|   Market Roundups


  |   Market Roundups


America’s Roundup: Dollar edges down but posts gains for week, Wall Street drops, Gold gains, Oil prices up after Basra spill, but log weekly decline-September 17th,2022

Market Roundup

US indexes down: Dow 0.45%, S&P 0.72%, Nasdaq 0.90%

•Canada Jul Foreign Securities Purchases 0.01B, -17.54B previous

•Canada Jul Foreign Securities Purchases by Canadians   4.30B, -12.30B previous

•Canada Jul Wholesale Sales (MoM)  -0.6%,-0.6% forecast, 0.1% previous

•US  Sep Michigan Inflation Expectations 4.6%, 4.8% previous

•US Sep Michigan 5-Year Inflation Expectations  2.80%,2.90%  previous

•US Sep Michigan Consumer Sentiment 59.5, 60.0 forecast, 58.2 previous

•US Sep Michigan Consumer Expectations 59.9, 59.7 forecast, 58.0 previous

•US Sep Michigan Current Conditions  58.9,60.8 forecast, 58.6 previous

•U.S. Baker Hughes Oil Rig Count 599, 591 previous

•U.S. Baker Hughes Total Rig Count 763 ,759 previous

Looking Ahead - Economic Data (GMT)

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Looking Ahead - Events, Other Releases (GMT)

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Currency Summaries

EUR/USD: The euro strengthened against dollar on Friday as after euro zone inflation hit another record high   in August. Euro zone inflation hit another record high of 9.1% in August, EU statistics office Eurostat confirmed on Friday, driven by sharply higher energy and food prices, and was likely headed towards double figures. Consumer price inflation in the 19 countries using the euro rose 0.6% month-on-month and by 9.1% year-on-year, the highest rate since the euro was created in 1999.In its flash estimate at the end of August, Eurostat had given a monthly change figure of 0.5%.  .Immediate resistance can be seen at 1.0002(9DMA), an upside break can trigger rise towards 1.0062 (38.2%fib).On the downside, immediate support is seen at 0.9942 (23.6%fib), a break below could take the pair towards 0.9747 (Lower BB).

GBP/USD: Sterling dipped against the dollar on Friday after weaker-than-expected retail sales figures reinforced fears about Britain's economy. The pound fell more than 1% against the dollar to $1.1351, its lowest since 1985, and was last trading at $1.1404.Most major currencies have been struggling against the dollar in recent months, and the greenback was given another leg-up this week after hotter-than-expected U.S. inflation caused markets to price in a further large rate hike from the Federal Reserve next week. Immediate resistance can be seen at 1.1492(38.2%fib), an upside break can trigger rise towards 1.1523 (9 DMA).On the downside, immediate support is seen at 1.1364 (23.6%fib), a break below could take the pair towards 1.1305 (lower BB).

 USD/CAD: The Canadian dollar weakened to its lowest level in nearly two years against the greenback on Friday and Canada’s stock market fell as investors grew cautious ahead of domestic inflation data and a Federal Reserve interest rate decision next week. It follows hotter-than-expected U.S. inflation data on Tuesday that spooked financial markets globally and pushed the U.S. dollar sharply higher against a basket of major currencies. Canada’s inflation data for August is due next Tuesday, with all eyes on measures of underlying price pressures. The Canadian dollar was trading 0.3% lower at 1.3270 per U.S. dollar, after touching its weakest since November 2020 at 1.3307. For the week, the loonie was down 1.8%, its biggest weekly decline since June. Immediate resistance can be seen at 1.3272 (23.6%fib), an upside break can trigger rise towards 1.3301 (Higher BB).On the downside, immediate support is seen at 1.3226 (Daily low), a break below could take the pair towards 1.3164 (38.2%fib).

USD/JPY: The dollar dipped against the Japanese yen on Friday helped slightly by hopes of a potential currency intervention. Japan's threats of currency intervention might slow but not stop the yen from hurtling towards three-decade lows before the year end.The yen has already lost more than 20% of its value this year to reach a 24-year trough at 144.99 per dollar last week , including a more than 7% tumble over the past month alone. The BOJ's next policy update comes on Thursday, when it is mostly expected to press on with its yield curve control policies that pin the short-term rate at -0.1% and the 10-year yield around zero via massive bond-purchases. Strong resistance can be seen at 143.76 (23.6%fib), an upside break can trigger rise towards 144.00(Psychological level).On the downside, immediate support is seen at 142.90 (5 DMA), a break below could take the pair towards 141.20 (38.2%fib).

Equities Recap

European stocks closed sharply lower on Friday, extending recent losses, as mounting fears about a global recession rendered the mood extremely bearish.

The UK's benchmark FTSE 100 closed down by 0.62 percent, Germany's Dax ended down by 1.66 percent, and France’s CAC finished the day down  by 1.33 percent.

U.S. stocks ended in the red on Friday, falling to two-month lows as a warning of impending global slowdown from FedEx hastened investors' flight to safety at the conclusion of a tumultuous week.

Dow Jones closed down by 0.45 percent, S&P 500 ended down  by 0.72 percent, Nasdaq finished the down up by 0.90 percent.

Treasuries Recap

The two-year Treasury note climbed higher on Friday after FedEx Corp's warning of an acceleratingg global demand slowdown added to the growing realization the Federal Reserve is going to keep interest rates higher for longer to curb inflation.

The two-year's yield rose 3.2 basis points to 3.905% and the 10-year yield   rose 1.8 basis points to 3.477%.

Commodities Recap

Gold prices rose on Friday as the dollar stalled, but gains in the greenback over the week and expectations of a sizeable U.S. rate hike kept bullion well below the key $1,700 mark and en route to its worst week in four.

Spot gold  was 0.5% higher at $1,672.48 per ounce by 2:08 p.m. ET (1808 GMT). U.S. gold futures settled 0.4% higher at $1,683.50.

Oil prices rose slightly on Friday as a spill at Iraq's Basra terminal appeared likely to constrain crude supply, but remained down on the week on fears that hefty interest rate increases will curb global economic growth and demand for fuel.

Brent crude futures settled at $91.35 a barrel, up 51 cents, while U.S. West Texas Intermediate (WTI) crude futures settled at $85.11 a barrel, up 1 cent.

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