Posted at 13 December 2022 / Categories Market Roundups
Market Roundup
• UK Nov Claimant Count Change 30.5K, 3.5K forecast, 3.3K previous
• UK Oct Average Earnings ex Bonus 6.1%,5.9% forecast, 5.7% previous
• UK Oct Average Earnings Index +Bonus 6.1%, 6.2% forecast, 6.0% previous
• UK Oct Employment Change 3M/3M (MoM) 27K, -17K forecast,-52K previous
• German Nov HICP (YoY)11.3%, 11.3% forecast, 11.6% previous
• German Nov German CPI (YoY) 10.0%,10.0% forecast, 10.4% previous
• German Nov HICP (MoM) 0.0%, 0.0% forecast, 1.1% previous
• German Dec ZEW Economic Sentiment -23.6,-25.7 forecast, -38.7 previous
Looking Ahead - Economic Data (GMT )
•13:30 US Nov CPI (MoM) 0.3% forecast, 0.4% previous
•13:30 Canada New Motor Vehicle Sales (MoM) 138.4% previous
•13:30 US Nov CPI Index, s.a 298.06 previous
•13:30 US Nov CPI, n.s.a (MoM) 0.41% previous
•13:30 US Nov Core CPI Index 299.47 previous
•13:30 US Nov CPI (YoY) 7.3% forecast, 7.7% previous
•13:30 US Nov Core CPI (MoM) 0.3% forecast, 0.3% previous
•13:30 US US CPI Index, n.s.a. 298.05 forecast, 298.01 previous
•13:30 US Nov Real Earnings (MoM) -0.1% previous
•13:30 US Nov Core CPI (YoY) 6.1% forecast, 6.3% previous
•13:55 US Redbook (YoY) 5.7% previous
•15:00 US IBD/TIPP Economic Optimism 41.3 forecast, 40.4 previous
•16:00 US Nov Cleveland CPI (MoM) 0.5% previous
•18:00 US 30-Year Bond Auction 4.080% previous
•21:30 US API Weekly Crude Oil Stock -3.913M forecast,-6.426M previous
Looking Ahead - Events, Other Releases (GMT)
•No significant events
Fxbeat
EUR/USD: The euro was little changed against dollar on Tuesday as investors maintained caution ahead of U.S. inflation data and the Federal Reserve’s policy decision. The market’s focus now shifts to the U.S. consumer price index (CPI) report for November that is due at 1330 GMT. The core consumer price index is expected to have risen by 6.1% in November from October's 6.3%, while headline inflation is forecast to have fallen to 7.3% from 7.7%. Immediate resistance can be seen at 1.0584(23.6%fib), an upside break can trigger rise towards 1.0655(Higher BB).On the downside, immediate support is seen at 1.0513(9DMA), a break below could take the pair towards 1.0435(38.2%fib).
GBP/USD: The pound held broadly steady on Tuesday, as gains following UK employment data were offset by caution ahead of a key reading of U.S. consumer inflation.Britain's jobless rate rose for a second month and there were other signs in data on Tuesday that some of the inflationary heat in the labour market is cooling as the economy stumbles, including a rise in older people looking for work. The pound was last up 0.1% against the dollar at $1.2291, and up 0.1% against the euro , which traded around 85.79 pence. Immediate resistance can be seen at 1.2346( 23.6%fib), an upside break can trigger rise towards 1.2387(Higher BB).On the downside, immediate support is seen at 1.2226(9DMA), a break below could take the pair towards 1.2126(38.2%fib).
USD/CHF: The dollar firmed against the Swiss franc on Tuesday ahead of the release of U.S. inflation data and the final Federal Reserve meeting of the year, with investors waiting to update interest rate outlooks. The figures, due at 1330 GMT, will test that assumption, while the Fed's decision on Wednesday should provide some reasonably instant feedback from policymakers. Economists polled by Reuters expect November core inflation to be steady at 0.3% month-on-month but see a moderation in the annual pace, with headline prices seen 7.3% higher than a year earlier. Immediate resistance can be seen at 0.9393(5DMA), an upside break can trigger rise towards 0.9416(38.2%fib).On the downside, immediate support is seen at 0.9313(23.6%fib), a break below could take the pair towards 0.9262 (Lower BB).
USD/JPY: The dollar was little changed against Japanese yen on Tuesday as investors awaited U.S. inflation data and the Federal Reserve’s rate-hike decision.U.S. monthly consumer inflation, which is due to be released later on Tuesday and is forecast to show price pressures moderated for a fifth month in November.The question for investors is whether or not that will be enough to temper expectations for U.S. interest rates to peak around 5% by May or June. The U.S. central bank is set to issue its policy statement at 2 p.m. EST (1900 GMT) on Wednesday, followed by a press conference from Fed Chair Jerome Powell at 1930 GMT. Strong resistance can be seen at 138.00(Psychological level), an upside break can trigger rise towards 139.68(23.6%fib).On the downside, immediate support is seen at 137.22(38.2%fib), a break below could take the pair towards 136.55(9DMA).
Equities Recap
European shares were subdued on Tuesday as investors refrained from making big bets ahead of consumer inflation data from the United States, a crucial report ahead of the Federal Reserve's interest rate decision on Wednesday.
At (GMT 12:07) UK's benchmark FTSE 100 was last trading up at 0.37 percent, Germany's Dax was up by 0. 83 percent, France’s CAC was up by 0. 67 percent.
Commodities Recap
Gold prices traded in a narrow range on Tuesday as investors held back from making large bets ahead of U.S. inflation data and the Federal Reserve’s rate-hike decision.
Spot gold was up 0.1% at $1,783.16 per ounce by 1011 GMT. U.S. gold futures edged 0.1% higher to $1,793.90.
Oil extended gains on Tuesday on supply disruptions and as COVID restrictions eased in China, the world's largest crude importer.
Brent crude futures were up 64 cents, or 0.82%, to $78.63 per barrel by 1159 GMT, while U.S. West Texas Intermediate (WTI) crude futures gained 39 cents, or 0.53%, to $73.56.