Posted at 17 April 2023 / Categories Market Roundups
Market Roundup
•Italian Mar HICP (MoM) 0.8%, 0.8% forecast,0.1% previous
•Italian Mar HICP (YoY) 8.1%,8.2% forecast,9.8% previous
•Italian Mar Italian CPI (MoM) -0.4%,-0.3% forecast,0.2% previous
•Italian Mar Italian CPI (YoY) 7.6%,7.7% forecast,9.1% previous
•German 12-Month Bubill Auction 2.916% forecast,2.636% previous
•EU Mar Reserve Assets Total 1,133.10B ,1,096.09B
Looking Ahead Economic Data (GMT)
•`12:30 Canada Feb Foreign Securities Purchases 6.28B forecast,4.21B previous
•13:00 French 6-Month BTF Auction.093% previous
•13:00 French 12-Month BTF Auction 3.170% previous
•13:00 French 3-Month BTF Auction 2.901% previous
•15:30 US 3-Month Bill Auction 4.980% previous
•15:30 US 6-Month Bill Auction 4.795% previous
•20:00 US Feb TIC Net Long-Term Transactions including Swaps 111.80B forecast, 22.30B previous
•20:00 US Feb TIC Net Long-Term Transactions 101.9B forecast, 31.9B previous
•20:00 US Feb Overall Net Capital Flow 197.60B forecast, 183.10B previous
•20:00 US Feb Foreign Buying, T-bonds 42.10B forecast,50.90B previous
Looking Ahead Events And Other Releases (GMT)
•13:00 UK BoE MPC Member Cunliffe Speaks
•13:30 German Buba President Nagel Speaks
Fxbeat
EUR/USD: The euro dipped Monday as investors focused on future European Central Bank rate hikes with growing caution given that an expected peak of 3.75% was already priced in. Expectations for monetary policy moves recently rose as banking crisis fears faded, and central bank hawks delivered unambiguous communication that more tightening was needed.The ECB needs to keep raising interest rates even if most of its past hikes have yet to feed through to the economy as rapid price growth was at risk of getting entrenched, German central bank chief Joachim Nagel said on Friday.ECB dovish official Mario Centeno said the ECB should pause rate hikes in May.Immediate resistance can be seen at 1.1000(Psychological level), an upside break can trigger rise towards 1.107(23.6%fib).On the downside, immediate support is seen at 1.0938(11DMA ), a break below could take the pair towards 1.0856(38.2%fib).
GBP/USD: Sterling inched down on Monday, ahead of a busy week of economic data that will set the tone for the Bank of England’s next meeting and the near-term fortunes for the British currency. Sterling inched down on Monday, ahead of a busy week of economic data that will set the tone for the Bank of England’s next meeting and the near-term fortunes for the British currency. UK February jobs figures are due on Tuesday, which will include wage growth figures, and March inflation numbers are out on Wednesday. British economic data this year so far has been largely coming in better than the albeit low expectations. Immediate resistance can be seen at 1.2443(11DMA), an upside break can trigger rise towards 1.2522(23.6%fib).On the downside, immediate support is seen at 1.2323(38.2%fib), a break below could take the pair towards 1.2272(April 3rd low).
USD/CHF: The dollar was little changed against Swiss Franc on Monday as investors assess the U.S. Federal Reserve's interest rate hike trajectory. Fed Governor Christopher Waller and Atlanta Fed President Raphael Bostic suggested the Fed could hike another 25 basis points (bp) next month. Pricing in derivatives markets shows traders think there's a roughly 86% chance the Fed will hike rates again by 25 basis points in May, up from around 69% last week .That increase came after past U.S. retail sales figures were revised upwards, a Fed official said rate hikes were yet to have the desired effect, and consumer inflation expectations rose on Friday. Immediate resistance can be seen at 0.8948(5DMA), an upside break can trigger rise towards 0.9014(38.2%fib).On the downside, immediate support is seen at 0.8891 (23.6%fib), a break below could take the pair towards 0.8866(April 13th Low).
USD/JPY: The dollar climbed to a one-month high against Japan's yen on Monday as traders eyed up another interest rate hike from the Federal Reserve, while the Bank of Japan stuck to its easy-money policies for now.The dollar rose to 134.22 yen earlier in the session, the highest level since March 15. It was last up 0.19% at 134 yen.Meanwhile, the dollar index which measures the currency against six major peers - was little changed at 101.66. It touched a one-year low of 100.78 on Friday before rebounding somewhat .Strong resistance can be seen at 132.49(Higher BB), an upside break can trigger rise towards 134.94(38.2%fib).On the downside, immediate support is seen at 133.51(50%fib), a break below could take the pair towards 132.70(11DMA)
Equities Recap
European stocks rose to their highest in over a year on Monday just as U.S. earnings season gets into full swing this week and a raft of Chinese data is due to offer insight into how quickly the world's second-largest economy is recovering.
At (GMT 12:10 ),UK's benchmark FTSE 100 was last trading up at 0.25 percent, Germany's Dax was up by 0.09 percent, France’s CAC was up by 0.09 percent.
Commodities Recap
Gold continued to hold above the key $2,000 level on Monday, undeterred by the previous session's correction, while investors assess the U.S. Federal Reserve's interest rate hike trajectory.
Spot gold was up 0.2% to $2,007.17 per ounce at 1055 GMT, while U.S. gold futures were 0.3% higher at $2,021.10.
Oil prices were steady on Monday as investors eyed Chinese economic data for signs of demand recovery in the world's second-largest oil consumer.
Brent crude futures were down 13 cents to $86.18 a barrel at 1018 GMT, while U.S. West Texas Intermediate crude was at $82.33 a barrel, down 19 cents.