Market Roundup
• Swiss GDP (YoY) (Q3) -1.6%,-3.3% forecast, -8.3% previous
• Swiss GDP (QoQ) (Q3) 7.2%,5.9% forecast, -7.3% previous
• UK Nov Nationwide HPI (MoM) 0.9%,0.3% forecast, 0.8% previous
• UK Nov Nationwide HPI (YoY) 6.5%,5.5% forecast, 5.8% previous
• Spanish Nov Manufacturing PMI 49.8, 50.5 forecast, 52.5 previous
• Swiss Oct Retail Sales (YoY) -8.8%,-12.9% previous
• Italian Nov Manufacturing PMI 51.5, 52.0 forecast, 53.8 previous
• French Nov Manufacturing PMI 49.6, 49.1 forecast, 49.1 previous
• German Nov Unemployment Change -39K, 8K forecast, -35K previous
• German Nov Unemployment Rate 6.1%,6.3% forecast, 6.2% previous
• German Nov Unemployment 2.817M, 2.863M previous
• German Nov Unemployment n.s.a. 2.699M, 2.760M previous
• German Nov Manufacturing PMI 57.8, 57.9 forecast, 57.9 previous
• Italian GDP (QoQ) (Q3) 15.9%,16.1% forecast, -12.8% previous
• UK Nov Manufacturing PMI 55.6, 55.2 forecast, 55.2 previous
• EU Nov CPI, n.s.a 104.81, 105.16 previous
• EU CPI (YoY) -0.3%,-0.2% forecast, -0.3% previous
• EU Nov HICP ex Energy & Food (YoY) 0.4%, 0.4% forecast, 0.4% previous
• EU Core CPI (YoY) 0.2%,0.2% previous
• EU Core CPI (MoM) -0.3%,0.1% previous
Looking Ahead - Economic Data (GMT)
•13:30 Canada GDP (QoQ) (Q3) -11.5% previous
•13:30 Canada GDP (YoY) (Q3) -13.01% previous
•13:30 Canada GDP Annualized (QoQ) (Q3) 47.6% forecast, -38.7% previous
•13:30 Canada GDP Implicit Price (QoQ) (Q3) -1.20% previous
•13:30 Canada Sep GDP (MoM) 0.9% forecast, 1.2% previous
•13:55 US Redbook (MoM) -0.5% previous
•13:55 US Redbook (YoY) 2.8% previous
•14:30 Canada Nov RBC Manufacturing PMI 55.5 previous
•14:30 New Zealand GlobalDairyTrade Price Index 1.8% previous
•14:45 US Nov Manufacturing PMI 53.4 previous
•15:00 US Oct Construction Spending (MoM) 0.8% forecast, 0.3% previous
•15:00 US Nov ISM Manufacturing Employment 53.2 previous
•15:00 US ISM Manufacturing New Orders Index 67.9 previous
•15:00 US Nov ISM Manufacturing PMI 58.0 forecast, 59.3 previous
•15:00 US Nov ISM Manufacturing Prices 65.0 forecast, 65.5 previous
•15:30 US Nov Dallas Fed Services Revenues 7.1 previous
•15:30 US Texas Nov Services Sector Outlook 13.2 previous
Looking Ahead - Economic events and other releases (GMT)
•17:00 ECB President Lagarde Speaks
•17:00 US FOMC Member Brainard Speaks
•18:15 US FOMC Member Daly Speaks
•20:00 US Chicago Fed President Evans Speaks
Fxbeat
EUR/USD: The euro rose against dollar on Tuesday as the U.S. dollar fell on expectations of more monetary stimulus from the United States. Worries about rising coronavirus cases have not provided the dollar with much support. Speculation is growing that the Federal Reserve will act to support the economy through a tough winter before vaccinations become available. The Fed meets to set policy on Dec. 15 and 16. Before then on Tuesday and Wednesday Fed Chair Jerome Powell will appear before Congress, and his remarks will be closely watched for any clues as to the Fed’s next moves. Euro/dollar was up 0.3% at $1.1964, close to $1.2004, its highest since Sept. Immediate resistance can be seen at 1.1985 (Daily high), an upside break can trigger rise towards 1.1997 (23.6%fib).On the downside, immediate support is seen at 1.1922 (38.2%fib), a break below could take the pair towards 1.1904(9DMA).
GBP/USD: The pound rose against dollar on Tuesday as market participants remained optimistic that a Brexit deal could be reached this week, despite a lack of tangible progress in negotiations. The UK left the European Union in January and is currently in a status quo transition period that will end on Dec. 31. Both sides are currently in trade talks to reach an agreement on the UK’s future relationship with the bloc. The pound rose, pushed up above $1.34 by a weaker dollar. At 0841 GMT it was at a three-month high of $1.3403, up 0.6% on the day. Immediate resistance can be seen at 1.3380(Nov 27th high), an upside break can trigger rise towards 1.3408 (23.6%fib).On the downside, immediate support is seen at 1.3310 (38.2%fib), a break below could take the pair towards 1.3280 (14DMA).
USD/CHF:The dollar declined against the Swiss franc on Tuesday as rising coronvirus cases overshadowed some of the optimism for a quicker vaccine Breakthroughs in vaccine developments from top drugmakers Pfizer, Moderna and AstraZeneca last month along with a market-friendly outcome of the U.S. presidential election helped the index score its best month on record, up 12% to new all-time peaks . At 13:00 GMT, the dollar was 0.30 percent lower versus the Swiss franc at 0.9050 . Immediate resistance can be seen at 0.9069(50%fib), an upside break can trigger rise towards 0.9090 (61.8%fib).On the downside, immediate support is seen at 0.9050 (38.2% fib), a break below could take the pair towards 0.9022(23.6%fib).
USD/JPY: The dollar gained against the Japanese yen on Tuesday after robust China data boosted expectations of a recovery from the COVID-19 downturn and as drugmakers seeks fast approval for their vaccines and authorities look set to keep stimulus support. Breakthroughs in vaccine developments from top drugmakers Pfizer, Moderna and AstraZeneca last month along with a market-friendly outcome of the U.S. presidential election helped dollar gain against Japanese yen. At 13:00 GMT, the dollar was 0.06 percent higher versus the yen at 104.36.Strong resistance can be seen at 104.44 (Daily high), an upside break can trigger rise towards 104.63 (50% fib).On the downside, immediate support is seen at 104.28 (38.2%fib), a break below could take the pair towards 103.85 (23.6% fib).
Equities Recap
European shares on Tuesday made a positive start to the month following record-breaking gains in November, with optimism around a coronavirus vaccine strengthening the case for an economic recovery.
At (GMT 13:30 ),UK's benchmark FTSE 100 was last trading up at 1.84 percent, Germany's Dax was up by 0.85 percent, France’s CAC finished was up by 0.91 percent.
Commodities Recap
Gold rose 1% on Tuesday, rebounding from a five-month trough in the previous session, on a weaker dollar and as rising coronvirus cases overshadowed some of the optimism for a quicker vaccine-fulled economic recovery.
Spot gold rose 1.1% to $1,796.61 per ounce by 1034 GMT. U.S. gold futures gained 1% to $1,800.20.
Oil prices were broadly steady on Tuesday as investors awaited direction from OPEC and its allies after the producers postponed a formal meeting to decide whether to lift output from January.
Brent crude was down 1 cent at $47.87 a barrel by 1115 GMT and West Texas Intermediate was down 9 cents at $45.25.
