Posted at 10 January 2023 / Categories Market Roundups
Market Roundup
•Greek Nov Unemployment Rate 11.4%, 11.6% previous
•Greek Nov Industrial Production (YoY) -0.9%, -2.5% previous
Looking Ahead - Economic Data (GMT)
•13:55 US Redbook (YoY) 10.2% previous
•15:00 US IBD/TIPP Economic Optimism 41.7 forecast, 42.9 previous
•15:00 US Wholesale Inventories (MoM) 1.0% forecast, 1.0% previous
•15:00 US Nov Wholesale Trade Sales (MoM) 0.5% forecast, 0.4% previous
•18:00 US 3-Year Note Auction 4.093% previous
Looking Ahead - Economic events and other releases (GMT)
• 14:00 US Fed Chair Powell Speaks
Fxbeat
EUR/USD: The euro inched higher against dollar on Tuesday as investors looked for more clarity on the outlook of the Fed's rate-hike path. Markets were awaiting a speech by Fed Chair Jerome Powell later on Tuesday and U.S. inflation data on Thursday, which could give cues on the likely path of rates this year. The euro was last 0.02% higher at $1.0739, holding near the previous session’s seven-month peak of $1.07605 that came on the back of the dollar’s decline. Immediate resistance can be seen at 1.0761(23.6%fib), an upside break can trigger rise towards 1.0787 (Higher BB).On the downside, immediate support is seen at 1.0643(9DMA), a break below could take the pair towards 1.0526(38.2%fib).
GBP/USD: The pound dipped on Tuesday, as a week-old rally ran out of steam following downbeat data and a reminder from the Bank of England’s chief economist that inflation could prove persistent, even as domestic energy prices retreat.A series of surveys on Tuesday showed British consumer spending rose in December seemingly defying the cost-of-living crisis but lagged inflation. The British Retail Consortium said spending in store chains rose by 6.9% in annual terms in December, but this was a long way off consumer price inflation, which hit 10.7% in November. The pound was last down 0.2% against the dollar at $1.216 and down 0.2% on the euro at 88.30 pence. Immediate resistance can be seen at 1.2173(23.6%fib), an upside break can trigger rise towards 1.2337(Higher BB),On the downside, immediate support is seen at 1.2091(14DMA), a break below could take the pair towards 1.2000 (Psychological level).
USD/CHF: The dollar steadied against the Swiss franc on Tuesday as investors focused on the outlook for U.S. interest rate hikes.Fed Chair Jerome Powell addresses a conference on central bank indepence later on Tuesday and investors will likely scour his remarks for any signal on monetary policy.The event comes against the backdrop of Fed policymakers saying this week’s inflation data will help them decide whether they can slow the pace of rate hikes at their upcoming meeting, to just a quarter point increase. The Swiss franc was trading 0.11% higher at 0.9222 to the greenback. Immediate resistance can be seen at 0.9275 (9DMA), an upside break can trigger rise towards 0.9314(38.2%fib).On the downside, immediate support is seen at 0.9194(23.6%fib), a break below could take the pair towards 0.9151(Lower BB).
USD/JPY: The dollar was little changed against Japanese yen on Tuesday as traders largely focused on Federal Reserve Chair Jerome Powell's speech for insights into the central bank's rate hike path.. Investors will now turn their attention to a speech by Fed Chair Jerome Powell later on Tuesday and to U.S. inflation data on Thursday, which could give further clarity on the outlook of the Fed’s rate-hike path. At 12:06 GMT, the dollar was trading 0.13 percent higher versus the yen at 132.06. Strong resistance can be seen at 132.38(5DMA), an upside break can trigger rise towards 133.85(38.2%fib).On the downside, immediate support is seen at 131.40(23.6%fib), a break below could take the pair towards 130.00(Psychological level).
Equities Recap
European stocks slipped into the red on Tuesday after two Fed officials said the Federal Reserve would likely raise interest rates to above 5 percent and hold them there for some time in order to keep inflation under control.
At (GMT 12:11),UK's benchmark FTSE 100 was last trading lower at 0.43 percent, Germany's Dax was down by 0.42percent, France’s CAC was trading down by 0.67 percent.
Commodities Recap
Gold prices on Tuesday steadied near an eight-month high scaled in the last session, with cautious traders largely focusing on Federal Reserve Chair Jerome Powell’s upcoming speech for more insight into the U.S. central bank’s rate-hike trajectory.
Spot gold held ground at $1,872.60 per ounce, as of 0651 GMT. U.S. gold futures fell 0.1% to $1,876.50.
Oil prices were stable on Tuesday as the market awaited the Federal Reserve's plans for rate hikes to gauge the impact on the economy and fuel demand.
Brent futures for March were up 15 cents, or 0.19%, to $79.80 a barrel by 1036 GMT. U.S. West Texas Intermediate crude rose 32 cents, or 0.43%, to $74.95.