Posted at 19 November 2020 / Categories Market Roundups
Market Roundup
• US Jobless Claims 4-Week Avg 742.00K, 755.25K previous
• US Initial Jobless Claims 742K,707K forecast, 709K previous
• US Continuing Jobless Claims 6,372K,6,470K forecast, 6,786K previous
• Canada ADP Nonfarm Employment Change -79.5K, -240.8K previous
• US Nov Philly Fed Prices Paid 38.90, 28.50 previous
• US Nov Philly Fed New Orders 37.9, 42.6 previous
• US Nov Philly Fed Employment 27.2, 12.7 previous
• US Nov Philly Fed CAPEX Index 25.50,36.50 previous
• US Nov Philly Fed Business Conditions 44.3, 62.7 previous
• US Nov Philadelphia Fed Manufacturing Index 26.3, 22.0 forecast, 32.3 previous
• US Oct Leading Index (MoM) 0.7%, 0.7% forecast, 0.7% previous
• US Oct Existing Home Sales (MoM) 4.3%, -1.2% forecast, 9.4% previous
• US Oct Existing Home Sales 6.85M, 6.45M forecast, 6.54M previous
• US Natural Gas Storage 31B, 15B forecast, 8B previous
• US KC Fed Manufacturing Inde x 11, 23 previous
• US KC Fed Composite Index20, 13 previous
• US 4-Week Bill Auction 0.070%, 0.085% previous
• US 8-Week Bill Auction0.070%, 0.090% previous
Looking Ahead Economic Data
• 23:50 Japan Oct CPI, n.s.a (MoM) -0.1% previous
• 23:50 Japan Oct National Core CPI (YoY) -0.7%, -0.3% previous
• 23:50 Japan Oct National CPI (YoY ) -0.3%,0.0% previous
• 23:50 Japan CPI Tokyo Ex Food and Energy (MoM) 0.0% previous
• 00:30 Japan Nov Manufacturing PMI 49.4 forecast, 48.7 previous
•00:30 Australia Oct Retail Sales (MoM) -1.5% forecast, -1.1% previous
• 00:30 Japan Services PMI 47.7 previous
• 01:30 China House Prices (YoY) 4.6% previous
• 01:30 China PBoC Loan Prime Rate 3.85%
Looking Ahead - Events, Other Releases (GMT)
•No significant Events
Currency summaries
EUR/USD: The euro declined against dollar on Thursday as a weak reading on U.S. employment and concerns that new COVID-19 restrictions could stifle economic recovery offset optimism about coronavirus vaccines. A surge in novel coronavirus infections in the United States could slow growth, and the U.S. central bank will use all of its tools to bring the economy back to full strength, New York Federal Reserve Bank President John Williams said Wednesday. The U.S. death toll from COVID-19 passed 250,000 and COVID-19 hospitalisations hit a new high on Wednesday as a rise in cases prompted fresh lockdown measures throughout the country. Immediate resistance can be seen at 1.1850 (38.2%fib), an upside break can trigger rise towards 1.1884 (23.6%fib).On the downside, immediate support is seen at 1.1818 (50%fib), a break below could take the pair towards 1.1784 (61.8% fib).
GBP/USD: The pound fell against dollar on Thursday against a rebounding dollar in generally cautious global markets, while pound traders waited for hints about the likelihood of the UK and European Union reaching a post-Brexit trade deal before the Dec. 31 deadline.Britain left the EU in January and both sides are in talks to agree a future trading relationship after Britain loses access to the customs union and single market in 2021. At 1230 GMT, the pound was down 0.4% versus the dollar, at $1.3237, looking set to break its winning streak of the past four days. Immediate resistance can be seen at 1.3272 (38.2%fib), an upside break can trigger rise towards 1.3362 (23.6%fib).On the downside, immediate support is seen at 1.3206(50%fib), a break below could take the pair towards 1.3128 (61.8 % fib).
USD/CAD: The Canadian dollar rose against the greenback on Thursday as the prospect of renewed U.S. economic stimulus talks bolstered investor sentiment, but gains were capped by the surge in global COVID-19 cases, with the currency sticking to this week’s range.The Canadian dollar was trading 0.2% higher at 1.3061 to the greenback. The currency traded in a range of 1.3059 to 1.3123, within the narrow 1.3030 to 1.3141 band seen since the start of the week. Immediate resistance can be seen at 1.3099(38.2%fib), an upside break can trigger rise towards 1.3134 (20DMA).On the downside, immediate support is seen at 1.3026(23.6%fib), a break below could take the pair towards 1.2925(Nov 9th low).
USD/JPY: The dollar dipped against the Japanese yen on Thursday as investors grew cautious about the persistent rise in coronavirus infections that forced localized shutdowns around the world, with broad optimism about upcoming COVID-19 vaccines fading a bit.The U.S. death toll from COVID-19 passed 250,000 on Wednesday as New York City's public school system, the country's largest, halted in-person instruction, citing a jump in infection rates. The greenback showed little reaction though after data showed U.S. weekly jobless claims increased to a seasonally-adjusted 742,000 for the week ended Nov.Strong resistance can be seen at 104.10 (38.2% fib), an upside break can trigger rise towards 104.46 (50% fib).On the downside, immediate support is seen at 103.71 (5 DMA), a break below could take the pair towards 103.16 (Lower BB).
Equities Recap
European stocks closed lower on Thursday following sharp losses on Wall Street as investors feared another round of shutdowns due to soaring coronavirus cases in the United States and Europe..
UK's benchmark FTSE 100 closed down by 0.80 percent, Germany's Dax ended down by 0.88 percent, France’s CAC finished the day down by 0.67 percent.
U.S. stocks ended in positive territory on Thursday as fresh stimulus hopes buoyed investor sentiment toward the end of a session fraught with worries over mounting shutdowns and layoffs linked to spiraling COVID-19 infection rates.
Dow Jones closed up by 1.16% percent, S&P 500 closed up by 0.39% percent, Nasdaq settled up by 0.87% percent.
Treasuries Recap
U.S. Treasury yields fell on Thursday as the prospect of a weak fourth economic quarter overcame optimism that vaccines against COVID-19 are close to being rolled out and could return the economy to normal.
Benchmark 10-year yields fell 3 basis points to 0.855%. The yields are down from an eight-month high of 0.975% last week, when supply and optimism over vaccines pushed the rates higher.
Commodities Recap
Gold fell to a one-week low on Thursday as the dollar regained momentum and optimism that progress on vaccine development would hasten economic recovery eroded bullion's safe-haven appeal.
Spot gold fell 0.5% to $1,861.35 per ounce by 1311 GMT, having earlier hit its lowest since Nov. 9 at $1,854.60. U.S. gold futures slipped 0.7% to $1,860.80.
Oil prices slipped on Thursday as hopes for a vaccine were overshadowed by a surge in new cases of the coronavirus around the world, which raised concerns about the outlook for crude demand.
Brent crude settled down 14 cents to $44.20 a barrel. U.S. West Texas Intermediate crude slipped 8 cents to settle at $41.74 a barrel.