Menu

Search

  |   Market Roundups

Menu

  |   Market Roundups

Search

America’s Roundup: Dollar steady as case for Fed's pause solidifies, Wall Street slips, Gold gains, Oil falls as U.S.-China trade deal prospects dim-November 14th,2019

Market Roundup

• Optimism over a U.S.-China trade deal fades

• Russia GDP Quarterly (YoY) (Q3) 1.7%, 1.6% forecast, 0.9% previous     

• US Oct Core CPI (YoY) 2.3%,2.4% forecast, 2.4% previous

• US Oct Core CPI (MoM)  0.2%, 0.2% forecast, 0.1% previous

• US Oct Core CPI Index 265.01, 264.60    previous

• US Oct CPI (MoM) 0.4%,0.3% forecast, 0.1% previous

• US Oct CPI (YoY)  1.8% , 1.7% forecast, 1.7% previous

• US Oct CPI Index, n.s.a , 257.35, 257.23 forecast, 256.76 previous

• US Oct CPI Index, s.a  257.27, 256.36 previous

• US Oct CPI, n.s.a (MoM) 0.23%,0.08%  previous

• US Oct Real Earnings (MoM)  -0.1%,0.1% forecast, -0.1% previous         

• US Nov Thomson Reuters IPSOS PCSI   61.23, 62.12 previous

• Brazil Nov Thomson Reuters IPSOS PCSI  49.89, 50.11 previous

Looking Ahead - Economic Data (GMT)

• 23:50 Japan Foreign Bonds Buying 668.1B previous

• 23:50 Japan Foreign Investments in Japanese Stocks 420.9B previous

• 23:50 Japan GDP (YoY) (Q3) 0.8% forecast, 1.3% previous

• 23:50 Japan GDP (QoQ) (Q3) 0.2% forecast, 0.3% previous

• 23:50 Japan GDP Capital Expenditure (QoQ) (Q3) 0.9%, 0.2% previous

• 00:30 Australia  Oct Employment Change 15.0K, 14.7K previous      

• 00:30 Australia  Full Employment Change 26.2K previous  

• 00:30 Australia  Participation Rate 66.1% forecast, 66.1% previous 

• 02:00 China Oct Fixed Asset Investment (YoY)  5.4%,5.4% previous 

• 02:00 China Oct Industrial Production (YoY)  5.4%, 5.8% previous     

• 02:00   Chinese Unemployment Rate 5.2%  previous                                                             

Looking Ahead - Events, Other Releases (GMT)

• 19:10 New Zealand RBNZ Gov Speaks

• 22:50 Australia  RBA Assist Gov Bullock Speaks 

Currency Summaries

EUR/USD: The euro declined against the U.S. dollar on Wednesday , after consumer prices in October rose more than expected and Federal Reserve Chair Jerome Powell offered an optimistic outlook for the economy. U.S. consumer prices jumped by the most in seven months in October, a report from the Labor Department showed, as the cost of healthcare surged by the most in more than three years. The Fed has cut interest rates three times this year in part due to low inflation. The euro was down 0.04 percent at $1.1004.The dollar index, which measures the greenback against six major currencies, was 0.02 percent higher at 98.35. Immediate resistance can be seen at 1.1040 (50 DMA), an upside break can trigger rise towards 1.1099 (100 DMA).On the downside, immediate support is seen at 1.0990 (50 DMA), a break below could take the pair towards   1.0940 (0th Oct).

GBP/USD: The pound was little changed against the dollar Wednesday, but stayed within recent trading ranges as weak economic data, which should hurt sterling, were more than offset by supportive political developments in Britain. Average weekly earnings rose at a weaker pace in the three months to September in the UK.On top of that, inflation fell in October to its lowest level in nearly three years, official data showed on Wednesday, adding to expectations that the Bank of England’s next move might be an interest rate cut.The British currency was last trading at  $1.2843, down 0.01 percent on the day.  Immediate resistance can be seen at 1.2900(Nov 11th high), an upside break can trigger rise towards 1.2987(31st 0ct high) .On the downside, immediate support is seen at 1.2822 (5 DMA), a break below could take the pair towards 1.2768 (Nov 8th high).

USD/CAD: The Canadian dollar weakened to a one-month low against its U.S. counterpart on Wednesday, adding to its decline since the Bank of Canada shifted to a more dovish stance as investors became more pessimistic about global trade conflicts. Global shares fell after U.S. President Donald Trump threatened to "substantially" increase tariffs if China failed to agree a trade deal, and he also took a swipe at European Union trade policies.Canada is a major exporter of commodities, including oil, so its economy could be hurt by a more uncertain outlook for global trade. At   (1406 GMT), the Canadian dollar was trading 0.1% lower at 1.3253 to the greenback. Immediate resistance can be seen at 1.3276 (200 DMA), an upside break can trigger rise towards 1.3300 (Psychological level).On the downside, immediate support is seen at 1.3207  (50 DMA), a break below could take the pair towards 1.3142 (21 DMA).

USD/JPY: The dollar declined against the Japanese yen on Wednesday, as U.S. President Donald Trump’s speech on the trade ties with China diminished optimism for a deal boosted demand for Japanese yen.  Trump on Tuesday said a trade deal was “close” but gave no new details on when or where an agreement would be signed, disappointing investors in what was billed as a major speech on his administration’s economic policies.He also rattled some investors by threatening China with even more tariffs if the two countries do not reach a deal. speech on the trade ties with China diminished optimism for a deal. At 20:37 GMT, the dollar was 0.21 percent lower versus the Japanese yen at 108.77. Strong resistance can be seen at 108.67 (11 DMA), an upside break can trigger rise towards 109.00 (Psychological level).On the downside, immediate support is seen at 108.12(50 DMA), a break below could take the pair towards 107.66 (100 DMA).

Equities Recap

European shares retreated from four-year highs on Wednesday, as ambiguity over a U.S.-China trade deal and intensifying unrest in Hong Kong kept investors at bay, while Spanish stocks underperformed as Rome braced for more political uncertainty.

The UK's benchmark FTSE 100 closed up by 0.25 percent, Germany's Dax ended up by 0.09 percent, and France’s CAC finished the day up  by 0.39 percent.

Wall Street edged lower on Wednesday as President Donald Trump’s threat to “substantially” raise tariffs if China did not make a trade deal with the United States as well as escalating tensions in Hong Kong kept investors away from riskier assets.

At (20:40 GMT) Dow Jones was up by 0.28 percent, S&P 500 was up by 0.04 percent, Nasdaq was  down by 0.08 percent.

Treasuries Recap

U.S. Treasury yields fell on Wednesday as optimism that the United States and China will reach a deal to remove tariffs faded, and as the recent rise in yields was seen as overdone.

Benchmark 10-year note yields   to 1.973% on Thursday, which was the highest since August 1, and have climbed from 1.67% on November 1.

Commodities Recap

Gold gained on Wednesday as U.S. President Donald Trump’s speech on the trade ties with China diminished optimism for a deal and dented risk appetite.

Spot gold rose 0.5% to $1,463.70 per ounce at 11:16 a.m. EDT (1616 GMT). U.S. gold futures rose 0.8% to $1,464.80.

Oil prices fell on Wednesday as prospects for a trade deal between the United States and China faded, weighing on the outlook for the global economy and energy demand.

Brent crude futures   fell 45 cents, or 0.7%, to $61.61 a barrel by 1313 GMT, while U.S. West Texas Intermediate crude  was at $56.55, down 25 cents or 0.45%.          

By Srikanth G
  • Market Data
Close

Welcome to EconoTimes

Sign up for daily updates for the most important
stories unfolding in the global economy.