Market Roundup
• 13:30 US Continuing Jobless Claims 1,689K, 1,683K forecast, 1,690K previous
• 13:30 US Initial Jobless Claims 211K, 215K forecast, 218K previous
• 13:30 US Jobless Claims 4-Week Avg 215.25K, 214.75K previous
Looking Ahead - Economic Data (GMT)
• 23:30 Japan Sep Household Spending (YoY) 7.8% forecast, 1.0% previous
• 23:30 Japan Sep Household Spending (MoM) 3.8% forecast, 2.4% previous
• 23:30 Japan Sep Overall wage income of employees -0.1% previous
•23:30 Japan Sep Overtime Pay (YoY) 0.10% previous
• 23:50 Japan Foreign Bonds Buying -1,018.5B previous
• 23:50 Japan Foreign Investments in Japanese Stocks 649.5B previous
• 23:50 Japan Oct Foreign Reserves (USD) 1,322.6B previous
• 00:30 Australia Sep Home Loans (MoM) 1.8% previous
• 00:30 Australia Invest Housing Finance (MoM) 3.2% previous
• 03:00 China Exports (YoY) -3.5% forecast, -3.2% previous
• 03:00 China Imports (YoY) -8.9% forecast, -8.5% previous
• 03:00 China Trade Balance (USD) 41.20B, 39.65B previous
• 05:00 Japan Sep Coincident Indicator (MoM) -0.7% previous
• 05:00 Japan Leading Index 91.9 previous
• 05:00 Japan Sep Leading Index (MoM) -1.8% previous
Looking Ahead - Events, Other Releases (GMT)
• 00:30 Australia RBA Monetary Policy Statement
Currency Summaries
EUR/USD: The euro slipped lower against the U.S. dollar on Thursday, as outlook improved for greenback as U.S.-China neared trade deal. The dollar gained after comments from a Chinese commerce ministry spokesman about the terms of a potential trade deal prompted investors to switch to greenback. The euro was down 0.13 percent at $1.1049. An index that tracks the dollar versus a basket of six major currencies was up 0.21 at 98.15. Immediate resistance can be seen at 1.1096 (21 DMA), an upside break can trigger rise towards 1.1188 (200 DMA).On the downside, immediate support is seen at 1.1037 (50 DMA), a break below could take the pair towards 1.1000 (Psychological level).
GBP/USD: The pound declined to hit two-week low against dollar on Thursday after two Bank of England officials unexpectedly voted to cut interest rates this month and others said they would consider a cut if global and Brexit headwinds did not lift. The BoE said that its nine-member Monetary Policy Committee voted 7-2 to keep its key rate at 0.75%, in sharp contrast to forecasts in a poll for a unanimous decision. The British currency fell to its low point in nearly two weeks down as much as $1.2794. It was last down 0.26% on the day at $1.2823. Immediate resistance can be seen at 1.2879 (5 DMA), an upside break can trigger rise towards 1.2971 (Oct 31st high).On the downside, immediate support is seen at 1.2793 (Daily low), a break below could take the pair towards 1.2700 (Psychological level).
USD/CAD: The Canadian dollar was little changed against its U.S. counterpart on Thursday, recovering from an earlier eight-day low as domestic jobs data loomed and Beijing signaled a 'phase one' trade deal with the United States was close to being sealed. U.S. crude oil futures were up 1.5% at $57.20 a barrel as hopes rose for an end to a long dispute that has weighed on economic growth and fuel demand. At (1914 GMT), the Canadian dollar was trading nearly unchanged at 1.3177 to the greenback. Immediate resistance can be seen at 1.3193 (100 DMA), an upside break can trigger rise towards 1.3273 (200 DMA).On the downside, immediate support is seen at 1.3159 (5 DMA), a break below could take the pair towards 1.3100 (Psychological level).
USD/JPY: The dollar strengthened against the Japanese yen on Thursday, as dollar was bolstered by comments from a Chinese commerce ministry official that suggested the world’s two largest economies are inching closer to a trade deal. The dollar rose to near three-month highs versus the yen after the news, retracing its 0.3% losses earlier in the session, as investors interpreted the comments as positive news. It was last up 0.2% at 109.19 yen .Strong resistance can be seen at 109.93 (Daily High), an upside break can trigger rise towards 108.88 (30th May High).On the downside, immediate support is seen at 108.82 (5 DMA), a break below could take the pair towards 108.61 (21 DMA).
Equities Recap
A proposal to shorten trading hours on Europe’s stock exchanges could help to boost liquidity and would have far-reaching benefits for the industry’s hard-working traders.
UK's benchmark FTSE 100 closed up by 0.13 percent, Germany's Dax ended up by 0.83 percent, France’s CAC finished the day up by 0.41percent.
Wall Street’s main indexes hit fresh record highs on Thursday, rallying on signs of progress in U.S.-China trade relations and another batch of largely upbeat earnings reports.
At (19:46) Dow Jones closed was up at 0.74 percent, S&P 500 was up by 0.34 percent, Nasdaq was up by 0.42 percent.
Treasuries Recap
U.S. Treasury yields rose to eight-week highs on Thursday as renewed optimism that the United States and China will reach a deal to de-escalate their trade war boosted risk appetite and reduced demand for safe-haven bonds.
Benchmark 10-year notes fell 23/32 in price to yield 1.890%, the highest since Sept. 16, and up from 1.821% late Wednesday.
Commodities Recap
Gold slid more than 1% on Thursday to its lowest level in over a month as U.S. Treasury yields jumped and global equities markets cheered China and United States’ agreement to cancel some tariffs in phases.
Spot gold was down 1.4% at $1,469.03 per ounce as of 11:03 a.m. EST (1603 GMT), having slipped to $1,467.71 its lowest since Oct. 1 earlier. U.S. gold futures fell 1.5% to $1,470.70.
Oil rose above $62 a barrel on Thursday after China hinted at progress toward a trade deal with the United States, raising hopes for an end to a long dispute that has weighed on economic growth and fuel demand.
Brent crude, the global benchmark, rose 62 cents to $62.36 by 1101 GMT after settling down $1.22 on Wednesday. West Texas Intermediate crude climbed 66 cents to $57.01
