Posted at 14 November 2022 / Categories Market Roundups
Market Roundup
• Swiss Oct PPI (MoM) 0.0%,0.2% forecast,02% previous
• Swiss Oct PPI (YoY) 4.9%, 5.4% previous
•EU Sep Industrial Production (MoM) 0.9% ,0.3% forecast, 1.5% previous
• EU Sep Industrial Production (YoY) ) 4.9% ,2.8% forecast, 2.5% previous
Looking Ahead - Economic Data (GMT )
• 14:00 EU French 12-Month BTF Auction 2.344% previous
•14:00 EU French 3-Month BTF Auction 1.301% previous
•14:00 EU 14:00 French 6-Month BTF Auction 1.726% previous
•15:00 US M2 Money Supply (MoM) 21.50T previous
•15:19 US Dallas Sep Fed PCE 6.00% previous
• 16:30 US 3-Month Bill Auction 4.120% previous
•16:30 US 6-Month Bill Auction 4.490% previous
Looking Ahead - Economic Data (GMT )
•16:15 EU ECB's De Guindos Speaks
•16:30 Swiss SNB Chairman Thomas Jordan speaks
•16:30 USD Fed Vice Chair Brainard Speaks
• 18:00 German Buba President Nagel Speaks
Fxbeat
EUR/USD: The euro dipped on Monday as investors anticipated further monetary tightening measures from the European Central Bank amid fading hopes of a less aggressive approach from the Federal Reserve. Analysts pointed to ECB policymaker Pablo Hernandez de Cos saying the central bank might announce a start date for its quantitative tightening at its December meeting. Market participants will assess the European Union’s gross domestic product (GDP) growth rate on Tuesday for further insights on the latest ECB dovish pivot and recessionary risks in the euro zone. Immediate resistance can be seen at 1.0362(Daily high), an upside break can trigger rise towards 1.0421 (23.6%fib).On the downside, immediate support is seen at 1.0250 (38.2%fib), a break below could take the pair towards 1.0171 (Nov 11th low).
GBP/USD: Sterling fell against the dollar on Monday as traders braced for the UK government’s fiscal statement on Thursday in a data-heavy week that could shed light on the state of Britain’s economy. Finance minister Jeremy Hunt said he will set out tax rises and spending cuts this week to show Britain can fix its public finances and restore economic credibility after financial market chaos sparked by former prime minister Liz Truss. At 11:50 GMT, the pound was down 0.46% against the dollar at $1.1779. Immediate resistance can be seen at 1.1851 (23.6%fib), an upside break can trigger rise towards 1.1925(Higher BB).On the downside, immediate support is seen at 1.1655(Nov 11th low), a break below could take the pair towards 1.5266(38.2%fib).
USD/CHF: The dollar steadied against the Swiss franc on Monday amid fading expectations of a less aggressive Federal Reserve interest rate hike after Governor Christopher Waller said the central bank was not softening its fight against inflation.A modest miss on U.S. inflation on Thursday put pressure on the dollar , which declined almost 4% in a week, marking its worst week in more than two and half years.But Waller said on Sunday that the inflation print last week was "just one data point" and that other similar readings would be needed to show convincingly that inflation was slowing. The dollar index, which gauges the greenback against a basket of six other major currencies including the yen, euro and sterling, edged up 0.1% to 106.85. Immediate resistance can be seen at 0.9418(Daily high), an upside break can trigger rise towards 0.9546(38.2%fib).On the downside, immediate support is seen at 0.9412(23.6%fib), a break below could take the pair towards 0.9371 (Aug 11th low).
USD/JPY: The dollar strengthened against the yen on Monday as dollar edged higher after a top U.S. central banker warned that the Federal Reserve was not softening its fight against inflation. Fed Governor Christopher Waller said on Sunday the Fed might consider slowing the pace of rate increases at its next meeting but that should not be seen as a “softening” of its battle against inflation.U.S. consumer sentiment fell in November, pulled down by persistent worries about inflation and higher borrowing costs, a survey showed on Friday.Fed fund futures are now pricing in an 91% chance of a 50-basis point rate hike at the Fed’s December meeting. Strong resistance can be seen at 141.89(23.6%fib), an upside break can trigger rise towards 142.36(Nov 12th high).On the downside, immediate support is seen at 139.00(38.2%fib), a break below could take the pair towards 137.22(50%fib).
Equities Recap
European shares edged higher on Monday, as media stocks were boosted by Britain's Informa, although caution prevailed after a top Federal Reserve policymaker warned that the U.S. central bank would not "soften" its fight against inflation.
At (GMT 11:50 ),UK's benchmark FTSE 100 was last trading up at 0.25 percent, Germany's Dax was up by 0.38 percent, France’s CAC was up 0.28 .
Commodities Recap
Gold on Monday fell after two sessions of gains, as the dollar rose after Federal Reserve Governor Christopher Waller warned markets that the central bank was not softening its fight against inflation.
Spot gold fell 0.6% to $1,760.49 per ounce by 0903 GMT. U.S. gold futures eased 0.3% to $1,763.50.
Oil prices fell on Monday, dragged down by a firmer U.S. dollar while surging coronavirus cases in China dashed hopes of a swift reopening of the economy for the world's biggest crude importer.
Brent crude futures were down $1.01, or 1.1%, at $94.98 a barrel by 1030 GMT after gaining 1.1% on Friday. WTI crude futures fell $1.11, or 1.3%, to $87.85 after advancing 2.9% on Friday.