Market Roundup
• US Initial Jobless Claims 225K, 222K forecast, 219K previous
•US Continuing Jobless Claims 1,826K, 1,827K previous
•US Jobless Claims 4-Week Avg. 224.25K forecast, 225.00K previous
•US Durables Excluding Defense (MoM) (Aug) -0.2%, -0.2% previous
•US Durables Excluding Transport (MoM) (Aug) 0.5%, 0.5% previous
•US Factory Orders (MoM) (Aug) -0.2%, 0.1% forecast, 4.9% previous
•US Factory Orders ex Transportation (MoM) (Aug) -0.1%, 0.3% previous
•US ISM Non-Manufacturing Business Activity (Sep) 59.9, 53.3 previous
•US ISM Non-Manufacturing Employment (Sep) 48.1, 50.2 previous
•US ISM Non-Manufacturing New Orders (Sep) 59.4, 53.0 previous
•US ISM Non-Manufacturing PMI (Sep) 54.9, 51.7 forecast, 51.5 previous
•US ISM Non-Manufacturing Prices (Sep) 59.4, 56.3 forecast, 57.3 previous
•US Natural Gas Storage 55B, 59B forecast, 47B previous
•US 4-Week Bill Auction 4.755%, 4.700% previous
Looking Ahead Economic Data(GMT)
• Australia Home Loans (MoM) (Aug) 2.9% previous
• Australia Invest Housing Finance (MoM) (Aug) 5.4% previous
Looking Ahead Events And Other Releases(GMT)
•No Events Ahead
Currency Summaries
EUR/USD: The euro initially dipped against the dollar on Thursday but recovered some round as markets braced for an all-important U.S. jobs reading on Friday which could offer clues on the size of potential rate cuts by the Federal Reserve this month. Investors are eager for more data on the labor market after the Federal Reserve last month cut its benchmark interest rate by an unusually large 50 basis points, the first reduction in borrowing costs since 2020.Friday’s jobs report for September is considered key for the outlook for U.S. interest rates. Economists polled expect 140,000 job additions, while the unemployment rate is anticipated to stay steady at 4.2%. Immediate resistance can be seen at 1.1064(38.2%fib), an upside break can trigger rise towards 1.1110(50%fib).On the downside, immediate support is seen at 1.1019(23.6%fib), a break below could take the pair towards 1.0989 (Lower BB).
GBP/USD: Sterling was on track on Thursday for its biggest fall in six months after Bank of England Governor Andrew Bailey hinted at faster policy easing. Bailey told the Guardian newspaper the BoE could become "a bit more activist" and "a bit more aggressive" in its approach to lowering rates, if there was further welcome news on inflation for the central bank.Sterling which has strengthened recently as investors saw fewer interest rates cuts in Britain than in other countries was down by more than a cent against the U.S. dollar, on track for its biggest daily fall in almost six months.Immediate resistance can be seen at 1.3170(38.2%fib), an upside break can trigger rise towards 1.3257(50%fib).On the downside, immediate support is seen at 1.3075(38.2%fib), a break below could take the pair towards 1.3004(Lower BB).
USD/CAD: The Canadian dollar weakened to a 10-day low against its U.S. counterpart on Thursday as data showed a deepening downturn in Canada's services economy and investors weighed ebbing prospects of another 50-basis-point interest rate cut by the Federal Reserve. The U.S. dollar , opens new tab notched broad-based gains, climbing to a six-week high against a basket of major currencies, as data showed a still-solid American economy.In contrast, Canada's services economy deteriorated in September as firms shed jobs and new business dropped to a near four-year low. The headline business activity index in S&P Global Canada services PMI data fell to 46.4 from 47.8 in August. The loonie was trading 0.3% lower at 1.3540 to the U.S. dollar, after touching its weakest level since Sept. 23 at 1.3553. Immediate resistance can be seen at 1.3557 (38.2%fib), an upside break can trigger rise towards 1.3597(50%fib).On the downside, immediate support is seen at 1.3506 (23.6% fib), a break below could take the pair towards 1.2458(Lower BB).
USD/JPY: The dollar strengthened against the yen on Thursday as upbeat economic data boosted greenback. Data on Thursday showed that U.S. services sector activity jumped to a 1-1/2-year high in September amid strong growth in new orders, though its measure of services employment fell, consistent with a slowdown in the labor market. Other data on Thursday showed that the number of Americans filing new applications for unemployment benefits rose marginally last week, but Hurricane Helene's rampage in the U.S. Southeast and strikes at Boeing and ports could distort the labor market picture in the near term.The dollar index was last up 0.33% at 101.98 and reached 102.09, the highest since Aug. 19. It hit a 14-month low of 100.15 on Sept. 27. Strong resistance can be seen at 147.22 (Oct 4th high), an upside break can trigger rise towards 148.26 (23.6%fib). On the downside, immediate support is seen at 146.58(38.2%fib), a break below could take the pair towards 145.32 (50%fib).
Equities Recap
European shares declined on Thursday, as investors remained wary of risk-taking amid elevated geopolitical tensions in the Middle East, with most sectors logging declines except energy giants.
UK's benchmark FTSE 100 closed down by 0.10 percent, Germany's Dax ended down by 0.78 percent, France’s CAC finished the day down by 1.32 percent.
U.S. stocks finished lower on Thursday ahead of Friday's monthly U.S. payrolls report and as investors kept a watchful eye on the growing conflict in the Middle East.
Dow Jones closed down by 0.44% percent, S&P 500 closed down by 0.17 % percent, Nasdaq settled up by 0.05% percent.
Commodities Recap
Oil prices surged on Thursday as concerns mounted that a widening regional conflict in the Middle East could disrupt global crude flows.
Brent crude futures settled up $3.72, or 5.03%, at $77.62 a barrel. U.S. West Texas Intermediate (WTI) crude futures settled up $3.61, or 5.15%, to $73.71.
Gold prices held steady on Thursday as safe-haven demand from escalating tensions in the Middle East offset pressure from a stronger dollar after investors toned down expectations of another big interest-rate cut from the U.S. Federal Reserve.
Spot gold was flat at $2,657.89 per ounce by 1:40 p.m. ET (1740 GMT), after hitting a record high of $2,685.42 last week.U.S. gold futures settled 0.4% higher at $2,679.2.
