Market Roundup
• German Nov HICP (YoY) -0.7%, -0.7% forecast, -0.5% previous
• German Nov CPI (YoY) -0.3%,-0.3% forecast, -0.2% previous
• German Nov HICP (MoM) -1.0%,-1.0% forecast, 0.0% previous
• German Nov CPI (MoM )-0.8%,-0.8% forecast, 0.1% previous
• Spanish Nov CPI (MoM) 0.2%,0.2% forecast, 0.5% previous
• Spanish Nov CPI (YoY) -0.8%,-0.8% forecast, -0.8% previous
• Spanish Nov HICP (YoY) -0.8%,-0.9% forecast, -0.9% previous
• Spanish Nov HICP (MoM) 0.1%,0.1% forecast, 0.3% previous
• Italian Oct Industrial Production (MoM) 1.3%,1.0% forecast, -5.6% previous
•Italian Oct Industrial Production (YoY) -2.1%, -4.3% forecast, -5.1% previous
Looking Ahead - Economic Data (GMT)
•13:30 US Nov PPI (YoY) 0.8% forecast, 0.5% previous
•13:30 US Nov PPI (MoM ) 0.2% forecast, 0.3% previous
•13:30 US Nov Core PPI (YoY) 1.5% forecast, 1.1% previous
•13:30 US Nov Core PPI (MoM) 0.2% forecast, 0.1% previous
•13:30 Canada Capacity Utilization Rate (Q3) 77.5% forecast, 70.3% previous
•14:00 Russia Oct Trade Balance 8.20B forecast, 10.05B previous
•15:00 US Dec Michigan Inflation Expectations 2.8% previous
•15:00 US Dec Michigan Current Conditions 87.0 forecast, 87.0 previous
•15:00 US Michigan Consumer Sentiment 76.5 forecast, 76.9 previous
•15:00 US Michigan Consumer Expectations 71.0 forecast, 70.5 previous
•15:00 US Michigan 5-Year Inflation Expectations 2.50% previous
•16:00 Russia GDP Quarterly (YoY) (Q3) -3.6% forecast, -8.0% previous
•18:00 U.S. Baker Hughes Oil Rig Count 241 previous
Looking Ahead - Economic events and other releases (GMT)
•17:40 US FOMC Member Quarles Speaks
•18:40 UK BoE Deputy Governor Woods Speaks
Fxbeat
EUR/USD: The euro edged lower against dollar on Friday as tricky Brexit negotiations and uncertainty over U.S. stimulus talks capped euro’s gains. Investors were cautious after British Prime Minister Boris Johnson said on Thursday there was “a strong possibility” Britain and the European Union would fail to strike a trade deal. The euro was taking a breather, down 0.12% against the dollar at 1.2116. The common currency has soared 15% from three-year lows at the height of the March markets panic and has added nearly 2% in two weeks since finally breaking $1.20 after multiple attempts. Immediate resistance can be seen at 1.2160 (23.6%fib), an upside break can trigger rise towards 1.2200 (Psychological level).On the downside, immediate support is seen at 1.2103 (38.2%fib), a break below could take the pair towards 1.2061 (50% fib).
GBP/USD: The pound declined against dollar on Friday as fears that post-Brexit trade deal might not be reached before the end of 2020 weighed on pound. Sterling is under pressure, down about 0.75% at $1.3193 ahead of a weekend of brinkmanship as British and EU negotiators have been told they have until the end of Sunday to decide whether a trade deal is possible. The pound has slipped 1.8% this week as British and European leaders have expressed doubts that they will be able to salvage a deal. Immediate resistance can be seen at 1.3236 (50%fib), an upside break can trigger rise towards 1.3302 (61.8%fib).On the downside, immediate support is seen at 1.3157 (38.2%fib), a break below could take the pair towards 1.3070 (23.6 % fib).
USD/CHF: The dollar gained against the Swiss franc on Friday as progress on COVID-19 vaccines boosted investor sentiment, but tricky Brexit negotiations and US stimulus talks capped gains. Investors bet on stronger economic growth next year as more countries prepare for vaccinations. US authorities voted overwhelmingly to endorse emergency use of Pfizer’s coronavirus vaccine while doses of a COVID-19 vaccine made by China’s Sinovac Biotech are rolling off a Brazilian production line. Immediate resistance can be seen at 0.8876 (50%fib), an upside break can trigger rise towards 0.8900 (61.8%fib).On the downside, immediate support is seen at 0.8853 (38.2% fib), a break below could take the pair towards 0.8824(23.6%fib).
USD/JPY: The dollar edged lower against the Japanese yen on Friday as worries over the economic impact of a resurgent COVID-19 pandemic and the fate of a Brexit trade deal as well as stalled U.S. stimulus measures. Fiscal stimulus in United States appeared unlikely after Democrat House Speaker Nancy Pelosi suggested that wrangling over a spending package could drag on through Christmas.At 11:20 GMT, the dollar against the Japanese yen dipped 0.10% to 104.08. Strong resistance can be seen at 104.23 (38.2%fib), an upside break can trigger rise towards 104.53 (23.6% fib).On the downside, immediate support is seen at 103.93 (50%fib), a break below could take the pair towards 103.65(61.8%fib).
Equities Recap
European shares slipped on Friday, setting up to end an action-packed week on a somber note on worries over the economic impact of a resurgent COVID-19 pandemic and the fate of a Brexit trade deal as well as stalled U.S. stimulus measures.
At (GMT 11:30 ),UK's benchmark FTSE 100 was last trading down at 1.09 percent, Germany's Dax was down by 1.99 percent, France’s CAC finished was down by 1.26 percent.
Commodities Recap
Oil prices eased on Friday but were set for a sixth week of gains, as the rollout of novel coronavirus vaccination programmes fed hopes that demand for fuel would rebound next year.
Brent was down 19 cents or 0.4% at $50.06 a barrel by 0946 GMT, after rising above $51 a barrel on Thursday to an early-March high.
U.S. oil was down 11 cents, or 0.2%, at $46.67 a barrel, having risen almost 3% in the previous session.
Gold prices edged higher on Friday, as rising coronavirus cases and dour U.S. jobs data cast doubts over a swift economic recovery, offsetting the pressure from delayed U.S. fiscal stimulus talks.
Spot gold was up 0.1% at $1,836.54 per ounce by 0055 GMT, while U.S. gold futures rose 0.2% to $1,840.70.
