Market Roundup
•French Oct Car Registration (MoM) -11.4%, 54.4% previous
• German Oct Car Registration (YoY) 16.8%, 14.1% previous
•German Oct Car Registration (MoM) -7.2%, 12.9% previous
•Italian Sep Trade Balance -6.454B, -9.569B previous
•EU Oct CPI (MoM) 1.5%, 1.5% forecast,1.2% previous
•EU Oct CPI (YoY) 10.6%, 10.7% forecast,9.9% previous
•EU Oct HICP ex Energy & Food (YoY) 6.4%,6.4% forecast, 6.0% previous
•EU Oct Core CPI (YoY) 5.0%,5.0% forecast,4.8% previous
•EU Oct CPI ex Tobacco (YoY) 10.8%, 10.1% previous
Looking Ahead - Economic Data (GMT )
•13:30 US Continuing Jobless Claims 1,500K forecast, 1,493K previous
•13:30 US Jobless Claims 4-Week Avg 218.75K previous
•13:30 US Initial Jobless Claims 225K forecast, 225K previous
•13:30 US Nov Philly Fed Employment 28.5 previous
•13:30 US Oct Housing Starts (MoM) -8.1% previous
•13:30 US Nov Philadelphia Fed Manufacturing Index -6.2 forecast, -8.7 previous
•13:30 US Oct Building Permits (MoM) 1.4% previous
•13:30 US Building Permits 1.512M forecast, 1.564M previous
•13:30 US Oct Housing Starts 1.410M forecast, 1.439M previous
•13:30 US Nov Philly Fed Prices Paid 36.30 previous
•15:30 US Natural Gas Storage 63B forecast, 79B previous
•16:00 US Nov KC Fed Composite Index -7 previous
•16:00 US Nov KC Fed Manufacturing Index -22 previous
Looking Ahead - Events, Other Releases (GMT)
•12:30 UK BoE MPC Member Pill Speaks
•13:00 US FOMC Member Bullard Speaks
•14:15 US FOMC Member Bowman Speaks
•14:30 UK MPC Member Tenreyro Speaks
•14:40 US FOMC Member Mester Speaks
•15:40 US Fed Governor Jefferson Speaks
Fxbeat
EUR/USD: The euro declined on Thursday as dollar strengthened as investors digested mixed U.S. economic data he greenback has tumbled in recent weeks as inflation data and comments from Federal Reserve officials have suggested that the central bank can soon slow the pace of its punishing interest rate hikes. Yet the dollar rose on Thursday after U.S. retail sales data for October, released on Wednesday, came in stronger than expected. The euro was down 0.51% against the dollar at $1.0339 at 11:00 GMT, after hitting its highest level since July at $1.048 on Tuesday. Immediate resistance can be seen at 1.0392(23.6%fib), an upside break can trigger rise towards 1.0435(Higher BB).On the downside, immediate support is seen at 1.0328 (Daily low), a break below could take the pair towards 1.0232(38.2%fib).
GBP/USD: The pound eased against the dollar on Thursday ahead of finance minister Jeremy Hunt's new budget full of tough but necessary measures to control inflation.Hunt, who took over from Kwasi Kwarteng who served as chancellor under former Prime Minister Liz Truss, plans to tackle a 55 billion-pound ($65.7 billion) hole in Britain's budget by freezing thresholds and allowances on income tax, national insurance, inheritance tax and pensions for a further two years.Inflation in the UK shot up at a rate of 11.1% in the year to October, the fastest increase since October 1981 and well above September's 10.1% rate. Sterling was last down 0.3% against the dollar at $1.1834. Immediate resistance can be seen at 1.1895 (23.6%fib), an upside break can trigger rise towards 1.1967 (Higher BB).On the downside, immediate support is seen at 1.1714(9DMA), a break below could take the pair towards 1.1665(38.2%fib).
USD/CHF: The dollar strengthened against the Swiss franc on Thursday as the greenback strengthened across the board following robust U.S. retail sales data . Data showed U.S. retail sales increased more than expected in October, renewing expectations that the improved economic data could prompt the Federal Reserve to keep hiking rates. The dollar found a footing overnight after strong U.S. retail sales data boosted the case for the Fed to stay on its tightening path. The dollar index , which measures the currency against six major peers, rose 0.32% to 106.62. Immediate resistance can be seen at 0.9517(38.2%fib), an upside break can trigger rise towards 0.9596(50%fib).On the downside, immediate support is seen at 0.9391 (23.6%fib), a break below could take the pair towards 0.9355 (lower BB).
USD/JPY: The dollar strengthened against the yen on Thursday as the dollar rebounded on data conflicting with a narrative of retreating U.S. inflation leading to slower interest rate hikes. U.S. October retail sales rose 1.3%, compared with economists' expectations for 1.0%, a healthy signal but one that dented hopes that the Federal Reserve would scale back rate hikes. Focus remained on Fed’s interest rate strategy, with traders pricing in a 93% probability of a 50 basis-point of rate hike at the U.S. central bank’s December meeting. Traders will also scrutinise speeches from numerous Fed officials on Thursday for hints about rate hikes. Regional Fed Presidents Raphael Bostic, Loretta Mester and Neel Kashkari are all due to speak. The greenback rose 0.15% against the Japanese yen on Thursday to 139.89 after falling earlier in the session. Strong resistance can be seen at 140.29(38.2%fib), an upside break can trigger rise towards 140.68(Nov 14th high).On the downside, immediate support is seen at 139.00(Daily low), a break below could take the pair towards 137.88(23.6%fib).
Equities Recap
European shares dipped on Wednesday, led by losses in shares of Mercedes Benz Group, while a dour forecast from U.S. big box retailer Target Corp pressured regional retailers on concerns about consumer spending..
At (GMT 11:55),UK's benchmark FTSE 100 was last trading down at 0.54 percent, Germany's Dax was down by 0.08 percent, France’s CAC was down 0.70 .
Commodities Recap
Gold prices fell on Thursday as the dollar steadied while investors gauged economic cues from the United States for the pace of future interest rate hikes.
Spot gold fell 0.4% to $1,766.00 per ounce by 0931 GMT. U.S. gold futures edged 0.4% lower to $1,768.50.
Oil extended declines on Thursday as concerns over geopolitical tensions eased and as rising numbers of COVID-19 cases in China added to demand worries in the world's largest crude importer.
Brent crude was down $1.30, or 1.4%, to $91.56 a barrel at 1137 GMT. U.S. West Texas Intermediate (WTI) crude slid $1.42, or 1.7%, to $84.17.
