America's Roundup: Dollar firms, set for best week since early November, Wall Street ends higher,Gold muted, Oil prices sink but on track for third weekly rise on trade hopes-December 21st, 2019

Market Roundup

• US Treasury yields rise on growth outlook

• U.S.-China trade tension easing lifts oil demand prospects

• Sterling heads for worst week since late 2017

• Canada Oct New Housing Price Index (MoM) 0.1%, 0.1% forecast 0.2% previous

• Brazil Nov Current Account (USD) -2.16B, -3.60B forecast, -7.90B previous

• Brazil Nov Foreign direct investment (USD) 6.99B, 7.50B forecast, 6.80B previous

• US Core PCE Prices (Q3) 2.10%, 2.10% forecast ,1.90% previous

• US Corporate Profits (QoQ) (Q3) 0.6%, 1.3% forecast 3.7% previous

• US GDP (QoQ) (Q3) 2.1%, 2.1% forecast 2.0% previous

• US GDP Price Index (QoQ) (Q3) 1.7%,1.8% forecast, 1.7% previous

• US GDP Sales (Q3) 2.1%,2.1% forecast, 2.0% previous

• US PCE Prices (Q3) 1.5%,2.3% forecast, 2.4% previous

• US Real Consumer Spending (Q3    ) 3.2%,2.9% previous  
 
• Canada Oct Core Retail Sales (MoM)  -0.5%,0.3% forecast,-0.1% previous

• Canada Oct Retail Sales (MoM)  -1.2%,0.5% forecast, -0.1%    previous

• US Nov Core PCE Price Index (MoM) 0.1%, 0.1% forecast 0.1% previous

• US Nov Core PCE Price Index (YoY) 1.6%, 1.6% forecast 1.7% previous

• US Dec Michigan 5-Year Inflation Expectations 2.20%, 2.50% previous  
 
• US Dec Michigan Consumer Expectations 88.9, 89.7 forecast, 87.3 previous

• US Nov PCE price index (MoM) 0.2%,0.2% previous

• US Nov PCE Price index (YoY) 1.5, 1.4 previous

• US Nov Personal Spending (MoM) 0.4%,0.4% forecast, 0.3% previous

• US Nov Real Personal Consumption (MoM) 0.3%,0.1% previous

• US Dec KC Fed Composite Index -8, -3 previous

• US Dec KC Fed Manufacturing Index -7, 2 forecast, -5 previous

• Canada Oct Budget Balance -3.25B, -1.45B forecast, -0.58B    previous

• Canada Oct Budget Balance (YoY) -9.05B, -0.37B forecast, -5.80B previous

• US Nov Dallas Fed PCE 2.20%, 2.20% previous

• Brazil Nov CAGED Net Payroll Jobs 99.23K, 47.50K forecast    , 99.23K previous                
Looking Ahead - Economic Data (GMT)

• No economic data ahead

Looking Ahead - Events, Other Releases (GMT)    

• No significant events.
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Currency Summaries

EUR/USD: The euro declined against the U.S. dollar on Friday, after a series of strong U.S. economic data releases boosted greeback.U.S. growth nudged up in the third quarter, the government confirmed on Friday, and there are signs the economy maintained the moderate pace of expansion as the year ended, supported by a strong labor market. Gross domestic product increased at a 2.1% annualized rate, the Commerce Department said on Friday in its third estimate of third-quarter GDP. That was unrevised from November's estimate in line with economists' expectations. Consumer spending was stronger than previously reported, and there were upgrades to business spending. Immediate resistance can be seen at 1.1146 (200 DMA), an upside break can trigger rise towards 1.1200 (Psychological level).On the downside, immediate support is seen at 1.1062 (Daily low), a break below could take the pair towards 1.1000 (Psychological level).

GBP/USD: The British pound declined against dollar on Friday, as  concerns over how Britain will leave the European Union weighed on pound. The pound slipped overnight to below $1.30, a dramatic drop from a 19-month peak of $1.3514 after British Prime Minister Boris Johnson used his sweeping election victory last week to revive the risk of a hard Brexit.Britain will leave the EU at the end of January and has set December 2020 as a hard deadline to reach a trade agreement .Immediate resistance can be seen at 1.3113(5 DMA), an upside break can trigger rise towards 1.3152 (11 DMA).On the downside, immediate support is seen at 1.2943 (50 DMA), a break below could take the pair towards 1.2900 (Psychological level). 

USD/CAD: The Canadian dollar weakened against its U.S. counterpart on Friday, giving up this week's gains after domestic data showing a surprise decline in retail sales revived bets that the Bank of Canada would cut interest rates next year.Canadian retail sales were down 1.2% in October from September at C$50.92 billion, on weaker sales at motor vehicle and parts dealers, as well as building material and garden equipment supplies dealers, Statistics Canada said. Analysts had forecast a 0.5% increase.  At (21:02 GMT), the Canadian dollar was trading 0.3% lower at 1.3157 to the greenback. The currency traded in a range of 1.3123 to 1.3181. Immediate resistance can be seen at 1.3179(11 DMA), an upside break can trigger rise towards 1.3217 (21 DMA).On the downside, immediate support is seen at 1.3143 (5 DMA), a break below could take the pair towards 1.3100 (Psychological level).

USD/JPY: The dollar rose against the Japanese yen on Friday, as dollar was helped by data showing relatively strong U.S. growth. The dollar   rose after the Commerce Department said gross domestic product increased at a 2.1% annualized rate in the third quarter, as expected, with consumer spending coming in stronger than previously reported. The dollar index rose 0.3%, with the euro down 0.42% to $1.1073. The Japanese yen weakened 0.08% versus the greenback at 109.47 per dollar. Strong resistance can be seen at 109.87 (29th Nov high), an upside break can trigger rise towards 110.00 (Psychological level).On the downside, immediate support is seen at 109.10 (11 DMA), a break below could take the pair towards 108.86 (50 DMA). 

Equities Recap

European stocks came close to a record high on Friday as further confirmation of a Jan. 31 Brexit date saw investors buying into markets that have been roiled by uncertainty for more than three years. 

UK's benchmark FTSE 100 closed up by  0.11 percent, Germany's Dax ended up by 0.81 percent, France’s CAC finished the day up by 0.82 percent.  
     
The S&P 500 hit a record high for a seventh straight session on Friday, as continued optimism on resolving the U.S.-China trade war and strength in domestic consumer spending lifted sentiment..

Dow Jones closed up by 0.28 percent, S&P 500 ended up 0.43 percent, Nasdaq finished the day up by 0.42 percent.

Treasuries Recap

U.S. Treasury yields rose on Friday on relatively strong economic growth and consumer spending reports.

The benchmark 10-year yield was up 2.8 basis points to 1.9364% in morning trading, reflecting greater appetite for risk.

Commodities Recap

Gold clung to a narrow $5 range on Friday as investors remained on the sidelines ahead of the holiday season and as equities markets hit record highs on easing U.S.-China trade worries.

Spot gold was unchanged at $1,478.90 per ounce as of 11:06 a.m. ET(1605 GMT), but extended gains for a second straight week. U.S. gold futures eased 0.1% to $1,482.60 per ounce.

Oil fell on Friday, but prices were set for a third straight weekly gain amid the easing of U.S.-Chinese trade tensions, which has boosted business confidence and the outlook for global economic growth.

Brent was down 55 cents, or 0.8%, at $65.99 a barrel by 1:33 p.m. EST (1833 GMT), but marking a weekly rise of around 1%. U.S. West Texas Intermediate crude was down 92 cents, or 1.5%, at $60.26 per barrel, but has gained about 0.3% on the week.