Posted at 27 March 2023 / Categories Market Roundups
Market Roundup
•EU Feb Loans to Non Financial Corporations 5.7%,5.8%forecast,6.1% previous
•EU Private Sector Loans (YoY) 3.2%,3.6% forecast,3.6% previous
•EU Mar German Current Assessment 95.4,94.1 forecast,93.9 previous
•EU Feb Mar M3 Money Supply (YoY) 2.9%,3.2% forecast,3.5% previous
•German Mar Ifo Business Climate Index 93.3,91.0 forecast,91.1 previous
•German Mar Business Expectations 91.2,88.3 forecast,88.5 previous
•UK Mar CBI Distributive Trades Survey 1,-6 forecast,2 previous
•France Jobseekers Total2,781.0K, 2,809.0K previous
Looking Ahead Economic Data(GMT)
•13:00 French 6-Month BTF Auction 2.823% previous
•13:00 French 12-Month BTF Auction 2.760% previous
•13:00 French 3-Month BTF Auction 2.613% previous
•14:30 US Mar Dallas Fed Mfg Business Index -13.5
•15:30 US 3-Month Bill Auction 4.675% previous
•15:30 US 6-Month Bill Auction 4.620% previous
•17:00 US 2-Year Note Auction 4.673% previous
Looking Ahead Events and Other Releases (GMT)
•14:40 EUECB's Elderson Speaks
•15:00 EU ECB's Schnabel Speaks
•17:00 UK BoE Gov Bailey Speaks
Fxbeat
EUR/USD: The euro edged up against dollar on Monday as investors assess banking risks steps taken by authorities to calm fears of a crisis in the global banking system. Economic data this week will be closely watched amid global growth fears. Eurozone flash HICP for March is the key data release from Europe, as some European Central Bank officials prioritise inflation-fighting over tackling the banking crisis. Additionally, German IFO, German CPI, German retail sales and EZ unemployment are upcoming. UK data includes Q4 GDP, current account and Nationwide house prices. The euro was up 0.1% to $1.0777, after falling 0.6% on Friday. Immediate resistance can be seen at 1.0794(5DMA), an upside break can trigger rise towards 1.0874(Higher BB).On the downside, immediate support is seen at 1.0721(38.2%fib), a break below could take the pair towards 1.0668(Feb 13th low).
GBP/USD: Sterling edged higher on Monday, with investors' appetite for risky assets returning as they awaited a speech from Bank of England (BoE) governor Andrew Bailey later in the day.News of a buyer being found for deposits and loans at Silicon Valley Bank in the U.S. cast an uneasy calm over markets on Monday, which have been shaken recently by fears of a credit crunch and systemic bank stress. Bailey delivers a speech at the London School of Economics today at 1700 GMT and tomorrow at a Treasury Select Committee hearing on Silicon Valley Bank Sterling rose 0.16% against the euro to 87.85 pence per euro and 0.2% versus the dollar to $1.2252. Immediate resistance can be seen at 1.2353 (23.6%fib), an upside break can trigger rise towards 1.2381(Higher BB).On the downside, immediate support is seen at 1.2207 (11DMA), a break below could take the pair towards 1.2166(38.2%fib).
USD/CHF: The dollar declined against the Swiss franc on Monday as investors evaluated steps taken by authorities to calm fears of a crisis in the global banking system. Markets continue to adopt a cautious stance as worries persisted that regulators are yet to contain the worst shock to the banking sector since the 2008 financial crisis after shares of Deutsche Bank plunged on Friday. Recent stress in the banking sector and the possibility of a follow-on credit crunch bring the U.S. closer to recession, Minneapolis Fed president Neel Kashkari said on Sunday. However, U.S. Federal Reserve officials said there was no indication that financial stress was worsening. Immediate resistance can be seen at 0.9215(5DMA), an upside break can trigger rise towards 0.9266(38.2%fib).On the downside, immediate support is seen at 0.9146(23.6%fib), a break below could take the pair towards 0.9077(Lower BB).
USD/JPY: The dollar strengthened against yen on Monday as investors assessed moves made by authorities and regulators to rein in worries over the global banking system. Global banking stocks have been battered this month following the sudden collapse of two U.S. lenders and the rescue of Credit Suisse , with authorities stepping in to ease investor nerves. On Monday, the Federal Deposit Insurance Corporation said First Citizens Banc Shares Inc would acquire all of Silicon Valley Bank's deposits and loans from the regulator. The dollar index , which measures the currency against six rivals, rose 0.1% at 103.09, having gained 0.5% on Friday. Strong resistance can be seen at 132.21(115DMA), an upside break can trigger rise towards 132.93 (38.2%fib).On the downside, immediate support is seen at 130.40(23.6%fib), a break below could take the pair towards 129.44(Lower BB).
Equities Recap
European stocks climbed on Monday, as a sense of calm returned to markets following a week of turbulence over concerns about banking sector stability after the collapse of Credit Suisse and two U.S. mid-sized lenders.
At (GMT 12:48 ),UK's benchmark FTSE 100 was last trading up at 1.05 percent, Germany's Dax was up by 1.32 percent, France’s CAC was upby 1.09 percent.
Commodities Recap
Gold prices slipped on Monday as a rebound in equities dented the metal's safe-haven appeal, while investors evaluated steps taken by authorities to calm fears of a crisis in the global banking system.
Spot gold was down 1.4% at $1,950.05 per ounce as of 1107 GMT. U.S. gold futures fell 1.6% to $1,951.20.
Oil prices rose on Monday after a halt to oil exports from Iraqi Kurdistan via Turkey and moves to contain a potential banking crisis that could have hit demand for crude.
Brent crude futures were up $1.16, or 1.6%, at $76.15 a barrel by 1210 GMT. West Texas Intermediate U.S. crude rose $1.19, or 1.7%, to $70.45.