Posted at 06 January 2025 / Categories Market Roundups
Market Roundup
•Australia Judo Bank Services PMI (Dec) 50.8, 50.5 previous
• Japan au Jibun Bank Services PMI (Dec) 50.9.51.4 forecast, 50.5 previous
•Caixin Services PMI (Dec) 52.2,51.7 forecast,51.5 previous
Looking Ahead Economic Data(GMT)
• 08:15 Spain HCOB Services PMI (Dec) 54.1 forecast, 53.1 previous
•08:30 Italy HCOB Composite PMI (Dec) 47.7 previous
• 09:00Italy HCOB Services PMI (Dec) 50.0 forecast 49.2 previous
•09:00France HCOB Composite PMI (Dec) 46.7 forecast 45.9 previous
•09:00France HCOB Services PMI (Dec) 48.2 forecast 46.9 previous
•09:00Germany HCOB Composite PMI (Dec) 47.8 forecast 47.2 previous
• 09:00Germany HCOB Services PMI (Dec) 51.0 forecast, 49.3 previous
• 09:00 Germany CPI (MoM) (Dec) -0.2% previous
•09:00 Germany CPI (MoM) (Dec) -0.2% previous
•09:00 Germany CPI (YoY) (Dec) 1.9% previous
•09:00 Germany CPI (MoM) (Dec) -0.3% previous
•09:00 Germany CPI (YoY) (Dec) 2.0% previous
•09:00 Germany North Rhine Westphalia CPI (MoM) (Dec) 1.9% previous
•09:00 Germany CPI (YoY) (Dec) 1.9% previous
•09:00 Germany CPI (YoY) (Dec) 2.9% previous
•09:00 Germany CPI (MoM) (Dec) -0.2% previous
•09:00 Eurozone HCOB Composite PMI (Dec) 49.5 forecast, 48.3 previous
•09:00 Eurozone HCOB Services PMI (Dec) 51.4 forecast, 49.5 previous
•09:30 UK S&P Global Composite PMI (Dec) 50.5 forecast, 50.5 previous
•09:30 UK S&P Global Services PMI (Dec) 51.4 forecast, 50.8 previous
•09:30 EU Sentix Investor Confidence (Jan) -17.7 forecast, -17.5 previous
•10:00 German Car Registration (YoY) (Dec) -0.5% previous
•11:00 Portuguese Unemployment Rate (Nov) 6.1% previous
Currency Summaries
EUR/USD: The euro strengthened against the dollar on Monday as investors awaited a raft of U.S. economic data this week headlined by December's nonfarm payrolls report for further clues on the Federal Reserve's rate outlook A slew of Fed policymakers are also due to speak this week, where they are likely to reiterate recent comments from their colleagues that the fight against taming inflation is not yet done. Inflation figures from the EU and Germany this week will refine the outlook for more rate cuts from the European Central Bank. The euro was last trading at $1.0315 ,close to last week's 26-month trough of $1.0225. Immediate resistance can be seen at 1.0347(38.2%fib), an upside break can trigger rise towards 1.0415(50%fib).On the downside, immediate support is seen at 1.0250(23.6%fib), a break below could take the pair towards 1.0215(Lower BB).
GBP/USD: The pound strengthened on Monday as dollar eases slightly ahead of various US economic data releases. Expectations of a hawkish Federal Reserve and anticipated policy changes under U.S. President-elect Donald Trump have kept the dollar on the front foot The U.S. jobs report, due on Friday, is expected to provide more clues to the Fed's rate outlook after the U.S. central bank rattled markets last month by reducing its projected cuts for 2025.Investors are also awaiting ADP hiring and job openings data, as well as minutes of the Fed's last policy meeting for further direction. Immediate resistance can be seen at 1.2490(38.2%fib), an upside break can trigger rise towards 1.2537 (Jan 2nd high).On the downside, immediate support is seen at 1.2360(23.6%fib), a break below could take the pair towards 1.2314(Lower BB)
AUD/USD: The Australian dollar continued to recover from two-year low on Monday as market awaited reading on inflation and retail sales figures from Australia. Australia is set to release its monthly inflation report on Wednesday, with economists predicting headline inflation will rise to 2.3% annually in November, up from 2.1% in October. Australia Retail sales data is set for release on Thursday, with economists expecting a strong 0.9% increase in November. At GMT 05:30, The Australian dollar was last trading up 0.23% to $0.6227. Immediate resistance can be seen at 0.6250(38.2%fib), an upside break can trigger rise towards 0.6301(50%fib).On the downside, immediate support is seen at 0.6174(23.6%fib), a break below could take the pair towards 0.6126(Lower BB).
USD/JPY: The U.S. dollar strengthened against the yen on Monday as uncertainty over the timing of Bank of Japan interest rate hike kept bearish pressure on the pair. At an event hosted by the Japanese Bankers Association today, BoJ Governor Kazuo Ueda reaffirmed the cautious approach to monetary policy changes. He underlined that any increases in interest rates would be contingent upon long-term improvements in the state of the economy and prices. On the data front, Japan’s service activity expanded for a second straight month in December, buoyed by solid demand and business expansion, a private-sector survey showed on Monday.The final au Jibun Bank Service purchasing managers' index (PMI) grew to 50.9 in December from 50.5 in November, according to the survey compiled by S&P Global Market Intelligence. At GMT 07.18, the dollar was down 0.22% at 157.16 against Japanese yen. Immediate resistance can be seen at 157.87 (Daily high) an upside break can trigger rise towards 158.13 (23.6%fib). On the downside, immediate support is seen at 157.11(Daily low) a break below could take the pair towards 156.58(38.2%fib).
Equities Recap
Asian share markets were mixed on Monday, as investors awaited a week packed with economic data that is likely to emphasize the U.S.'s outperformance and support the dollar's bullish trend.
Jappan’s Nikkei was down 1.65% , and South Korea's KOSPI was up by 1.91%, Hang Seng was down by 0.44%.
Commodities Recap
Gold prices were little changed on Monday, while investors awaited a slew of U.S. economic data including the December nonfarm payrolls report for further guidance on the Federal Reserve's stance on interest rates.
Spot gold held its ground at $2,635.39 per ounce by 0510 GMT. U.S. gold futures dropped 0.2% to $2,646.80.
Oil prices slid on Monday amid a strong U.S. dollar, concerns over sanctions, and ahead of key economic data from the U.S. Federal Reserve and U.S. payrolls later in the week.
Brent crude futures slid 21 cents, or 0.3%, to $76.3 a barrel by 0445 GMT after settling on Friday at its highest since Oct. 14.
U.S. West Texas Intermediate crude was down 19 cents, or 0.3%, at $73.77 a barrel after closing on Friday at its highest since Oct. 11.