Market Roundup
• Swiss Sep PPI (MoM) 0.1% , -0.4% previous
• Swiss Sep PPI (YoY) -3.1%, -3.5% previous
•French Sep CPI (MoM) -0.5%, -0.5% forecast, -0.1% previous
•French Sep HICP (YoY) 0.0%, 0.0% forecast, 0.2% previous
•French Sep HICP (MoM) -0.6% , -0.6% forecast, -0.1% previous
•Italian Aug Industrial New Orders (YoY) 6.1%,-7.2% previous
•Italian Aug Industrial New Orders (MoM) 15.1%, 3.7% previous
•Italian Aug Industrial Sales (MoM) 5.90%, 8.10% previous
•EU Sep Reserve Assets Total 909.58B, 915.08B previous
•UK Oct Thomson Reuters IPSOS PCSI 42.4, 45.4 previous
•Italy Oct Thomson Reuters IPSOS PCSI 37.13, 37.66 previous
Looking Ahead Economic Data
•12:30 US Export Price Index (YoY) -2.8% previous
•12:30 US Sep Export Price Index (MoM) 0.4% forecast, 0.5% previous
•12:30 US Import Price Index (YoY) -1.4% previous
•12:30 US Sep Import Price Index (MoM) 0.3%,0.9% previous
•12:30 US NY Empire State Manufacturing Index 15.00, 17.00 previous
•12:30 US Oct Philadelphia Fed Manufacturing Index 14.0 forecast , 15.0 previous
•12:30 US Oct Philly Fed Business Conditions 56.6 previous
•12:30 US Oct Philly Fed CAPEX Index 31.00 previous
•12:30 US Philly Fed Employment 15.7 previous
•12:30 Canada ADP Nonfarm Employment Change -205.4K previous
•12:30 US Oct Philly Fed Prices Paid 25.10 previous
•12:30 US Oct Philly Fed New Orders 25.5 previous
•12:30 US Continuing Jobless Claims 10,700K forecast, 10,976K previous
•12:30 US Initial Jobless Claims 825K forecast, 840K previous
•12:30 US Jobless Claims 4-Week Avg 857.00K previous
•13:00 Russia Central Bank reserves (USD) 585.8B previous
•15:00 US Crude Oil Inventories -2.835M forecast, 0.501M previous
•15:00 US Gasoline Inventories-1.607M-1.607M, -1.435M previous
Looking Ahead - Events, Other Releases (GMT)
•13:00 UK BoE MPC Member Cunliffe Speaks
•13:45 Canada BoC Gov Council Member Lane Speaks
•15:00 US FOMC Member Kaplan Speaks
•15:00 US FOMC Member Quarles Speaks
•15:00 IMF Meetings
•16:00 ECB President Lagarde Speaks
Fxbeat
EUR/USD: The euro declined against dollar on Thursday as fading U.S. stimulus hopes benefitted dollar. U.S. Treasury Secretary Steve Mnuchin dimmed hopes for a new fiscal stimulus package before the Nov. 3 presidential election. Mnuchin said he and Democratic lawmakers were "far apart" on terms for a coronavirus economic relief package, and that a deal would be hard to reach before the election, souring risk sentiment and pushing investors to seek safety in the dollar. Immediate resistance can be seen at 1.1730 (5DMA), an upside break can trigger rise towards 1.1768 (5DMA).On the downside, immediate support is seen at 1.1690(daily low), a break below could take the pair towards 1.1600 (Psychological level).
GBP/USD: Sterling declined against dollar on Thursday as traders waited to see whether a meeting of European Union leaders in Brussels would signal any progress in troubled Brexit talks with Britain. The pound has risen in recent sessions, propelled by a sense that Britain and the EU will secure a trade deal before the end-2020 deadline. But sterling remains far below a 2020 high of nearly $1.35 hit in early September many investors reckon that even if a deal is reached, it will be a limited one. Sterling dipped 0.66% to $1.2925 at GMT 11:42 after reaching as high as $1.3030 in Asian hours. Immediate resistance can be seen at 1.3027 (38.2% fib), an upside break can trigger rise towards 1.3083 (Higher BB).On the downside, immediate support is seen at 1.2906 (23.6%fib), a break below could take the pair towards 1.2883(21DMA).
USD/CHF: The dollar little changed against the Swiss franc on Thursday as prospects of fresh U.S. stimulus before the presidential election faded while rising coronavirus cases in Europe kept investors cautious. Downbeat comments from U.S. Treasury Secretary Steven Mnuchin that a stimulus deal was unlikely before the Nov. 3 vote provided one of several reasons for profit-taking. Also weighing on sentiment was a resurgence in COVID-19 cases in Europe, with some nations are closing schools, cancelling surgery and enlisting student medics. Immediate resistance can be seen at 0.9156 (38.2 % fib), an upside break can trigger rise towards 0.9200 (Psychological level).On the downside, immediate support is seen at 0.9121 (5DMA), a break below could take the pair towards 0.9094 (23.6% fib ).
USD/JPY: The dollar gained against the Japanese yen Thursday rising concerns about resurgent COVID-19 infections and fading U.S. stimulus hopes boosted demand for greenback. U.S. Treasury Secretary dashed any remaining hopes of a stimulus package before the Nov. 3 election. Mnuchin said he and Democratic lawmakers were "far apart" on terms for a coronavirus economic relief package, and that a deal would be hard to reach before the election. Market participants also kept a close watch on developments in ongoing Brexit negotiations as a two-day summit of European Union leaders began on Thursday. Strong resistance can be seen at 105.36 (5 DMA), an upside break can trigger rise towards 105.82 (38.2%fib).On the downside, immediate support is seen at 105.10 (23.6% fib), a break below could take the pair towards 104.91 (Oct 2nd low).
Equities Recap
European shares hit two-week lows on Thursday, knocked by tougher curbs in London and Paris to fight a second wave of the COVID-19 pandemic, with no breakthrough in Brexit trade talks also a dampener.
At (GMT 12:20 ),UK's benchmark FTSE 100 was last trading down at 2.05 percent, Germany's Dax was down by 2.87 percent, France’s CAC finished was down by 2.37 percent.
Commodities Recap
Oil prices fell on Thursday as new restrictions to stem a surge in COVID-19 infections have increased uncertainty over the outlook for economic growth and a recovery in fuel demand.
Brent crude futures dropped 70 cents, or 1.6% to $42.62 a barrel at 0905 GMT, while U.S. West Texas Intermediate (WTI) crude futures were down 69 cents, or 1.7%, to $40.35.
Gold fell on Thursday as the dollar gained after U.S. Treasury Secretary Steve Mnuchin dimmed hopes for a new fiscal stimulus package before the Nov. 3 presidential election.
Spot gold fell 0.5% to $1,891.81 per ounce by 0929 GMT, after rising as much as 1.2% on Wednesday. U.S. gold futures were down 0.6% at $1,895.20 per ounce.
