Market Roundup
• U.S. jobless claims fall from previous week
• OPEC cuts oil demand view again as market faces ‘historic shock
• U.S. housing starts, Philly Fed index worse than expected
• U.S 10-year, 30-year yields fall to two-week lows
• US Indexes up: Dow down 0.14 %, S&P 500 up 0.58%, Nasdaq up 1.66%
• US March Building Permits 1.353M,1.300M forecast, 1.452M previous
• US March Building Permits (MoM) -6.8%, -6.3% previous
• US Continuing Jobless Claims 11,976K, 1 13,500K, 7,455K previous
• US March Housing Starts (MoM) -22.3%, -1.5% previous
• US March Housing Starts1.216M, 1.300M, 1.599M previous
• US Initial Jobless Claims 5,105K forecast, 6,606K previous
• US Jobless Claims 4-Week Avg 5,508.50K, 4,265.50K previous
• US April Philadelphia Fed Manufacturing Index-56.6, -30.0 forecast, -12.7 previous
• US April Philly Fed Business Conditions -56.6, 35.2 previous
• US April Philly Fed Employment -46.7, 4.1 previous
• Canada Feb Manufacturing Sales (MoM) 0.5% -0.1% forecast, -0.2% previous
• Russia Central Bank reserves (USD) 564.9B, 564.4B previous
Looking Ahead - Economic Data (GMT)
•22:30 New Zealand April Business NZ PMI 53.2 previous
• 01:30 Australia Retail Sales (MoM) 0.5% previous
•02:00 China March Fixed Asset Investment (YoY) -15.1% forecast, -24.5% previous
•02:00 China GDP (YoY) (Q1) -6.5% forecast, 6.0% previous
•02:00 China GDP (QoQ) (Q1) -9.9% forecast, 1.5% previous
•02:00 China Chinese GDP YTD (YoY) (Q1) 6.1% previous
•02:00 China March Industrial Production (YoY) -7.3% forecast, -13.5% previous
•02:00 China March Industrial Production YTD (YoY) -13.5% previous
•04:30 Japan Feb Capacity Utilization (MoM) 1.1% previous
•04:30 Japan Feb Industrial Production (MoM) 0.4% forecast, 0.4% previous
• 04:30 Japan Tertiary Industry Activity Index (MoM) 0.8% previous
Currency summaries
EUR/USD: The euro declined on Thursday, as investors fled to greenback following the release of weekly U.S. jobless data which showed a record 22 million Americans have sought unemployment benefits in the last month, erasing nearly all job gains since the Great Recession . The greenback has gained broadly during the crisis as investors scramble for the safety of the world’s reserve currency, although it is down from its late-March highs since the U.S. Federal Reserve unleashed a stream of measures to support the economy.The euro was down 0.02 percent at $1.0836. Immediate resistance can be seen at 1.0871 (9 DMA), an upside break can trigger rise towards 1.0978 (30 DMA).On the downside, immediate support is seen at 1.0829 (Daily low), a break below could take the pair towards 1.0800 (Psychological level).
GBP/USD: The pound slipped slightly against the dollar on Thursday as the UK government said the novel coronavirus outbreak was starting to peak but it would be premature to lift a country-wide lockdown. The British government is currently discussing a review of social distancing measures with the announcement of a further three-week lockdown expected.Versus a stronger dollar, the pound was down 0.38% at $1.2463 while it weakened 0.11% against the euro, to 87.18 pence. Immediate resistance can be seen at 1.2482 (9 DMA), an upside break can trigger rise towards 1.2559 (50 DMA).On the downside, immediate support is seen at 1.2418 (Lower BB), a break below could take the pair towards 1.2248 (21 DMA).
USD/CAD: The Canadian dollar strengthened against its U.S. counterpart on Thursday as oil prices rose, with the loonie paring some of the previous day's decline when the Bank of Canada added to measures to cushion the economic impact of the new coronavirus outbreak. At (2113 GMT), the Canadian dollar was trading 0.2% higher at 1.4078 to the greenback. Earlier in the session, the currency touched its weakest intraday level since April 7 at 1.4135. Immediate resistance can be seen at 1.4105 (9 DMA), an upside break can trigger rise towards 1.4165 (Daily high).On the downside, immediate support is seen at 1.4072 (100 DMA), a break below could take the pair towards 1.4000 (Psychological level).
USD/JPY: The dollar strengthened against the Japanese yen on Thursday, as investors fled to safety of greenback after U.S. weekly jobless claims data highlight economic carnage from coronavirus. Data showed, record 22 million Americans have sought unemployment benefits over the past month, with millions more filing claims last week, underscoring the deepening economic slump caused by the novel coronavirus outbreak. Strong resistance can be seen at 108.00 (Higher BB), an upside break can trigger rise towards 107.92 (9 DMA).On the downside, immediate support is seen at 107.92 (9 DMA), a break below could take the pair towards 107.54 (21 DMA).
Equities Recap
European shares rose on Thursday as daily coronavirus death tolls in Spain and Italy eased, adding to signs the pandemic was plateauing.
The UK's benchmark FTSE 100 closed down by 0.28 percent, Germany's Dax ended down by 0.21 percent, and France’s CAC finished the day up by 0.18 percent.
Wall Street rose on Thursday as Amazon.com and Netflix surged to record highs.
Dow Jones closed up at 0.14 percent, S&P 500 ended up 0.58 percent, Nasdaq finished the day up by 1.66 percent.
Treasuries Recap
U.S. Treasury yields fell for a third straight session on Thursday, pressured by more data showing how the coronavirus outbreak has choked the world's largest economy, as debates mounted about reopening businesses in the United States.
U.S. 10-year and 30-year yields dropped to two-week lows, while those on two-year notes slid to a new three-year trough. The yield curve also continued to flatten.
Commodities Recap
Gold fell after climbing 1.3% earlier on Thursday, as safe-haven demand weakened after U.S. jobless claims rose less than a week ago and hopes grew for an easing of coronavirus-led curbs.
Spot gold eased 0.2% at $1,711.29 per ounce by 2:30 p.m. EDT (1830 GMT). U.S. gold futures settled down 0.5% to $1,731.70.
Oil prices were mixed with Brent down and U.S. crude higher after OPEC lowered its global oil demand forecast due to the “historic shock” delivered by the coronavirus outbreak.
Brent futures fell 20 cents, or 0.7%, to $27.49 a barrel by 11:16 a.m. EDT (1516 GMT), while West Texas Intermediate crude (WTI) rose 30 cents, or 1.5%, to $20.17.
