Posted at 11 January 2023 / Categories Market Roundups
Market Roundup
•Italian Nov Retail Sales (MoM) 0.8%,-0.4% previous
•Italian Nov Retail Sales (YoY) 4.4%, 1.3% previous
•Italian 12-Month BOT Auction 3.086%, 2.669% previous
Looking Ahead - Economic Data (GMT)
•15:30 US Heating Oil Stockpiles-0.476M previous
•15:30 US Gasoline Inventories 1.186M forecast, -0.346M previous
•15:30 US EIA Weekly Refinery Utilization Rates (WoW)6.1% forecast, -12.4% previous
•15:30 US Gasoline Production -1.678M previous
•15:30 US EIA Weekly Distillates Stocks -0.472M forecast,-1.427M previous
•15:30 US Cushing Crude Oil Inventories 0.244M previous
•15:30 US Crude Oil Imports -1.282M previous
•15:30 US EIA Refinery Crude Runs (WoW)-2.329M previous
•15:30 US Crude Oil Inventories -2.243M forecast,1.694M previous
•15:30 US Distillate Fuel Production -1.050M previous
Looking Ahead - Economic events and other releases (GMT)
•No events ahead
Fxbeat
EUR/USD: The euro flattened against the dollar as investors awaited U.S. consumer price data due this week. Markets will look towards U.S. inflation data due on Thursday for cues on the likely path of rates this year after Federal Reserve Chairman Jerome Powell avoided speaking about rate hikes at a conference on Tuesday. The euro hovered around its strongest level against the dollar in seven months, flattening at $1.0733The dollar has lost almost 12% against euro since hitting a 20-year peak in September as investors have started to anticipate easing inflation and with it a softer dollar as the need for more interest rate hikes wanes. 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 Wednesday as investors waited for U.S. inflation data for cues on the Federal Reserve's interest rate policy. The U.S. consumer price index report, due on Thursday, is expected to show some moderation in the year-on-year price increase in December. Fed Chair Jerome Powell did not give any policy clues during a panel discussion in Stockholm on Tuesday, and with other Fed officials saying their next moves will be data-dependent, investors are keenly focused on U.S. CPI data. 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 Wednesday as traders waited for this week's U.S. consumer price data to see whether it will confirm that inflation is in retreat. Investor attention will squarely be on the U.S. consumer price index (CPI), scheduled to be released on Thursday. The data is expected to show December's headline annual inflation at 6.5%, versus 7.1% in November. The dollar index, which measures the dollar against six major currencies, was mostly flat at 103.21, hovering close to a seven-month low. 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 edged higher against Japanese yen on Wednesday as traders positioned themselves for Thursday’s inflation data that could influence the U.S. Federal Reserve’s rate-hike stance. Thursday's data will be crucial in determining what the Fed is likely to do with interest rates in its next meeting at the start of February. Investors are betting that the upcoming inflation report could show further deceleration, potentially giving the Fed room to slow the pace of interest rate rises. The Japanese yen weakened 0.05% to 132.33 per dollar . Strong resistance can be seen at 132.38(9DMA), 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 opened higher on Wednesday, as optimism surrounding China's reopening offset lingering worries about slowing global growth and interest rates staying high for a longer period.
At (GMT 12:15),UK's benchmark FTSE 100 was last trading up at 0.64 percent, Germany's Dax was up by 1.05 percent, France’s CAC was trading up by 0.97 percent.
Commodities Recap
Gold prices scaled an eight-month peak on Wednesday, underpinned by a subdued dollar, although they traded in a tight range as traders positioned themselves for inflation data that could influence the U.S. Federal Reserve’s rate-hike stance.
Spot gold was up 0.3% at $1,883.48 per ounce, as of 0727 GMT, its highest level since early-May. U.S. gold futures rose 0.5% to $1,885.90.
Oil prices were broadly steady on Wednesday as market participants were pulled in different directions by an unexpected build in U.S. crude and fuel inventories, global economic uncertainty and China reopening its economy.
Brent crude futures were up 53 cents, or 0.7%, at $80.63 a barrel by 0921 GMT. U.S. West Texas Intermediate (WTI) crude futures rose 41 cents, or 0.6%, to $75.53 a barrel.Both contracts rose on Monday and Tuesday, rebo