Europe Roundup: Euro as German survey fuels optimism, European shares rise, Gold dips, Oil falls as U.S.-China tensions take toll-May 25th,2020
America’s Roundup: Dollar dips as improved risk appetite, EU recovery fund hopes boost euro, Wall Street ends down, Gold gains, Oil rises as higher U.S. refinery rates offsets surprise crude build-May 29th,2020
Europe Roundup: Euro steady as doubts over EU recovery fund arise,European shares gains,Gold gains, Oil prices steady,awaiting confirmation of surprise U.S. inventory build-May 28th,2020
Asia Roundup: Aussie eases on worsening U.S.-China tensions, dollar rallies against yen as risk sentiment slightly improves on potential Japanese stimulus, Asian shares consolidate - Monday, May 25th, 2020
America’s Roundup: Dollar climbs as U.S.-China tensions lift greenback, Wall Street ends mixed, Gold firms, Oil drops 4% on China-U.S. tensions, energy demand doubts-May 23rd 2020
Asia Roundup: Aussie rallies to 4-month peak as RBA stands pat, dollar holds gains against yen as U.S. manufacturing activity rebounds from 11-year low, Asian shares advance - Tuesday, June 2nd, 2020
Asia Roundup: Euro rallies on Franco-German proposal for recovery fund, Asian shares consolidate as vaccine hopes ease, investors eye FOMC minutes - Wednesday, May 20th, 2020
Europe Roundup: Euro rise as investors focus on turns EU recovery plan, European shares edge higher, Gold dips to two-week low, Oil falls on U.S.-China tensions over Hong Kong-May 27th,2020
America’s Roundup: Dollar weakens as euro climbs on EU common fund proposal, Wall Street climbs, Gold firms, Oil rise on recovery hopes-May 21st 2020
Americas’ Roundup: Dollar trades in narrow range as four-day euro rally fizzles, Wall Street ends lower, Brent at highest since March on U.S. stock draw, recovering demand-May 22nd 2020
America’s Roundup: Dollar hits 11-week low against major currencies, Wall Street gains, Gold firms, Oil steady; U.S.-China tensions weigh, possible output cuts support-June 2nd, 2020
Europe Roundup: Euro gains before Trump's press conference on China, European shares dips, Gold up, Oil falls but remains set for biggest monthly gain in years-May 29th,2020
Europe Roundup: Euro buoyed as investor sentiment improves, European shares gain,Gold eases, Oil prices climb as faith in supply cuts grows-May 26th,2020
America’s Roundup: Dollar dips against euro as month-end flows weigh, Wall Street ends up, Gold gains 1%,Oil surges 5% on U.S.-China trade optimism, falling crude output-May 30th,2020
America’s Roundup: Dollar treads water against euro, Wall Street gains, Gold dips to two-week low, Oil falls on demand concerns, U.S.-China tensions-May 28th,2020
Asia Roundup: Aussie eases on Hong Kong unrest, dollar rallies against yen amid hopes of economic recovery, investors eye ECB Lagarde’s speech - Wednesday, May 27th, 2020
Europe Roundup: Sterling rallies as UK-EU agree on new Brexit deal, dollar rallies against yen amid developments on U.S.-China trade talks, European shares surge - Thursday, October 17th, 2019
Economic Data Ahead
Key Events Ahead
DXY: The dollar index slumped as weak data cast a shadow on the outlook for the U.S. economy in the short term, keeping the door open for the Federal Reserve to cut interest rates again later this month. The greenback against a basket of currencies traded 0.3 percent down at 97.71, having touched a low of 97.50 earlier, its lowest since August 26.
EUR/USD: The euro rallied to a near 2-month peak after French central bank Governor Francois Villeroy de Galhau stated that the European Central Bank should clarify the symmetric nature of its inflation target at its upcoming policy review. The European currency traded 0.4 percent up at 1.1112, having touched a high of 1.1039 earlier, its highest since August 26. Immediate resistance is located at 1.1163, a break above targets 1.1190. On the downside, support is seen at 1.1034 (5-DMA), a break below could drag it below 1.1000.
USD/JPY: The dollar advanced to a 2-1/2 month high after China’s commerce ministry stated that China hoped to reach a phased agreement with Washington as early as possible, and make progress on cancelling tariffs on each others’ goods. The major was trading up at 108.78 having hit a high of 108.93 earlier, its highest since August 1. Investors’ will continue to track the broad-based market sentiment, ahead of the U.S. building permits, housing starts, unemployment benefit claims, industrial production, capacity utilization and Fed officials' speeches. Immediate resistance is located at 108..99 (July 31 High), a break above targets 109.31 (August 1 High). On the downside, support is seen at 108.48 (5-DMA), a break below could take it near at 108.02.
GBP/USD: Sterling jumped to a fresh 5-month peak after Prime Minister Boris Johnson stated that Britain and the European Union had agreed a new Brexit deal and urged lawmakers to approve it at the weekend. The major traded 0.5 percent up at 1.2889, having hit a high of 1.2989 earlier, it’s highest since May 13. Investors’ attention will remain on the development surrounding Brexit, ahead of the U.S. fundamental drivers. Immediate resistance is located at 1.3000, a break above could take it near 1.3049. On the downside, support is seen at 1.2657, a break below targets 1.2597. Against the euro, the pound was trading 0.2 percent up at 86.23 pence, having hit a high of 85.74 earlier, it’s highest since May 8.
USD/CHF: The Swiss franc surged to a 9-day peak as the greenback plunged to multi-week lows against a basket of currencies. The major trades 0.4 percent down at 0.9914, having touched a high of 0.9995 on Tuesday, it’s highest since October 4. On the higher side, near-term resistance is around 1.0012 and any break above will take the pair to the next level till 1.0037. The near-term support is around 0.9904, and any close below that level will drag it till 0.9885.
European shares rebounded, boosted by strong earnings from Swedish telecoms gear maker Ericsson.
The pan-European STOXX 600 index advanced 0.7 percent at 396.25 points, while the FTSEurofirst 300 rallied 0.7 percent to 1,552.52 points.
Britain's FTSE 100 trades 0.6 percent up at 7,213.39 points, while mid-cap FTSE 250 surged 0.7 to 20,320.11 points.
Germany's DAX rose 0.8 percent at 12,773.42 points; France's CAC 40 trades 0.5 percent higher at 5,726.59 points.
Crude oil prices surged after China said it hoped to reach a phased trade agreement with the United States as early as possible, although the upside appears limited as industry data showed a larger-than-expected build-up in the U.S. inventories. International benchmark Brent crude was trading 0.4 percent up at $59.27 per barrel by 1017 GMT, having hit a high of $60.66 on Friday, its highest since September 30. U.S. West Texas Intermediate was trading 0.3 percent higher at $53.11 a barrel, after rising as high as $54.91 on Friday, its highest since September 30.
Gold prices eased as risk sentiment improved amid developments on the U.S.-China trade war front and Brexit negotiations. Spot gold was trading 0.3 percent down at $1,485.43 per ounce by 1019 GMT, having touched a low of $1,473.88 on Friday, its lowest since October 1. U.S. gold futures also slipped 0.1 percent to $1,492.
The U.S. Treasuries suffered during the afternoon session ahead of the country’s industrial production, housing starts and building permits data for the month of September, as well as the October Philly Fed survey results and usual weekly jobless claims numbers, all due for release later today. The yield on the benchmark 10-year Treasury yield jumped 4 basis points to 1.787 percent, the super-long 30-year bond yield surged 3 basis points to 2.262 percent and the yield on the short-term 2-year surged 4 basis points to 1.631 percent.
The United Kingdom’s gilts plunged during European trading hours tracking an array of optimism from market participants after Britain and the European Union reached a deal on Brexit, which further cleared the pathway to end all official ties with the latter after over 4 decades. The yield on the benchmark 10-year gilts, jumped 3 basis points to 0.746 percent, the 30-year yield surged 4 basis points to 1.228 percent and the yield on the short-term 2-year traded tad higher at 0.569 percent.
The German bunds slumped during European session after investor sentiments improved, following a draft Brexit deal that could actually smoothen the road for Britain to finally break all ties with the European Union. The German 10-year bond yield, which move inversely to its price, jumped nearly 4 basis points to -0.353 percent, the yield on 30-year note also surged 4 basis points to 0.155 percent while the yield on short-term 2-year traded flat at -0.662 percent.
The Australian government bonds slumped during Asian trading session after trade tensions between the United States and China spurred disturbance amongst the market investors amid disappointment from the country’s domestic labour market report for the month of September, released early today. The yield on Australia’s benchmark 10-year note, which moves inversely to its price, jumped nearly 2-1/2 basis points to 1.077 percent, the yield on the long-term 30-year bond also surged nearly 2-1/2 basis points to 1.664 percent and the yield on short-term 2-year traded 2 basis points higher at 0.750 percent.