Market Roundup
• US December Consumer Confidence, 128.1, 133.7 forecast, 135.7 previous, 136.4 revised.
• US 22 December, w/e Initial Jobless Claims, 216k, 217k forecast, 214k previous, 217k revised.
• US 22 December, w/e Jobless Claims 4-Wk Avg, 218.00k, 222.00k previous, 222.75k revised.
• US 15 December, w/e Continued Jobless Claims, 1.701 mln, 1.688 mln, 1.705 mln revised.
• US October Monthly Home Price MM, 0.3%, 0.2% previous, 0.2% revised.
• US October Monthly Home Price YY, 5.7%, 6.0% previous.
• US October Monthly Home Price Index, 267.9, 266.9 previous, 267.0 revised.
• Russia plays down idea of forming joint organisation with OPEC given U.S. sanctions risk.
• India risks missing budget gap target for fiscal year, data shows.
Looking Ahead - Economic Data
• 27 Dec ( 18:30 ET/ 23:30 GMT) Japan Dec CPI, Overall Tokyo, 0.8% previous
• 27 Dec ( 18:30 ET/ 23:30 GMT) Japan Dec Core CPI Tokyo YY, 0.5% previous
• 27 Dec ( 18:30 ET/ 23:30 GMT) Japan Dec CPI Tokyo Ex fresh food YY, 0.9% forecast, 1.0% previous
• 27 Dec ( 18:30 ET/ 23:30 GMT) Japan Nov Jobs/Applicants Ratio, 1.63 forecast, 1.62 previous
• 27 Dec ( 18:30 ET/ 23:30 GMT) Japan Nov Unemployment Rate, 2.4% forecast, 2.4% previous
• 27 Dec ( 18:50 ET/ 23:50 GMT) Japan Nov Industrial Output Prelim MM SA, -1.9% forecast, 2.9% previous
• 27 Dec ( 18:50 ET/ 23:50 GMT) Japan Nov Retail Sales YY, 2.2% forecast, 3.5% previous
• 28 Dec ( 19:30 ET/ 00:30 GMT) Australia Nov Private Sector Credit, 0.4% previous
• 28 Dec ( 19:30 ET/ 00:30 GMT) Australia Nov Housing Credit, 0.3% previous
Looking Ahead - Events, Other Releases
• 28 Dec ( 10:15 ET/15:15 GMT) Fed Chairman Jerome Powell participates in a panel discussion at an event in Atlanta
• 28 Dec ( 10:15 ET/15:15 GMT) Atlanta Fed President Raphael Bostic participates in a panel at an event in Atlanta
• 28 Dec (13:30 ET/18:30 GMT) Federal Reserve Bank of Richmond President Thomas Barkin speaks at an event in Baltimore
• US December Consumer Confidence, 128.1, 133.7 forecast, 135.7 previous, 136.4 revised.
• US 22 December, w/e Initial Jobless Claims, 216k, 217k forecast, 214k previous, 217k revised.
• US 22 December, w/e Jobless Claims 4-Wk Avg, 218.00k, 222.00k previous, 222.75k revised.
• US 15 December, w/e Continued Jobless Claims, 1.701 mln, 1.688 mln, 1.705 mln revised.
• US October Monthly Home Price MM, 0.3%, 0.2% previous, 0.2% revised.
• US October Monthly Home Price YY, 5.7%, 6.0% previous.
• US October Monthly Home Price Index, 267.9, 266.9 previous, 267.0 revised.
• Russia plays down idea of forming joint organisation with OPEC given U.S. sanctions risk.
• India risks missing budget gap target for fiscal year, data shows.
Looking Ahead - Economic Data
• 27 Dec ( 18:30 ET/ 23:30 GMT) Japan Dec CPI, Overall Tokyo, 0.8% previous
• 27 Dec ( 18:30 ET/ 23:30 GMT) Japan Dec Core CPI Tokyo YY, 0.5% previous
• 27 Dec ( 18:30 ET/ 23:30 GMT) Japan Dec CPI Tokyo Ex fresh food YY, 0.9% forecast, 1.0% previous
• 27 Dec ( 18:30 ET/ 23:30 GMT) Japan Nov Jobs/Applicants Ratio, 1.63 forecast, 1.62 previous
• 27 Dec ( 18:30 ET/ 23:30 GMT) Japan Nov Unemployment Rate, 2.4% forecast, 2.4% previous
• 27 Dec ( 18:50 ET/ 23:50 GMT) Japan Nov Industrial Output Prelim MM SA, -1.9% forecast, 2.9% previous
• 27 Dec ( 18:50 ET/ 23:50 GMT) Japan Nov Retail Sales YY, 2.2% forecast, 3.5% previous
• 28 Dec ( 19:30 ET/ 00:30 GMT) Australia Nov Private Sector Credit, 0.4% previous
• 28 Dec ( 19:30 ET/ 00:30 GMT) Australia Nov Housing Credit, 0.3% previous
Looking Ahead - Events, Other Releases
• 28 Dec ( 10:15 ET/15:15 GMT) Fed Chairman Jerome Powell participates in a panel discussion at an event in Atlanta
• 28 Dec ( 10:15 ET/15:15 GMT) Atlanta Fed President Raphael Bostic participates in a panel at an event in Atlanta
• 28 Dec (13:30 ET/18:30 GMT) Federal Reserve Bank of Richmond President Thomas Barkin speaks at an event in Baltimore
Currency Summaries
EUR/USD: The euro strengthened against the U.S. dollar on Thursday, as greenback weakened after data showed a deterioration in U.S. consumer confidence. A measure of U.S. consumer confidence posted its sharpest decline in more than three years in December. The euro was up 0.74 percent at $1.1435.The dollar index, a gauge of the greenback's value against six major currencies, fell 0.47 percent on Thursday. Immediate resistance can be seen at 1.1457 (Higher Bollinger Bands), an upside break can trigger rise towards 1.1500 (Psychological level).On the downside, immediate support is seen at 1.1391 (55 DMA), a break below could take the pair towards 1.1294 (23.6% retracement level).
GBP/USD: The British pound hovered above 3-day lows against the greenback on Thursday, as investors waited for another round of Brexit developments in January. So far in 2018 sterling has shed more than six percent as investors worry Britain is headed for a disruptive divorce from its biggest trading partner. The pound was broadly steady at $1.2635 against dollar after climbing as much as 0.2 percent to $1.2665 in the Asian session. Immediate resistance can be seen at 1.2672 (21 DMA), an upside break can trigger rise towards 1.2754 (61.8% retracement level).On the downside, immediate support is seen at 1.2583 (23.6% retracement level), a break below could take the pair towards 1.2527 (Dec 14th lows).
USD/CAD: The Canadian dollar edged higher against U.S. counterpart on Thursday, as dollar declined after weaker consumer confidence stoked fears of economic slowdown. The Canadian dollar was last trading 0.3 percent higher at 1.3617 to the greenback. The currency earlier hit low of 1.3659, which was its weakest in 1 ½ year. Immediate resistance can be seen at 1.3663 (Higher Bollinger Bands), an upside break can trigger rise towards 1.3700 (Psychological level).On the downside, immediate support is seen at 1.3591 (5 DMA), a break below could take the pair towards 1.3520 (9 DMA).
USD/JPY: The U.S. dollar fell against the Japanese yen on Thursday, as persistent concerns of weakening global stock markets increased demand for safe-haven assets. The yen was up 0.3 percent against the dollar at 111.03 yen. The dollar index, which tracks the greenback against six major currencies, was 0.47 percent lower at 96.56. Strong resistance can be seen at 110.95 (5 DMA), an upside break can trigger rise towards 111.76 (9 DMA).On the downside, immediate support is seen at 110.26 (23.6% retracement level), a break below could take the pair towards 109.77 (Aug 20th Low).
Equities Recap
European shares fell on Thursday as the impact of a record bounce on Wall Street proved short-lived amid persistent worries about a slowing global economy and a trade spat between Washington and Beijing.
UK's benchmark FTSE 100 closed down by 1.5 percent, the pan-European FTSEurofirst 300 ended the day down by 1.83 percent, Germany's Dax ended down by 2.4 percent, France’s CAC finished the day down by 0.6 percent.
U.S. stocks roared back to end in positive territory on Thursday, following steep losses earlier, as equities rebounded for a second day.
Dow Jones closed up by 1.12 percent, S&P 500 ended up by 0.84 percent, Nasdaq finished the day up by 0.33 percent.
Treasuries Recap
U.S. Treasury yields fell on Thursday as the previous session's dramatic rally in stocks ran out of steam, reviving demand for low-risk U.S. government debt.
Benchmark 10-year notes gained 17/32 in price to yield 2.736 percent, down from 2.806 percent on Wednesday. The yields have dropped from a seven-year high of 3.261 percent on Oct. 9.
Commodities Recap
Gold prices rose on Thursday, helped by a weaker dollar and as a recovery rally in global stock markets fizzled out, driving investors toward the safe-haven asset.
Spot gold was 0.8 percent higher at $1,275.51 per ounce at (21:55 GMT), after hitting $1,279.06 in the previous session, its highest since June 19.U.S. gold futures settled up 0.6 percent to $1,281.10 per ounce.
Oil prices fell on Thursday, retreating from an 8 percent rally in the previous session as the oil market focused on signs of faltering global economic growth and record production of crude.
Brent crude futures dropped 4.24 percent, or $2.31, to settle at $52.16 a barrel. U.S. West Texas Intermediate (WTI) crude futures fell $1.61 to settle at $44.61 a barrel, down 3.48 percent.
