Posted at 23 February 2023 / Categories Market Roundups
Market Roundup
•EU Jan CPI (YoY) 8.6%, 8.6% forecast, 8.5% previous
•EU Jan CPI (MoM) -0.2%,-0.2%forecast,-0.4% previous
•EU Jan CPI ex Tobacco (YoY) 8.8%,9.3% previous
• EU Jan HICP ex Energy & Food (YoY) 7.1%,6.9% forecast,7.0% previous
• EU Jan Core CPI (YoY) 5.3%,5.2% forecast,5.2% previous
Looking Ahead Economic data (GMT)
•13:30 US Jobless Claims 4-Week Avg 189.50K previous
•13:30 US Continuing Jobless Claims 1,700K forecast, 1,696K previous
•13:30 US Initial Jobless Claims 200K forecast, 194K previous
•13:30 US Corporate Profits (QoQ) (Q4) 0.8% previous
•13:30 US GDP Price Index (QoQ) (Q4) 3.5% forecast, 4.4% previous
•13:30 US Core PCE Prices (Q4) 3.90% forecast,3.90% previous
•13:30 US PCE Prices (Q4) 3.2% previous
•13:30 US GDP (QoQ) (Q4)2.9% forecast,3.2% previous
•13:30 US GDP Sales (Q4)1.4% previous
•13:30 US Real Consumer Spending (Q4)2.1% previous
•13:30 US Jan Chicago Fed National Activity -0.49 previous
•15:30 US Natural Gas Storage -67B forecast-100B previous
•16:00 US Crude Oil Inventories 2.083M forecast, 16.283M previous
Looking Ahead - Events, Other Releases (GMT)
•15:50 US FOMC Member Bostic Speaks
Fxbeat
EUR/USD: The euro was little changed on Thursday after data showed euro zone inflation data came in a touch higher in January. Euro zone inflation was only a touch higher in January than earlier estimated, Eurostat said on Thursday, confirming that price growth is now well past its peak, even if underlying price pressures still show no signs of abating. Consumer price inflation in the 20 nations sharing the euro eased to 8.6% in January from 9.2% a month earlier, coming in just above the 8.5% estimated earlier this month, when figures from Germany, the bloc's biggest economy, were not yet included. Immediate resistance can be seen at 1.0692(5DMA), an upside break can trigger rise towards 1.0808(23.6%fib).On the downside, immediate support is seen at 1.0602(38.2%fib), a break below could take the pair towards 1.0541(Lower BB).
GBP/USD: Sterling eased against the dollar on Thursday, shaking off hawkish remarks by a Bank of England policymaker. Bank of England Monetary Policy Committee member Catherine Mann said that it was too soon to say the risks posed by the surge in inflation last year had eased and the central bank should continue to raise borrowing costs.By 1200 GMT, the pound was 0.1% lower against the dollar at $1.203 and 0.1% weaker against the euro as well at 88.15 pence. Immediate resistance can be seen at 1.1996(5DMA), an upside break can trigger rise towards 1.2168(23.6%fib).On the downside, immediate support is seen at 1.2025(Daily low), a break below could take the pair towards 1.1987(38.2%fib).
USD/CHF: The dollar steadied against the Swiss franc on Thursday after minutes from the Federal Reserve's latest policy meeting indicated that the U.S. central bank would likely keep interest rates higher for longer to check high inflation. Minutes from the Fed’s Jan. 31-Feb. 1 policy meeting released on Wednesday showed policymakers agreed rates would need to move higher, but that the shift to smaller-sized hikes would let them calibrate more closely with incoming data. Traders of Fed funds futures expect benchmark rates to peak at 5.362% in July and remain above 5% through the year. Immediate resistance can be seen at 0.9338 (Higher BB), an upside break can trigger rise towards 0.9392(Higher BB).On the downside, immediate support is seen at 0.9290(38.2%fib ), a break below could take the pair towards 0.9258(5DMA).
USD/JPY: The dollar steadied against yen on Thursday as markets warmed up to the idea the Federal Reserve is likely to stay on its aggressive rate-hike path, after minutes from its last policy meeting reinforced the central bank's hawkish rhetoric. Minutes from the Jan. 31-Feb. 1 Federal Open Market Committee (FOMC) meeting showed nearly all policymakers favoured a slowing in the pace of interest rate hikes, but they also indicated curbing unacceptably high inflation would be the "key factor" in how much further rates need to rise. The dollar sat at 134.94 Japanese yen , just off its two-month top of 135.2 reached on Tuesday. Strong resistance can be seen at 135.38(38.2%fib), an upside break can trigger rise towards 136.22 (Higher BB).On the downside, immediate support is seen at 134.63(5DMA), a break below could take the pair towards 133.81(38.2%fib)
Equities Recap
European shares rose on Thursday, after two straight sessions of declines, as U.S. semiconductor designer Nvidia's positive sales forecast sparked a rally in chip stocks.
At (GMT 13:05 ),UK's benchmark FTSE 100 was last trading down at 0.17 percent, Germany's Dax was up by 0.57 percent, France’s CAC was down by 0.40percent.
Commodities Recap
Oil prices stabilised on Thursday after Brent crude posted its biggest one-day loss for seven weeks in the previous session, with gains on Russian supply curbs capped by an expected rise in U.S. inventories.
Brent crude futures rose 25 cents, or 0.3%, to $80.85 a barrel by 1004 GMT, compared with about $98 a barrel on the eve of Russia's invasion of Ukraine a year ago.
West Texas Intermediate crude futures (WTI) advanced 26 cents, or 0.4%, to $74.21 after six sessions of losses.
Gold prices were little changed on Thursday as traders waited for U.S. growth data for more clues on the pace of Federal Reserve rates hikes and a stronger dollar capped advances.
Spot gold were steady at $1,824.87 per ounce by 1143 GMT. U.S. gold futures fell 0.5% to $1,832.70.