Posted at 26 April 2023 / Categories Market Roundups
Market Roundup
•GfK May German Consumer Climate -25.7,-27.9 forecast,-29.5 previous
•Sweden Mar Unemployment Rate 7.7%,6.8% forecast, 8.2% previous
•French Apr Consumer Confidence 83,81 forecast,81 previous
•Sweden Interest Rate Decision3.50%,3.50% forecast,3.00% previous
•Swiss ZEW Expectations -33.3,-36.0 forecast, -41.3 previous
•France Jobseekers Total 2,789.0K, 2,790.0K forecast, 2,781.0K previous
Looking Ahead Economic Data(GMT)
•12:30 US Mar Core Durable Goods Orders (MoM) -0.2% forecast, -0.1% previous
•12:30 US Wholesale Inventories (MoM) 0.1% previous
•12:30 Canada Manufacturing Sales (MoM) -0.3% forecast, -3.6% previous
•12:30 US Mar Goods Trade Balance -89.00B forecast, -91.99B previous
•12:30 US Mar Durables Excluding Defense (MoM) 0.3% forecast,-0.5% previous
•12:30 US Mar Goods Orders Non Defense Ex Air (MoM) -0.1% forecast, -0.1% previous
•12:30 US Mar Retail Inventories Ex Auto 0.1% forecast, 0.3% previous
•12:30 US Mar Durable Goods Orders (MoM) 0.7% forecast, 1.0% previous
•14:30 US EIA Weekly Refinery Utilization Rates (WoW) 0.3% forecast, 1.7% previous
•14:30 US Crude Oil Imports -0.300M forecast, -1.743M previous
•14:30 US EIA Weekly Distillates Stocks -0.839M forecast,-0.356M previous
•14:30 US Heating Oil Stockpiles -0.285M forecast,-0.260M previous
•14:30 US Gasoline Inventories -0.933M forecast,1.300M previous
•14:30 US Crude Oil Inventories -1.486M forecast, -4.581M previous
Looking Ahead Events And Other Releases(GMT)
•13:45 EU ECB Supervisory Board Member Tuominen Speaks
Fxbeat
EUR/USD: The euro rose against dollar on Wednesday on expectation that ECB will almost certainly raise interest rate on May 4th. Market bets on future ECB rate rises have been relatively stable recently. The September 2023 ECB euro short-term rate (ESTR) forward was at 3.63%, implying expectations for a depo rate around 3.73% by fall. Investors increased bets on a 25-bps rate hike at next week’s policy meeting, reducing the chances of a 50-bps move to 20% from around 30% the previous days. However, several analysts do not rule out 50 bps .Immediate resistance can be seen at 1.1040 (Daily high), an upside break can trigger rise towards 1.1080(Higher BB).On the downside, immediate support is seen at 1.0976 (5DMA), a break below could take the pair towards 1.0912(April 19th low).
GBP/USD: Sterling rose against the dollar on Wednesday, as traders pared back their holdings of dollar after U.S. banking jitters sparked a rush for dollar the day before. The U.S. dollar had moved higher overnight on concerns over the U.S. banking sector and the economy, along with the safe-haven yen, but this reversed on Wednesday morning. 1015 GMT, the pound was 0.49% higher against the dollar at $1.2471 .The pound is not far off 10-month highs at $1.2540 that it touched on April 14. Meanwhile, against the euro the pound was 0.15% lower at 88.56 pence on Wednesday .Immediate resistance can be seen at 0.8908 (5DMA), an upside break can trigger rise towards 1.2513(Higher BB).On the downside, immediate support is seen at 0.8869(23.6%fib), a break below could take the pair towards 0.8828(Lower BB).
USD/CHF: The dollar weakened against Swiss franc on Wednesday as investors maintained a cautious stance and sought more clarity on the Federal Reserve’s rate-hike trajectory from upcoming U.S. economic data. Data on Tuesday showed U.S. consumer confidence dropped to a nine-month low in April as worries about the future mounted, further heightening the risk that the economy could fall into recession this year. Sales of new U.S. single-family homes jumped to a one-year high in March, likely as a retreat in mortgage rates boosted demand.The U.S. central bank’s rate-setting Federal Open Market Committee will meet on May 2-3. Immediate resistance can be seen at 1.2496 (38.2%fib), an upside break can trigger rise towards 1.2526 (Higher BB).On the downside, immediate support is seen at 1.2451(5DMA), a break below could take the pair towards 1.2334(50%fib).
USD/JPY: The dollar dipped against Japan's yen on Wednesday as markets awaited clues from new governor Kazuo Ueda about whether he might ditch policies that have suppressed domestic bond yields and the yen. Investor attention will firmly be on the slate of central bank meetings in the next few weeks with the Bank of Japan, under the new Governor Kazuo Ueda, holding its policy meeting later this week. The dollar slid 0.2% against the yen to 133.45. Strong resistance can be seen at 134.34(5DMA), an upside break can trigger rise towards 135.50(23.6%fb).On the downside, immediate support is seen at 133.62 (38.2%fib), a break below could take the pair towards 133.00(Psychological level)
Equities Recap
European shares fell on Wednesday and were set for their biggest one-day drop in a month, as banking sector worries overshadowed initial euphoria from solid earnings by tech giants Microsoft and Alphabet.
At (GMT 11:48),UK's benchmark FTSE 100 was last trading down at 0.28 percent, Germany's Dax was down by 0.62 percent, France’s CAC was trading down by 0.98 percent.
Commodities Recap
Gold prices stuck within a narrow range on Wednesday as traders strapped in for U.S. economic data for further guidance on the Federal Reserve's monetary policy stance.
Spot gold was little changed at $1,998.50 an ounce by 1115 GMT while U.S. gold futures rose 0.3% to $2,009.50.
Oil prices were mixed on Wednesday as falling U.S. inventories lifted the U.S. WTI price while the Brent benchmark steadied as the market took stock of weak U.S. data that raised fears of recession in the world's biggest economy.
Brent crude eased by 9 cents, or 0.1%, to $80.68 a barrel by 1035 GMT. U.S. West Texas Intermediate crude gained 23 cents, or 0.3%, to $77.30.