Posted at 23 December 2022 / Categories Market Roundups
Market Roundup
•Finnish Nov Import Price Index (YoY) 18.5%,21.2% previous
•Finnish Nov Export Price Index (YoY) 17.4%, 23.2% previous
•Finnish Nov PPI (YoY) 18.8%,22.3% previous
•French Nov PPI (MoM) 1.2%, -0.1% previous
•Spanish GDP (QoQ) (Q3)0.1%, 0.2% forecast,1.5% previous
•Spanish GDP (YoY) (Q3)4.4%, 3.8% forecast, 6.8% previous
•Italian Dec Business Confidence 101.4, 102.7 forecast,102.5 previous
Looking Ahead - Economic events(GMT)
•13:30 Canada GDP (YoY) 3.93% previous
•13:30 US Nov Core PCE Price Index (YoY) 4.7% forecast,5.0% previous
•13:30 US Nov Core PCE Price Index (MoM) 0.2% forecast, 0.2% previous
•13:30 US Nov PCE price index (MoM) 0.3% previous
•13:30 US Nov PCE Price index (YoY) 6.0% previous
•13:30 US Nov Real Personal Consumption (MoM) 0.5% previous
•13:30 US Nov Personal Spending (MoM) 0.2% forecast, 0.8% previous
•13:30 US Nov Core Durable Goods Orders (MoM) 0.1% forecast,0.5% previous
•13:30 US Nov Durables Excluding Defense (MoM) 0.9% previous
•13:30 US Nov Goods Orders Non Defense Ex Air (MoM) 0.6% previous
•13:30 US Nov Durable Goods Orders (MoM) -0.6% forecast,1.1% previous
•13:30 Canada Oct GDP (MoM) 0.1% forecast, 0.1% previous
•13:30 US Nov Chicago Fed National Activity -0.05 previous
•13:30 Nov Personal Income (MoM) 0.3% forecast, 0.7% previous
•14:00 Belgium Dec NBB Business Climate -16.6 previous
•14:46 US Nov Dallas Fed PCE 3.40% previous
•15:00 US Dec Michigan 5-Year Inflation Expectations 3.00% previous
•15:00 US Nov New Home Sales (MoM) -4.7% forecast, 7.5% previous
•15:00US Dec Michigan Consumer Expectations 58.4 previous
•15:00 US Dec Michigan Consumer Sentiment 59.1 forecast,59.1 previous
•15:00 US Dec Michigan Current Conditions 60.2 previous
•15:00 US Dec Michigan Inflation Expectations 4.6% previous
•15:00 US Nov New Home Sales 600K forecast,632K previous
•16:00 Canada Oct Budget Balance -2.16B previous
•16:00 Canada Oct Budget Balance (YoY) 1.72B previous
•18:00 U.S. Baker Hughes Oil Rig Count 620 previous
Looking Ahead - Economic events and other releases (GMT)
•No significant events
Fxbeat
EUR/USD: The euro strengthened against dollar on Friday as the European Central Bank pledged further rate hikes. The European Central Bank may raise rates at its current pace for a “period of time” to curb inflation, said Vice-President Luis de Guindos. The ECB last week eased the pace of its interest rate hikes but stressed that significant tightening remained ahead while laying out plans to drain cash from the financial system as part of a dogged fight against inflation. The euro was up slightly against the dollar, standing 0.1% higher at $1.061, after slipping less than 0.1% on Thursday. Immediate resistance can be seen at 1.0665(23.6%fib), an upside break can trigger rise towards 1.0718(Higher BB).On the downside, immediate support is seen at 1.0580(5DMA), a break below could take the pair towards 1.0495(38.2%fib).
GBP/USD: The British pound edged up against the U.S. dollar on Friday in thin trading conditions, but was still set for its third straight weekly drop against both currencies. The pound was last up 0.2% versus the dollar at $1.2055. It hit its lowest level in over three weeks on Thursday at $1.1993. Sterling is up 8% against the greenback in the quarter-to-date, heading for its biggest quarterly gain in 13 years as a slowdown in U.S. inflation prompted bets that the Fed would soon stop raising interest rates. Immediate resistance can be seen at 1.2111( 5DMA), an upside break can trigger rise towards 1.2180(23.6%fib).On the downside, immediate support is seen at 1.2006 (38.2%fib),a break below could take the pair towards 1.1948 (Lower BB).
USD/CHF: The dollar little changed against the Swiss franc on Friday as traders awaited economic data due later in the day to gauge the Federal Reserve’s rate hike stance. Investors’ attention turns to personal consumption expenditure (PCE) data due at 1330 GMT, for cues on inflation. The Federal Reserve lowered its pace of rate hikes gradually to 50 bps in December after four consecutive 75 bps rate hikes.However, last week, Fed Chair Jerome Powell said the U.S. central bank will deliver more rate hikes next year, even as the economy slips towards a possible recession. Immediate resistance can be seen at 0.9350(38.2%fib ), an upside break can trigger rise towards 0.9386(Dec 14th high).On the downside, immediate support is seen at 0.9288(5DMA), a break below could take the pair towards 0.9231 (23.6%fib).
USD/JPY: The dollar strengthened against yen on Friday as stronger than expected U.S. economic data on Thursday supported greenback. Dollar index has dropped more than 8% since hitting a 20-year high in September, with a sharp slowdown in U.S. inflation raising hopes that the Fed may soon end its tightening cycle.However, data cast doubt on the idea of a Fed pause on Thursday. The number of Americans filing new claims for unemployment benefits increased less than expected last week, pointing to a still-tight labour market. Strong resistance can be seen at 132.20(5DMA), an upside break can trigger rise towards 133.79(38.2%fib).On the downside, immediate support is seen at 131.44(23.6%fib), a break below could take the pair towards 130.62(Dec 20th low).
Equities Recap
Europe's STOXX 600 edged higher on Friday, with gains in healthcare firms and banks putting the index on course to end the last week before Christmas on an upbeat note.
At (GMT 12:58) UK's benchmark FTSE 100 was last trading up at 0.05 percent, Germany's Dax was up by 0. 27 percent, France’s CAC was down by 0.16 percent,
Commodities Recap
Oil prices rose 2% on Friday on expectations of a drop in Russian crude supply, which helped offset worries of a hit to U.S. transport fuel demand growth as a looming Arctic storm threatens travel during the holiday season.
Brent crude was up by $1.40, or 1.70%, to $82.38 a barrel at 1044 GMT, while U.S. West Texas Intermediate (WTI) crude was at $78.98 a barrel, up $1.49, or nearly 2 % higher.
Gold prices eked out gains on Friday ahead of a long holiday weekend as investors awaited U.S. inflation data due later in the day that could offer some clues to the Federal Reserve rate-hike path.
Spot gold rose 0.3% to $1,797.98 per ounce by 0954 GMT. U.S. gold futures gained 0.6% to $1,805.90.