Market Roundup
•Australia Judo Bank Services PMI (Dec): 51.0, 52.8 previous.
•Australia Manufacturing & Services PMI (Dec): 51.1, 52.6 previous.
•Australia Judo Bank Manufacturing PMI (Dec): 52.2, 51.6 previous.
•Australia Westpac Consumer Sentiment (Dec): -9.0%, 12.8% previous.
•New Zealand Net Debt Forecast (Jul): 43.3%, 42.7% previous.
•New Zealand Economic Forecast (Jul): -16.93B, -14.74B previous.
•New Zealand Budget Balance (Jul): -14.8B, -10.0B previous.
•Japan au Jibun Bank Services PMI (Dec): 52.5, 53.2 previous.
•Japan Manufacturing & Services PMI (Dec): 51.5, 52.0 previous.
•Japan au Jibun Bank Manufacturing PMI (Dec): 49.7, 49.0 forecast, 48.7 previous.
Looking Ahead Economic Data (GMT)
•07:00 UK Employment Change 3M/3M (MoM) (Oct): -22K previous.
•07:00 UK Unemployment Rate (Oct): 5.0% previous.
•07:00 UK Average Earnings Index + Bonus (Oct): 4.8% previous.
•07:00 UK Claimant Count Change (Nov): 29.0K previous..
•07:00 UK Average Earnings ex Bonus (Oct): 4.6% previous.
•08:15 France HCOB Manufacturing PMI (Dec): 47.8 previous.
•08:15 France HCOB Services PMI (Dec): 51.4 previous.
•08:15 France HCOB Composite PMI (Dec): 50.4 previous.
•08:30 Germany HCOB Manufacturing PMI (Dec): 48.2 previous.
•08:30 Germany HCOB Services PMI (Dec): 53.1 previous.
•08:30 Germany HCOB Composite PMI (Dec): 52.4 previous
•08:30 Eurozone HCOB Services PMI (Dec): 53.6 previous
•08:30 Eurozone HCOB Manufacturing PMI (Dec): 49.6 previous
•08:30 Eurozone HCOB Composite PMI (Dec): 52.8 previous
Looking Ahead Events And Other Releases (GMT)
•No Events Ahead
Looking Events And Other Releases (GMT)
•No Events Ahead
Currency Forecast
EUR/USD : The euro edged lower against the dollar on Tuesday as investors awaited key U.S. jobs data that could shape expectations for the Federal Reserve’s policy next year. Reports on October and November employment are due later in the day, while Thursday’s inflation release is also in focus, though some data may be incomplete following the longest government shutdown in U.S. history. The Fed cut interest rates last week as expected and signaled one more cut in 2026, though markets are pricing in at least two, underscoring the importance of upcoming economic releases. Attention this week will also turn to policy decisions from the Bank of England, the European Central Bank, and the Bank of Japan.. Immediate resistance can be seen at 1.1752(Higher BB), an upside break can trigger rise towards 1.1791(23.6%fib).On the downside, immediate support is seen at 1.1670(50%fib), a break below could take the pair towards 1.1618(SMA20).
GBP/USD: Sterling dipped slightly against dollar on Tuesday as investors focused on the UK’s October labor market data, due from the Office for National Statistics (ONS) at 07:00 GMT. The ILO Unemployment Rate is expected to rise slightly to 5.1% from September’s 5.0%, reflecting a modest cooling in the job market. September employment fell by 22K, signaling ongoing labor market weakness. Meanwhile, the November Claimant Count Change is forecast at 22.3K, down from 29K in October, with the previous Claimant Count Rate at 4.4%. Traders will closely watch these figures for clues on the outlook for UK interest rates and economic momentum. Immediate resistance can be seen at 1.3423(Higher BB), an upside break can trigger rise towards 1.3524(38.2%fib).On the downside, immediate support is seen at 1.3360(Daly low), a break below could take the pair towards 1.3282(Dec 10th low).
AUD/USD: The Australian dollar dipped against the U.S. dollar on Tuesday as investors digested Australian economic data and awaited fresh catalyst. Australia’s consumer sentiment slipped in December, as households worried about inflation and interest rates, after hitting a four-year high in November. A Westpac-Melbourne Institute survey showed consumer sentiment fell 9% to 94.5 in December, after rising 12.8% in November, slipping below 100 as pessimists outweighed optimists. Separate data s showed the Composite PMI fell to a seven-month low of 51.1 in December. Services sector growth slowed to 51 from 52.8, while manufacturing activity edged higher to 52.2 from 51.6. Immediate resistance can be seen at 0.6692(Higher BB), an upside break can trigger rise towards 0.6713(23.6%fib).On the downside, immediate support is seen at 0.6613(38.2%fib), a break below could take the pair towards 0.6556(SMA 20)
USD/JPY: The U.S. dollar slipped lower on Tuesday as the yen strengthened ahead of the Bank of Japan’s policy meeting on Friday. The BOJ is expected to raise short-term rates to 0.75% from 0.5%, reaching a three-decade high, and signal further hikes, closing the year with two increases despite U.S. tariff headwinds and the inauguration of a dovish prime minister. While still low by global standards, the move would mark another step in Governor Kazuo Ueda’s efforts to normalize monetary policy. Market attention will focus on Ueda’s post-meeting remarks for guidance on the future rate path.. Immediate resistance can be seen at 157.32(Higher BB) an upside break can trigger rise towards 155.88(38.2%fib) .On the downside, immediate support is seen at 154.74 (Lower BB) a break below could take the pair towards 154.24 (38.2%fib).
Equities Recap
Asian equities fell ahead of key U.S. data, including the jobs report, which could guide Fed policy next year.
Japan’s, Nikkei 225 was down 1.45%, South Korea’s KOSPI was down 2.24%,Hang Seng was down 1.97 %
Commodities Recap
Gold prices rose slightly on Tuesday, aided by a weaker dollar, as investors awaited key U.S. jobs data that could influence expectations for the Federal Reserve’s policy in the coming year.
Spot gold was up 0.1% at $4,311.64 per ounce, as of 0230 GMT, extending a year-to-date rally of more than 64% that has seen bullion smash multiple records.
Oil prices fell on Tuesday, extending losses from the previous session, as improving prospects for a Russia-Ukraine peace deal raised expectations of a potential easing of sanctions.
Brent crude futures fell 35 cents, or 0.6%, to $60.21 a barrel by 0350 GMT, while U.S. West Texas Intermediate crude was trading at $56.52 a barrel, down 30 cents, or 0.5%.
