Posted at 30 December 2022 / Categories Market Roundups
Market Roundup
•UK Dec Nationwide HPI (MoM)-0.1%, -0.7% forecast, -1.4% previous
•UK Dec Nationwide HPI (YoY)2.8%, 2.3%forecast, 4.4% previous
• Spanish CPI (YoY) 5.8%, 6.1% forecast, 6.8% previous
• Spanish CPI (MoM) 0.3%, -0.1% previous
• Spanish Dec HICP (YoY) 5.6%, 6.0% forecast, 6.7% previous
•Greek Nov PPI (YoY) 26.2%, 35.4% previous
•Greek Oct Retail Sales (YoY) -2.2%, 1.4% previous
• US Dec Chicago PMI 44.9, 40.0 forecast, 37.2 previous
Looking Ahead - Economic events(GMT)
•18:00 U.S. Baker Hughes Oil Rig Count 622 previous
•18:00 U.S. Baker Hughes Total Rig Count 779 previous
Looking Ahead - Economic events and other releases (GMT)
• No significant event
Fxbeat
EUR/USD: The euro steadied on Friday as dollar dipped in the last trading day of a year dominated by Federal Reserve rate hikes and fears of a sharp slowdown in global growth. Optimism about China's reopening after three years of strict COVID-19 curbs has been tempered by surging infections which threaten more economic disruptions. The euro was up 0.2% on the day at $1.0681 , on track for a 6.2% annual loss versus the dollar, compared to last year's 7% drop. A combination of weak eurozone growth, the war in Ukraine, and the Fed's hawkishness has put the euro under pressure this year. Immediate resistance can be seen at 1.0705(23.6%fib), an upside break can trigger rise towards 1.0736(Dec 15th high).On the downside, immediate support is seen at 1.0647(5DMA), a break below could take the pair towards 1.0605(29th Dec).
GBP/USD: The pound edged higher on Friday as risk sentiment improved after U.S. data showed the Federal Reserve's aggressive rate hike path had begun to affect the labour market. Traders focused on the outlook for China. Optimism about the country's reopening after three years of strict COVID-19 curbs has been tempered by surging infections which threaten more economic disruptions.Sterling was set for its worst performance against the dollar since 2016, when Britain voted to leave the European Union. It was last trading at $1.2086, down 11% on the year. Immediate resistance can be seen at 1.2155( 21DMA), an upside break can trigger rise towards 1.2246(Dec 19th high).On the downside, immediate support is seen at 1.1983(38.2%fib),a break below could take the pair towards 1.1909 (50DMA).
USD/CHF: The dollar dipped against the Swiss franc on Friday as demand for safe haven assets increased as surging COVID-19 cases in China stoked concerns over global economic growth. Dollar lost ground against a basket of world currencies after jobless claims data suggested some easing in the tight labor market, even as optimism over Beijing's relaxed COVID restrictions reopening was dampened by a wave of new COVID cases. Meanwhile, data on Thursday showed that U.S. weekly jobless claims ticked higher last week but remain in a range, indicating the job market remains tight. Immediate resistance can be seen at 0.9272(5DMA), an upside break can trigger rise towards 0.9329(38.2%fib).On the downside, immediate support is seen at 0.9203(23.6%fib), a break below could take the pair towards 0.9172(Lower BB).
USD/JPY: The dollar dipped against Japanese yen on Friday on the final trading day of a roller-coaster year marked by aggressive interest-rate hikes to curb inflation, the Russia-Ukraine war and recession fears.The Bank of Japan's ultra-dovish stance has seen the dollar gain 14.5% versus the yen so far this year, in the yen's worst performance since 2013. But the Bank of Japan's surprise decision to tweak its bond yield control programme saw the yen jump to a four-month high against the U.S. dollar earlier in December. The U.S. dollar was down around 0.9% against the Japanese yen, at 131.85 .Strong resistance can be seen at 133.25(9DMA), an upside break can trigger rise towards 134.09(38.2%fib).On the downside, immediate support is seen at 131.65(23.6%fib), a break below could take the pair towards 130.33 (Lower BB).
Equities Recap
European shares slipped in the last trading session of a rough year marked by geopolitical tensions and fears of a recession as central banks tightened monetary policies.
At (GMT 15:25) UK’s FTSE 100 was last trading down at 0.81% percent, Germany's Dax was down by 1.21 percent, France’s CAC was down by 0.97 percent.
Commodities Recap
Gold prices were set to wrap up their best quarter since June 2020 on Friday on investor expectations the U.S. Federal Reserve will slow its interest rate hikes after a fast-paced tightening cycle tempered bullion’s safe-haven rally this year.
On the last trading day of 2022, spot gold rose 0.3% to $1,820.00 per ounce by 1227 GMT, while U.S. gold futures were steady at $1,826.00.
Oil was on track for a second straight annual gain in a volatile year marked by tight supplies because of the Ukraine war and weakening demand from the world's top crude importer, China.
On Friday, Brent crude rose 55 cents, or 0.7%, to $84.01 a barrel by 1436 GMT. U.S. West Texas Intermediate crude was down 2 cents at $78.38.