Posted at 24 January 2023 / Categories Market Roundups
Market Roundup
• French Jan Services PMI 49.2,49.8 forecast,49.5 previous
• French Jan French Manufacturing PMI 50.8,49.6 forecast,49.2 previous
•German Jan Composite PMI 49.7,49.6 forecast,49.0 previous
•German Jan Manufacturing PMI 47.0, 47.9 forecast,47.1 previous
•German Jan Services PMI 50.4, 49.6 forecast,49.2 previous
•EU Jan S&P Global Composite PMI 50.2 , 49.8 forecast,49.3 previous
•EU Jan Services PMI 50.7,50.2 forecast,49.8 previous
• EU Jan Manufacturing PMI 48.8,48.5 forecast, 47.8 previous
•UK Composite PMI 47.8,49.3 forecast, 49.0 previous
•UK Services PMI 48.0,49.6 forecast,49.9 previous
•UK Manufacturing PMI 46.7,45.4 forecast, 45.3 previous
•UK Jan CBI Industrial Trends Orders -17,-8 forecast,-6 previous
Looking Ahead - Economic data (GMT)
•13:55 US Redbook (YoY) 5.0% previous
•14:45 US Jan S&P Global Composite PMI 45.0 previous
•14:45 US Jan Services PMI 45.0 forecast, 44.7 previous
•14:45 US Jan Manufacturing PMI 46.0forecast,46.2 previous
•15:00 US Jan Richmond Services Index -12 previous
•15:00 US Jan Richmond Manufacturing Index -5 forecast,1 previous
•15:00 US Jan Richmond Manufacturing Shipments 5 previous
•16:30 US 52-Week Bill Auction 4.515% previous
Looking Ahead - Economic events and other releases (GMT)
•14:45 EU ECB's Supervisory Board Member Jochnick Speaks
Fxbeat
EUR/USD: The euro held at a nine-month high against the dollar as Eurozone business activity data reinforced expectations that the European Central Bank (ECB) will raise rates by a further 50 basis points. Euro zone business activity made a surprise return to growth in January, according to a survey - the latest sign that the downturn in the bloc may not be as deep as feared.S&P Global's flash Composite Purchasing Managers' Index (PMI) climbed to 50.2 this month from 49.3 in December, the first time it has been above the 50 mark since June. Immediate resistance can be seen at 1.0933(23.6%fib), an upside break can trigger rise towards 1.0993 (Higher BB).On the downside, immediate support is seen at 1.0842(5DMA), a break below could take the pair towards 1.0781(18th Jan low).
GBP/USD: The British pound was lower on Tuesday after data showed economic activity weakened further in January, underlining the risk that Britain could slip into a recession in 2023. Private-sector economic activity fell at its fastest rate in two years in January, the S&P Global/CIPS flash composite Purchasing Managers’ Index (PMI) survey showed, as businesses blamed higher Bank of England interest rates, strikes and weak consumer demand for the slowdown. The pound was last down 0.5% against the dollar at $1.2307. On Monday it hit its highest level in seven months at $1.24475.Immediate resistance can be seen at 1.2421(23.6%fib), an upside break can trigger rise towards 1.2512(Higher BB).On the downside, immediate support is seen at 1.2302(5DMA), a break below could take the pair towards 1.2257 (Jan 18th low).
USD/CHF: The dollar steadied against the Swiss franc on Tuesday as investors awaited U.S. economic data due this week that could impact the Federal Reserve's policy path. The U.S. fourth-quarter GDP growth estimates due on Thursday could set the tone for the Jan. 31-Feb. 1 Fed policy meeting. Traders are mostly pricing in that the Fed will raise rates by 25 basis points (bps) at the Jan. 31-Feb. 1 policy meeting, after slowing its pace to 50 bps in December, following four straight 75-bp hikes. Immediate resistance can be seen at 0.9295 (38.2%fib), an upside break can trigger rise towards 0.9318 (Jan 13th high).On the downside, immediate support is seen at 0.9212 (9DMA), a break below could take the pair towards 0.9161 (23.6%fib).
USD/JPY: The dollar dipped against yen on Tuesday as the dollar's retreated amid expectations for a less-aggressive interest rate hike from the Federal Reserve. Traders are pricing in a 98% chance that the central bank will raise rates by 25 basis points (bps) next month, after slowing its pace to 50 bps last month, following four straight 75-bp hikes . Investors will be scanning the U.S. fourth quarter GDP growth estimates on Thursday and U.S. personal spending data on Friday, before the Jan. 31-Feb. 1 policy meeting. Strong resistance can be seen at 130.81(Daily high), an upside break can trigger rise towards 132.00 (Psychological level).On the downside, immediate support is seen at 129.63 (23.6%fib), a break below could take the pair towards 128.98 (9DMA).
Equities Recap
European stocks reversed early gains on Tuesday as better-than-expected business activity data in the euro zone failed to excite investors worried about further interest rate hikes by the European Central Bank (ECB).
At (GMT 12:56 ),UK's benchmark FTSE 100 was last trading down at 0.25 percent, Germany's Dax was down by 0.22 percent, France’s CAC was up by 0.02 percent.
Commodities Recap
Gold prices advanced on Tuesday as the dollar's retreat amid expectations for a less-aggressive interest rate hike from the U.S. central bank made bullion a more attractive bet.
Spot gold rose 0.3% to $1,936.62 per ounce by 1137 GMT. U.S. gold futures gained 0.5% to $1,938.00.
Crude oil prices were steady on Tuesday as concerns about a global economic slowdown and expected build in U.S. oil inventories were offset by hopes of a fuel demand recovery from top importer China.
Brent crude was up 16 cents, or 0.2%, at $88.35 a barrel by 1205 GMT. U.S. West Texas Intermediate (WTI) crude rose 22 cents, or 0.3%, to $81.84.