Posted at 14 March 2023 / Categories Market Roundups
Market Roundup
•UK Jan Average Earnings ex Bonus 6.5%, 6.6% forecast,6.7% previous
•UK Feb Claimant Count Change -11.2K, -12.4K forecast,-12.9K previous
•UK Jan Average Earnings Index +Bonus 5.7%, 5.7% forecast,5.9% previous
•UK Jan Employment Change 3M/3M (MoM) 65K,52K forecast,74K previous
• UK Jan Unemployment Rate 3.7%,3.8% forecast,3.7% previous
•Swiss Feb PPI (YoY) 2.7%,3.3% previous
•Swiss Feb PPI (MoM) -0.2%,0.5% forecast,0.7% previous
•Spanish Feb CPI (YoY) 6.0%, 6.1% forecast,5.9% previous
•Spanish Feb HICP (YoY) 6.0%, 6.1% forecast,5.9% previous
•Italian Jan Industrial Production (YoY) 1.4%,2.9% forecast,0.1% previous
•Italian Jan Industrial Production (MoM) -0.7% , -0.1% forecast,1.6% previous
Looking Ahead Economic Data(GMT)
•12:30 Canada New Motor Vehicle Sales (MoM) 111.1% previous
•12:30 US Feb CPI Index, s.a 300.54 previous
•12:30 US Feb CPI, n.s.a (MoM) 0.80% previous
•12:30 US Feb CPI Index, n.s.a.300.86 forecast, 299.17 previous
•12:30 US Feb Real Earnings (MoM) 0.7% previous
•12:30 US Feb Core CPI (YoY) 5.5% forecast,5.6% previous
•12:30 US Feb CPI (YoY) 6.0% forecast,6.4% previous
•12:30 Canada Jan Manufacturing Sales (MoM) 3.9% forecast, -1.5% previous
•12:30 US Feb CPI (MoM) 0.4% forecast, 0.5% previous
•12:30 US Feb Core CPI (MoM) 0.4% forecast, 0.4% previous
•12:30 US Feb Core CPI Index 302.70 previous
•12:55 Redbook (YoY) 3.0% previous
•15:00 US Feb Cleveland CPI (MoM) 0.7% previous
•20:30 USAPI Weekly Crude Oil Stock-3.835M previous
Looking Ahead Events And Other Releases (GMT)
•No events ahead
Fxbeat
EUR/USD: The euro strengthened against the dollar on Tuesday as a brewing U.S. banking crisis prompted investors to downgrade their expectations for interest rate hikes. Investors were just recovering from a reality-check that prompted many to assume that rates around the world were likely to head much higher and stay there for longer than previously expected. In under a week, three U.S. banks have collapsed. It has been the failure of technology-sector lender Silicon Valley Bank (SVB) that has rattled investor confidence Immediate resistance can be seen at 1.0738 (Daily high), an upside break can trigger rise towards 1.0781(23.6%fib).On the downside, immediate support is seen at 1.0665 (38.2%fib), a break below could take the pair towards 1.0609(5DMA).
GBP/USD: Sterling dipped against the dollar on Tuesday, but still traded near its one-month high hit a day earlier after market turmoil led to a dramatic pullback in U.S. rate expectations and short-term yields and sent the greenback tumbling.U.S. inflation data due later in the day will also have an effect on currencies, though while a week ago it was seen as one of the month’s main events for markets its consequences will likely be somewhat swamped by recent volatility. The pound was 0.2% lower against the dollar at $1.2156 , just off the previous day’s top of $1.220, its highest since Feb. 14.. Immediate resistance can be seen at 1.2180 (23.6%fib), an upside break can trigger rise towards 1.2221(Higher BB).On the downside, immediate support is seen at 1.1981(38.2%fib), a break below could take the pair towards 1.1931(5DMA).
USD/CHF: The dollar dipped against the Swiss franc on Tuesday as investors were cautious ahead of key U.S. inflation data. The U.S. CPI data is expected to show that inflation cooled to 6% year-on-year in February, from 6.4% in January. Investors will keep a beady eye on the core reading, which strips out volatile food and energy prices and is closely watched by the Fed. The dollar was down 0.13% to 0.911 Swiss francs on Tuesday, after dropping 1.04% against the safe-haven currency on Monday. Immediate resistance can be seen at 0.9166 (5DMA), an upside break can trigger rise towards 0.9212(38.2%fib).On the downside, immediate support is seen at 0.9106 (23.6%fib), a break below could take the pair towards 0.9072(Lower BB).
USD/JPY: The dollar steadied against yen on Tuesday in calmer trading on Tuesday, after tumbling on Monday following the collapse of Silicon Valley Bank (SVB).Tuesday's consumer price index (CPI) figures, due out at 8.30 a.m. ET (1230 GMT), have the potential to drive further volatility in global markets. They come a day after fears of a potential banking crisis caused traders to rapidly scale down their expectations for Federal Reserve rate hikes. The dollar was up 0.61% to 134.02 yen , reversing some of Monday's 1.38% slide. Strong resistance can be seen at 133.30(Daily high), an upside break can trigger rise towards 134.00(Psychological level).On the downside, immediate support is seen at 133.06(38.2%fib), a break below could take the pair towards 132.44(Lower BB).
Equities Recap
Rate-sensitive real estate stocks supported the wider European benchmark on Tuesday after a three-day sell-off in the wake of Silicon Valley Bank's (SVB) collapse that sent chills through the banking sector globally.
At (GMT 12:23 ),UK's benchmark FTSE 100 was last trading up at 0.06 percent, Germany's Dax was up by 0.96 percent, France’s CAC was up by 0.68 percent.
Commodities Recap
Gold prices eased on Tuesday, pausing their sharp rally driven by the U.S. banking crisis, as the dollar rebounded, while traders positioned for inflation data that could also influence the Federal Reserve’s interest rate strategy.
Spot gold was down 0.6% at $1,902.40 per ounce, as of 1057 GMT. U.S. gold futures fell 0.5% to $1,907.20.
Oil prices dropped more than $2 a barrel on Tuesday, extending the previous day's slide, as the collapse of Silicon Valley Bank rattled equities markets and sparked fear about a fresh financial crisis.
Oil prices dropped more than $2 a barrel on Tuesday, extending the previous day's slide, as the collapse of Silicon Valley Bank rattled equities markets and sparked fear about a fresh financial crisis.
Brent crude futures fell $1.64, or 2%, to $79.13 a barrel by 1001 GMT. U.S. West Texas Intermediate crude futures (WTI) dropped $1.74, or 2.3%, to $73.06 a barrel. On Monday, Brent and WTI fell to their lowest since early January and December, respectively.