Posted at 26 September 2023 / Categories Market Roundups
•Sweden Aug PPI (MoM) -0.7% , -0.6% previous
•Sweden Aug PPI (YoY) -5.9%,-2.1% previous
Looking Ahead Economic Data(GMT)
•12:30 Canada Wholesale Sales (MoM) 0.2% previous
•12:30 Canada Manufacturing Sales (MoM) 1.6% previous
•12:55 Redbook (YoY) 3.6% previous
•13:30 US Jul House Price Index (YoY) 3.1% previous
•13:30 US Jul House Price Index 405.8 previous
•13:30 US Jul House Price Index (MoM) 0.5% forecast, 0.3% previous
•13:30 US Jul S&P/CS HPI Composite - 20 n.s.a. (YoY) -0.3% forecast, -1.2% previous
•13:30 US Jul S&P/CS HPI Composite - 20 n.s.a. (MoM) 0.9% previous
•13:30 US Jul S&P/CS HPI Composite - 20 s.a. (MoM) 0.9% previous
•14:00 US Sep Richmond Manufacturing Shipments -5 previous
•14:00 US Aug New Home Sales (MoM) 4.4% previous
•14:00 US Sep CB Consumer Confidence 105.5 forecast ,106.1 previous
•14:00 US Sep Richmond Manufacturing Index -6 forecast , -7 previous
•14:00 US Aug New Home Sales 700K forecast , 714K previous
•14:30 US Sep Texas Services Sector Outlook -2.7 previous
•14:30 US Sep Dallas Fed Services Revenues 16.2 previous
Looking Ahead Events And Other Releases(GMT)
•17:00 German Buba Wuermeling Speaks
•17:30 US FOMC Member Bowman Speaks
EUR/USD: The euro edged higher against dollar on Tuesday as traders awaited a key consumer inflation report for more cues on whether the Federal Reserve will hike interest rates once again this year.The personal consumption expenditures (PCE) price index is the Fed’s preferred inflation gauge, which is scheduled to be released on Sept. 29.The euro was last up 0.1% against the dollar at $1.0596, having hit its lowest since March at $1.057 earlier in the session. Immediate resistance can be seen at 1.0653(5DMA), an upside break can trigger rise towards 1.0693(38.2%fib).On the downside, immediate support is seen at 1.0570(23.6%fib), a break below could take the pair towards 1.0551(Lower BB).
GBP/USD: The pound dipped against the dollar on Tuesday as rising U.S. bond yields supported the dollar. The dollar is headed for a 2.4% rise in September, egged on by 10-year U.S. Treasury yields hitting their highest since before the financial crisis in 2007, after the Federal Reserve signalled last week rates will stay higher for longer.Sterling has been steadily sliding from a 15-month high in July, as it has become increasingly clear from macroeconomic data and from central banks’ rhetoric that interest rates are more likely to rise in the United States than in the UK. The pound was last down 0.3% at $1.2174, around its lowest since March. Immediate resistance can be seen at 1.2290(5DMA), an upside break can trigger rise towards 1.2328(38.2%fib).On the downside, immediate support is seen at 1.2182 (Daily low), a break below could take the pair towards 1.2167(Lower BB).
USD/CHF: The U.S. dollar rose against Swiss franc on Tuesday as traders awaited a key consumer inflation report for more cues on whether the Federal Reserve will hike interest rates once again this year. Minneapolis Fed President Neel Kashkari said more rate hikes were likely needed given the surprising resilience of the U.S. economy.Chicago Fed President Austan Goolsbee said on Monday that inflation staying entrenched above the central bank's 2% target remains a bigger risk than tight Fed policy slowing the economy more than needed. Traders now put the odds of another quarter-point Fed hike by January at a coin toss, and have pushed the likely start of rate cuts to summer. Immediate resistance can be seen at 0.9142 (23.6%fib), an upside break can trigger rise towards 0.9157(Higher BB).On the downside, immediate support is seen at 0.9113(9DMA), a break below could take the pair towards 0.9103(38.2%fib).
USD/JPY: The dollar eased from 11-month high against the yen on Tuesday as traders were on alert for signs of government intervention. The greenback's strength against the yen in particular has kept traders on alert for an intervention to prop up the Japanese currency, especially after Finance Minister Shunichi Suzuki on Tuesday said no options were off the table.The dollar held near an 11-month peak of 148.97 yen from overnight, with 150 per dollar seen by financial markets as a red line that would spur Japanese authorities to act, as they did last year. Strong resistance can be seen at 149.12(23.6%fib) an upside break can trigger rise towards 149.55 (Higher BB).On the downside, immediate support is seen 148.34(5DMA), a break below could take the pair towards 147.03 (38.2%fib).
European shares extended losses on Tuesday as elevated bond yields pressured the rate-sensitive technology sector, while weakness in China-exposed stocks persisted on slowdown jitters in the world's second-largest economy.
At (GMT 12:20 ),UK's benchmark FTSE 100 was last trading up at 0.22 percent, Germany's Dax down up by 0.66 percent, France’s CAC was down by 0.71 percent.
Gold prices fell on Tuesday, as bullion’s appeal dimmed in the face of a stronger U.S. dollar and higher Treasury yields, while investors strapped in for key inflation data this week for further rate guidance on U.S. rates.
Spot gold edged down 0.2% to $1,912.79 per ounce by 0952 GMT, its lowest since Sept. 15, while U.S. gold futures fell 0.3% to $1,931.50.
Oil prices fell on Tuesday as a stronger U.S. dollar compounded concerns that demand for fuel will be held back by major central banks holding interest rates higher for longer.
Brent crude futures were down $1.16, or 1.24%, at $92.13 a barrel at 0844 GMT, while U.S. West Texas Intermediate crude futures were trading $1.13 lower, or 1.26%, at $88.55.