Asia Roundup: Antipodeans set for weekly losses, greenback steadies as pandemic recovery stalls, Asian shares slump - Friday, October 16th, 2020
America’s Roundup: Dollar ends losing week lower on election and COVID aid concerns, Wall Street subdued, Gold slips, Oil falls about 2% on Libyan output, COVID-19 demand concerns-October 24th,2020
Europe Roundup: Sterling gains against dollar as traders bet on Brexit breakthrough, U.S. stimulus bets ,European stocks gains ,Gold firms ,Oil falls on demand concerns and new European lockdowns-October 19th,2020
Asia Roundup: Antipodeans rebound from multi-week lows, greenback eases on U.S. stimulus hope, markets eye ECB President Lagarde's speech - Wednesday, October 21st, 2020
America’s Roundup: Dollar holds gains on safety bid as uncertainty grows on several fronts, Wall Street closes lower, Gold steady, Oil rises nearly 2% as robust China trade data offsets returning supply-October 14th,2020
Asia Roundup: Aussie at 3-week low as RBA minutes confirm rate cut on Nov. 3, greenback steadies amid caution over U.S. coronavirus aid, Asian shares slump - Tuesday, October 20th, 2020
America’s Roundup:U.S. dollar index edges up from 7-week lows, Wall Street rises, Gold eases, Oil struggles to recover after U.S. gasoline stocks build-October 23rd 2020
Asia Roundup: Kiwi rallies on Ardern's historic re-election win, dollar gains against yen amid U.S. coronavirus relief deal hopes, Asian shares surge - Monday, October 19th, 2020
America’s Roundup: Dollar drifts downward as investors cling to stimulus hopes,Wall Street gains,Gold slips, Oil prices fall 3% as U.S., Libyan, Norwegian supplies resume-October 13th,2020
Asia Roundup: Kiwi slumps as CPI misses expectations, dollar steadies following U.S. presidential debate, Asian shares consolidate - Friday, October 23rd, 2020
Europe Roundup: Euro gains as investors focus on U.S. stimulus, European stocks fall, Gold hits one-week peak, Oil prices slip as U.S. inventory build stokes fears of supply glut-October 21st,2020
Asia Roundup: Kiwi steadies on mixed economic data, dollar halts 2-day losing streak against yen as investors eye U.S. stimulus, Asian shares plunge - Tuesday, October 13th, 2020
America’s Roundup: Dollar hold gains as risk-off sentiment boosts greenback, Wall street ends down, Gold edges up, Oil eases as new lockdowns raise concern about fuel demand-October 16th,2020
Europe Roundup: Sterling on track for weekly gain as Brexit negotiations intensify, European stocks rise, Gold ticks up, Oil rises above $42 as possible OPEC+ cut extension offsets demand concern-October 23rd 2020
America’s Roundup:Dollar falls for second day as U.S. political concerns grow, Wall Street gains, Gold firms, Oil inches up on U.S. stimulus hopes, rising virus cases keep prices in check-October 21st,2020
Asia Roundup: Aussie rebounds from 4-month low as RBA stands pat, dollar gains against yen on robust U.S. manufacturing data, Asian shares rally - Tuesday, February 4th, 2020
Economic Data Ahead
Key Events Ahead
DXY: The dollar index steadied after rebounding from multi-week lows in the previous session on a key U.S. manufacturing survey that showed a surprise recovery. The greenback against a basket of currencies traded flat at 97.82, having touched a low of 97.35 on Friday, its lowest since Jan. 17.
EUR/USD: The euro consolidated within narrow ranges after data released yesterday showed Eurozone factory activity contracted again in January, its shallowest rate since mid-2019. The European Central Bank has struggled for years to get inflation anywhere near its just below 2 percent target and factories again cut prices last month. The European currency traded flat at 1.1060, having touched a high of 1.1095 on Friday, its highest since January 23. Investors’ attention will remain on a series of data from the Eurozone economies and EZ producer price index, ahead of the U.S. factory orders data. Immediate resistance is located at 1.1081, a break above targets 1.1118. On the downside, support is seen at 1.1043 (5-DMA), a break below could drag it below 1.1019.
USD/JPY: The dollar surged, extending previous session gains after the Institute for Supply Management (ISM) reported that U.S. factory activity unexpectedly rebounded in January after contracting for five straight months. Investors now eye the U.S. state of Iowa, where Democrats began months-long process to choose a challenger to President Donald Trump. The major was trading 0.1 percent up at 108.75, having hit a low of 108.31 on Friday, its lowest since Jan. 8. Investors’ will continue to track the broad-based market sentiment, ahead of the U.S. factory orders data. Immediate resistance is located at 109.14 (10-DMA), a break above targets 109.36 (21-DMA). On the downside, support is seen at 108.26, a break below could take it near at 108.00.
GBP/USD: Sterling steadied after falling to a 1-week low earlier in the session as investors digested Prime Minister Boris Johnson's tough tone, saying Britain will not adhere to the European Union’s rules and regulations. PM Boris Johnson set out tough terms for Brexit talks with the bloc, rekindling fears Britain would reach the end of an 11-month transition period without agreeing a trade deal. The major traded 0.2 percent higher at 1.3018, having hit a low of 1.2981 earlier, it’s lowest since Jan. 28. Investors’ attention will remain on the trade negotiations, ahead of the U.S. fundamental drivers. Immediate resistance is located at 1.3067 (21-DMA) , a break above could take it near 1.3120. On the downside, support is seen at 1.2954, a break below targets 1.2904. Against the euro, the pound was trading 0.1 percent up at 84.95 pence, having hit a low of 85.19 earlier, it’s lowest since Jan. 21.
AUD/USD: The Australian dollar rebounded from multi-week lows after the central bank held rates steady and retained the outlook despite the impact of bushfires at home and a virus epidemic in China. The Reserve Bank of Australia kept its cash rate at a record low of 0.75 percent, a widely expected decision given a recent decline in unemployment. The Aussie trades 0.4 percent up at 0.6717, having hit a low of 0.6678 earlier, it’s lowest since Oct. 2. Investors will continue to track overall market sentiment, ahead of U.S. economic releases. Immediate support is seen at 0.6670, a break below targets 0.6645. On the upside, resistance is located at 0.6742, a break above could take it near 0.6773 (10-DMA).
NZD/USD: The New Zealand dollar bounced back from a 2-month trough, amid persisting worries over the economic impact from the coronavirus. The Kiwi trades 0.1 percent up at 0.6467, having touched a low of 0.6449 earlier, its lowest level since Dec. 2. Investors’ will continue to track broad-based market sentiment, ahead of U.S. economic data. Immediate resistance is located at 0.6496 (5-DMA), a break above could take it near 0.6540. On the downside, support is seen at 0.6424, a break below could drag it below 0.6402.
Asian shares rebounded as Chinese markets reversed some of their previous plunge amid official efforts to calm virus fears.
MSCI's broadest index of Asia-Pacific shares outside Japan gained 1.5 percent.
Tokyo's Nikkei surged 0.5 percent to 23,084.59 points, Australia's S&P/ASX 200 index rose 0.4 percent to 6,948.70 points and South Korea's KOSPI rallied 1.7 percent to 2,154.82 points.
Shanghai composite index rose 1.1 percent to 2,777.01 points, while CSI 300 index traded 2.3 percent up at 3,771.00 points.
Hong Kong’s Hang Seng traded 1.1 percent higher at 26,656.69 points. Taiwan shares added 1.8 percent to 11,555.92 points.
Crude oil prices rebounded from multi-month lows as investors remained calm after Monday's sharp sell-off on fears of the impact of the China coronavirus on demand. International benchmark Brent crude was trading 1.2 percent higher at $54.76 per barrel by 0458 GMT, having hit a low of $53.93 earlier, its lowest since Jan. 2019. U.S. West Texas Intermediate was trading 1.4 percent up at $50.56 a barrel, after falling as low as $49.68 earlier, its lowest since Jan. 2019.
Gold prices declined as the dollar held firm after a key U.S. manufacturing survey showed a surprise rebound, although rising concerns about a widening coronavirus outbreak in China and its economic fallout limited the downside. Spot gold was trading 0.1 percent down at $1,574.97 per ounce by 0504 GMT, having touched a high of $1592.16 on Monday, its highest since Jan. 8. U.S. gold futures fell 0.2 percent to $1,579.50.
The Australian bonds suffered during Asian session of the second trading day of the week, after the Reserve Bank of Australia (RBA) remained on hold at its monetary policy meeting, held early today ahead of the country’s retail sales for the month of December, scheduled to be released on February 6 by 00:30GMT. The yield on Australia’s benchmark 10-year note, which moves inversely to its price, rose nearly 1 basis point to 0.926 percent, the yield on the long-term 30-year bond also edged tad higher to 1.522 percent and the yield on short-term 2-year jumped nearly 3 basis points to trade at 0.655 percent.