Market Roundup
• US Continuing Jobless Claims 1,682K, 1,675K forecast, 1,683K previous
• US Sep Core Durable Goods Orders (MoM) -0.3%,-0.2% forecast, 0.3% previous
• US Sep Durable Goods Orders (MoM) -1.1%,-0.5% forecast 0.3% previous
• US Sep Durables Excluding Defense (MoM) -1.2%,-0.9% previous
• US Sep Goods Orders Non Defense Ex Air (MoM) -0.5%, -0.2% forecast, -0.6% previous
• US Initial Jobless Claims 212K, 216K forecast, 218K previous
• US Jobless Claims 4-Week Avg 212K, 216K forecast, 218K previous
• US Jobless Claims 4-Week Avg 215.00K, 215.75K previous
• Belgium Oct NBB Business Climate -4.6, -6.0 forecast, -5.7 previous
• Russia Central Bank Reserves (USD) 537.2B, 535.4B previous
• Brazil Sep Current Account (USD) -3.50B, -3.95B forecast, -4.27B previous
• Brazil Sep Foreign direct investment (USD) 6.31B, 4.20B forecast, 9.47B previous
• US Oct Manufacturing PMI 51.5, 50.7 forecast, 51.1 previous
• US Oct Markit Composite PMI 51.2. 51.6 forecast, 51.0 previous
• US Oct Services PMI 51.0, 51.0 forecast, 50.9 previous
• US Sep New Home Sales 701K, 710K forecast 706K previous
• US Sep New Home Sales (MoM) -0.7%,-0.7% forecast ,6.2% previous
• US Oct KC Fed Composite Index -3, -2 previous
• US Oct KC Fed Manufacturing Index 8, 4 forecast, 11 previous
Looking Ahead - Economic Data (GMT)
• 23:50 Japan Foreign Bonds Buying 1,062.2B previous
• 23:50 Japan Foreign Investments in Japanese Stocks 508.1B previous
Looking Ahead - Events, Other Releases (GMT)
No significant events
Currency Summaries
EUR/USD: The euro slipped lower against the U.S. dollar on Thursday, as Mario Draghi’s final news conference as president of the European Central Bank failed to boost euro. At its policy-making meeting Thursday, the ECB kept interest rates on hold and left its ultra-easy monetary policy unchanged. Weak growth across the euro zone notwithstanding, Draghi said the benefits of loose policy far outweighed the risks and rejected the suggestion that a public split with policy hawks in the bank had tainted his legacy. Immediate resistance can be seen at 1.1133 (100 DMA), an upside break can trigger rise towards 1.1202 (200 DMA).On the downside, immediate support is seen at 1.1087 (11 DMA), a break below could take the pair towards 1.1020 (21 DMA).
GBP/USD: The pound stumbled below $1.2900 against dollar on Thursday after Prime Minister Boris Johnson’s called for a national election. Prime Minister Boris Johnson’s call for a national election. Johnson said on Thursday he was asking parliament to approve a national election on Dec. 12 in an effort to break the political deadlock over Brexit and ensure the UK leaves the European Union. In a letter to opposition Labour leader Jeremy Corbyn, the prime minister said he would give parliament more time to approve his Brexit deal but that lawmakers must back a December election. Although uncertainty about Brexit has hurt the pound, the currency has been bolstered in October as the chances of a no-deal exit have been all but eliminated .Immediate resistance can be seen at 1.2911 (5 DMA), an upside break can trigger rise towards 1.3036 (Higher BB).On the downside, immediate support is seen at 1.2790 (11 DMA), a break below could take the pair towards 1.2709 (200 DMA).
USD/CAD: The Canadian dollar was unchanged against its U.S. counterpart on Thursday, pulling back from an earlier three-month high as investors turned their attention to interest rate decisions next week by the Bank of Canada and the U.S. Federal Reserve. Investors expect Canada's central bank will leave its benchmark interest rate on hold at 1.75% on Oct. 30 and over the coming months, as the domestic economy shows resilience and the election of a minority federal government adds to prospects of growth-boosting fiscal spending next year.In contrast, the Fed is expected to cut interest rates next week for the third time this year. Immediate resistance can be seen at 1.3093 (5 DMA), an upside break can trigger rise towards 1.3153 (11 DMA).On the downside, immediate support is seen at 1.3047 (Lower BB), a break below could take the pair towards 1.3000 (Psychological level).
USD/JPY: The U.S. dollar strengthened against the yen on Thursday, as dollar gained on trade deal optimism between U.S and China. Positive comments from U.S. and Chinese leaders about progress in negotiating a truce in a their trade dispute has increased investors optimism.Markets have been volatile for months due to geopolitical uncertainties such as the U.S.-China trade war, Brexit, Hong Kong protests and tensions in the Middle East. The dollar was 0.01 higher versus the Japanese yen at 108.61. Strong resistance can be seen at 109.03 (200 DMA), an upside break can trigger rise towards 109.31 (Aug 1st High).On the downside, immediate support is seen at 108.52 (11 DMA), a break below could take the pair towards 108.00 (Psychological level).
Equities Recap
European shares gained on Thursday as upbeat results from German companies offset a dour profit forecast from Nokia .
The UK's benchmark FTSE 100 closed up by 0.93 percent, Germany's Dax ended up by 0.58 percent, and France’s CAC finished the up by 0.55 percent.
The S&P 500 and Nasdaq indexes rose on Thursday, getting a boost from Microsoft and PayPal’s strong earnings, but poor results from 3M pushed the blue-chip Dow Jones index into the red.
Dow Jones traded down by 0.13 percent, S&P 500 was up 0.13 percent, Nasdaq was up by 0.70 percent.
Treasuries Recap
U.S. Treasury yields fell for a third straight session on Thursday in choppy trading, as increasing economic, political, and global uncertainty spurred investors to seek safety in the bond market.
In morning trading, U.S. 10-year note yields slid to 1.746% from 1.759% late on Wednesday.Yields on 30-year bonds fell to 2.233%, from 2.251% on Tuesday.
Commodities Recap
Oil prices extended their gains on Thursday, with Brent rising above $61 a barrel as a surprise drop in U.S. crude inventories and the prospect of further market-supporting action by OPEC and its allies offset some concern over the outlook for demand.
Brent crude was up 34 cents at $61.51 a barrel by 12:15 p.m. ET (1615 GMT), having risen 2.5% on Wednesday. West Texas Intermediate (WTI) crude rose 23 cents to $56.20.
Gold scaled a near two-week peak on Thursday after weak economic data from the United States raised expectations for another interest rate cut by the Federal Reserve, while platinum jumped to its highest level in more than three weeks.
Spot gold was up 0.7% to $1,501.97 per ounce by 1:46 p.m. EDT (1746 GMT), after hitting its highest since Oct. 11 at $1,50.89 earlier in the session.U.S. gold futures settled 0.6% higher at $1,504.70 an ounce.
