would continue to expand in 2022 despite a resurgence in COVID-19 infections and reduced fiscal stimulus. U.S. consumer confidence improved further in December, suggesting the economy would continue to expand in 2022.Other reports showed U.S. home sales increased for a third straight month in November, and that gross domestic product increased at a 2.3% annualized rate in the July-September quarter. Immediate resistance can be seen at 0.9229 (38.2%fib), an upside break can trigger rise towards 0.9275 (23.6%fib).On the downside, immediate support is seen at 0.9192(50%fib), a break below could take the pair towards 0.9155 (61.8%fib).
USD/JPY: The dollar rose against the Japanese yen on Thursday as investors turned back towards riskier assets at the expense of safe-haven yen. Dollar rallied against yen as investors welcomed signs that the Omicron variant of COVID-19 might be less severe than feared, as well as other positive signals like robust U.S. economic data. U.S. consumer confidence improved further in December, suggesting the economy would continue to expand in 2022. The survey from the Conference Board showed more consumers planned to buy a house and big-ticket items such as motor vehicles and major household appliances as well as go on vacation over the next six months. Strong resistance can be seen at 114.25 (23.6%fib), an upside break can trigger rise towards 115.00 (Psychological level).On the downside, immediate support is seen at 114.05 (5DMA), a break below could take the pair towards 113.82 (38.2%fib).
Equities Recap
European stocks rose on Thursday to hit two-week highs after new studies indicated the Omicron variant poses a lower risk of severe disease and hospitalization than the Delta variant..
At (GMT 11:20),UK's benchmark FTSE 100 was last trading lower at 0.14 percent, Germany's Dax was up by 0.64 percent, France’s CAC was lastup by 0.38 percent.
Commodities Recap
Gold prices edged higher on Thursday in thin, yet supportive, year-end trading en route to a weekly gain, although an improved risk appetite capped bullion's rise.
Spot gold rose 0.2% to $1,807.49 per ounce by 0944 GMT, U.S. gold futures climbed 0.3% to $1,808.30.
Oil prices were broadly stable on Thursday as signs the worst effects of the Omicron coronavirus variant might be fairly containable were countered by new curbs amid surging case numbers.
Brent crude futures was up 19 cents, or 0.3%, to $75.48 a barrel at 1109 GMT, after a 1.8% gain in the previous session.