Posted at 01 December 2022 / Categories Market Roundups
Market Roundup
•German Retail Sales (YoY) -5.0%, -2.8% forecast,-0.9% previous
•German Retail Sales (MoM) -2.8%, -0.6% forecast,0.9% previous
•UK Nov Nationwide HPI (MoM) -1.4%,-0.3% forecast, -0.9% previous
•UK Nov Nationwide HPI (YoY) 4.4%, 5.8% forecast,7.2% previous
•Swiss Oct Retail Sales (YoY) -2.5%,3.5% forecast,3.2% previous
•Swiss Nov CPI (MoM) 0.0%,0.1% forecast, 0.1% previous
•Italian Nov Manufacturing PMI 48.4, 47.0 forecast, 46.5 previous
•French Nov Manufacturing PMI 48.3,49.1forecast, 47.2previous
•German Nov Manufacturing PMI 46.2,46.7forecast, 45.1previous
•UK Nov Manufacturing PMI 46.5, 46.2 forecast, 46.2 previous
•EU Oct Unemployment Rate 6.5%, 6.6% forecast,6.6% previous
Looking Ahead - Economic Data (GMT )
•12:30 US Nov Challenger Job Cuts 33.843K previous
•12:30 US Challenger Job Cuts (YoY) 33.8% previous
•13:30 US Personal OctIncome (MoM) 0.4% forecast, 0.4%previous
•13:30 US Oct Real OctPersonal Consumption (MoM) 0.3% previous
•13:30 US Oct Personal Spending (MoM) 0.8% forecast, 0.6% previous
•13:30 US Oct PCE Price index (YoY) 6.2% forecast, 6.2% previous
•13:30 US Oct Core PCE Price Index (MoM) 0.3% forecast, 0.5% previous
•13:30 Canada Labor Productivity (QoQ) (Q3) 0.3% forecast, 0.2% previous
•13:30 US Oct Core PCE Price Index (YoY) 5.0% forecast, 5.1% previous
•13:30 US Jobless Claims 4-Week Avg. 226.75K previous
•13:30 US Continuing Jobless Claims 1,573K forecast, 1,551Kprevious
Looking Ahead - Events, Other Releases (GMT)
•No significant events
Fxbeat
EUR/USD: The euro strengthened on Thursday as the dollar sank after Federal Reserve Chair Jerome Powell struck a more dovish tone than the market expected, implying slower rate hikes as soon as December.. While roughly in line with previous comments, Powell's words were a relief for investors who had feared more hawkishness. Still, Powell warned that the fight against inflation was far from over and that key questions remained unanswered, including how high rates will ultimately need to rise, and for how long. Immediate resistance can be seen at 1.0465(23.6%fib), an upside break can trigger rise towards 1.0557(Higher BB).On the downside, immediate support is seen at 1.0356(9DMA), a break below could take the pair towards 1.0301(38.2%fib).
GBP/USD: Sterling rose to a near 16-week high against a broadly-soft dollar on Thursday, with currency traders looking past gloomy British manufacturing data for now.The pound was last up 0.8% against the dollar at $1.2157, its highest level since Aug. 12, breaching the previous high of $1.2153 touched on Nov. 24. The pound has recovered ground from lows hit in September in the aftermath of then-Prime Minister Liz Truss’ mini-budget.Despite the uptick in recent months, the pound remains 10.3% lower on the year and traders are still focused on Britain’s gloomy economic outlook.. Immediate resistance can be seen at 1.2180( 23.6%fib), an upside break can trigger rise towards 1.2282 (Higher BB).On the downside, immediate support is seen at 1.2023(9DMA), a break below could take the pair towards 1.1974(38.2%fib).
USD/CHF: The dollar dipped against the Swiss franc on Thursday after Federal Reserve Chair Jerome Powell opened the door to a slowdown in the pace of monetary tightening.In an eagerly-awaited speech, Powell said the central bank could scale back the pace of its interest rate hikes "as soon as December," but cautioned the fight against inflation was far from over.Powell's comments at the Brookings Institution in Washington sent the U.S. dollar lower. Investors’ attention now turns to the U.S. Labor Department’s non-farm payrolls data on Friday, which could influence Fed’s policy decisions.. Immediate resistance can be seen at 0.9480(9DMA), an upside break can trigger rise towards 0.9564(38.2%fib).On the downside, immediate support is seen at 0.9430(23.6%fib), a break below could take the pair towards 0.9358(15th Nov low).
USD/JPY: The dollar dipped against Japanese yen on Thursday after U.S. Federal Reserve Chair Jerome Powell’s speech reinforced expectations of smaller interest rate hikes ahead. Powell said on Wednesday it was time to slow the pace of coming interest rate hikes while also signalling a protracted economic adjustment to a world where borrowing costs will remain high, inflation comes down slowly, and the U.S. remains chronically short of workers. Market participants now expect a 91% chance of a 50 basis points rate hike in the U.S. central bank’s upcoming December meeting.. Strong resistance can be seen at 139.03(5DMA), an upside break can trigger rise towards 140.53(38.2%fib).On the downside, immediate support is seen at 137.74 (23.6% fib), a break below could take the pair towards 137.00(Psychological level).
Equities Recap
European shares scaled near six-month highs on Thursday, as investors cheered U.S. Federal Reserve Chair Jerome Powell's hints of smaller interest rate hikes and China's decision to soften its tone on strict COVID-19 restrictions.
At (GMT 11:01 ),UK's benchmark FTSE 100 was last trading up at 0.04 percent, Germany's Dax was up by 0. 49 percent, France’s CAC finished was down by 0. 02 percent.
Commodities Recap
Gold prices extended gains for a third straight session on Thursday, as the dollar slipped after Federal Reserve Chair Jerome Powell said the U.S. central bank might scale back the pace of its interest rate hikes as soon as December.
Spot gold was up 0.6% at $1,778.94 per ounce, as of 1018 GMT. U.S. gold futures rose 1.7% to $1,778.70.
Oil rose on Thursday supported by investor wariness that OPEC+ may cut supply further at its meeting on Sunday and as easing COVID curbs in China raised hopes about higher demand in the world's top crude importer.
Brent crude was up 44 cents, or 0.5%, to $87.41 a barrel by 0918 GMT, while U.S. West Texas Intermediate crude futures added 55 cents, or 0.7%, to $81.10.