Posted at 29 March 2023 / Categories Market Roundups
Market Roundup
• German GfK Consumer Climate -29.5,-29.2 forecast,-30.5 previous
•Sweden Feb Retail Sales (YoY) -9.4%,-7.5% previous
•Sweden Feb Retail Sales (MoM) -1.2%, -0.1% previous
•French Mar Consumer Confidence 81,81 forecast,82 previous
•Sweden Mar Consumer Confidence 62.8,59.9 previous
•UK Feb BoE Consumer Credit 1.413B,1.300B forecast,1.597B previous
•UK Feb Mortgage Lending 0.74B,2.40B forecast,2.54B previous
•UK Feb Mortgage Approvals 43.54K,40.50K forecast,39.64K previous
•UK Net Lending to Individuals 2.2B,3.7B forecast,4.1B previous
Looking Ahead Economic Data(GMT)
•14:00 US Feb Pending Home Sales Index 82.5 previous
•14:00 US Fed Barr Testimony
•14:00 US Feb Pending Home Sales (MoM) -2.3% forecast,8.1% previous
•14:30 US Cushing Crude Oil Inventories-1.063M previous
•14:30 US Gasoline Production 0.392M previous
•14:30 US Distillate Fuel Production 0.075M previous
•14:30 US EIA Weekly Refinery Utilization Rates (WoW) 0.6% forecast,0.4% previous
•14:30 US Gasoline Inventories -1.617M forecast,-6.400M previous
•14:30 US Crude Oil Inventories 0.092M forecast,1.117M previous
Looking Ahead Events and Other Releases (GMT)
•No Events Ahead
Fxbeat
EUR/USD: The euro gained ground on Wednesday as investors welcomed more stability in the banking sector. Asset sales from Silicon Valley Bank (SVB), the regional lender that collapsed earlier this month, helped boost investors' risk appetite. Several measures of stress in the market have eased, helping stocks, European currencies, and commodities rally. The euro was up 0.14% at $1.0862.Immediate resistance can be seen at 1.0866(23.6%fib), an upside break can trigger rise towards 1.0895(Higher BB).On the downside, immediate support is seen at 1.0819(5DMA), a break below could take the pair towards 1.0758(38.2%fib).
GBP/USD: The sterling rose to an eight-week high against the dollar on Wednesday as concerns about the health of the global financial system continued to ease. Markets were volatile in March following the collapse of US tech lender Silicon Valley Bank (SVB) and banking rival UBS' emergency takeover of Credit Suisse, stoking fears of tensions systemic stress that could lead to more bank failures. But relief swept markets this week after US regional lender First Citizens BancShares bought SVB's assets and a lack of fresh concerns helped boost investor confidence. The sterling rose 0.1% against the dollar to $1.2359, its highest since Feb. 2.Immediate resistance can be seen at 1.2360 (23.6%fib), an upside break can trigger rise towards 1.2381(Higher BB).On the downside, immediate support is seen at 1.2297(5DMA), a break below could take the pair towards 1.2270(38.2%fib).
USD/CHF: The dollar initially dipped against the Swiss franc on Wednesday but recovered some ground as investors returned to riskier assets betting that contagion risks from the global banking crisis have now been contained. Meanwhile focus remained on the Federal Reserve's interest rate strategy, with investors pricing in a 40.5% chance of a 25-basis-point hike in May, according to the CME FedWatch tool.Last week, the central bank suggested it was on the verge of pausing future hikes, but Fed Chair Jerome Powell reiterated the Fed's commitment to reining in inflation. The dollar index, which measures the performance of the U.S. currency against six others, was roughly flat on the day at 102.46.Immediate resistance can be seen at 0.9202(9DMA), an upside break can trigger rise towards 0.9258(38.2%fib).On the downside, immediate support is seen at 0.9140(23.6%fib), a break below could take the pair towards 0.9081(Lower BB).
USD/JPY: The dollar rose sharply against the yen on Wednesday as volatile increased as the end of the Japanese fiscal year approached. The yen remained volatile in the run-up to the end of the Japanese fiscal year on Friday.The dollar had dropped 0.5% against the yen the previous day, when it uncharacteristically moved in the opposite direction to long-term U.S. Treasury yields, which have been rising as calm returns to markets. The 10-year benchmark U.S. yield squeezed up to a one-week peak of 3.583% in Tokyo trading, but was last little changed at 3.556%. The Japanese yen , fell 0.6% against the dollar to 131.65 per dollar, after rising 0.5% the day before. Strong resistance can be seen at 132.08(Daily high), an upside break can trigger rise towards 132.92 (38.2%fib).On the downside, immediate support is seen at 131.44(9DMA), a break below could take the pair towards 130.29(23.6%fib).
Equities Recap
European stocks rose on Wednesday, reflecting optimistic sentiment in Asian markets after plans to disrupt Chinese tech giant Alibaba, while Swiss bank UBS rose after rehiring Sergio Ermotti as chief executive.
At (GMT 12:22 ),UK's benchmark FTSE 100 was last trading up at 0.75 06 percent, Germany's Dax was up by 0.88 percent, France’s CAC was up by 1.24 percent.
Commodities Recap
Gold prices fell on Wednesday as investors turned to riskier assets, betting that the risk of contagion from a global banking crisis was contained for now.
Spot gold was trading 0.4% lower at $1,965.89 per ounce, as of 0924 GMT. U.S. gold futures slipped 0.3% to $1,967.50.
Oil rose for a third straight session on Wednesday as some exports from Iraq's Kurds stalled stoking fears of tighter supply and easing fears of a global banking crisis supported risk sentiment across the broader markets.
Brent crude climbed 67 cents, or 0.9%, to $79.32 a barrel by 0954 GMT, while West Texas Intermediate U.S. crude increased 72 cents, or 1%, to $73.92.