Posted at 24 January 2025 / Categories Market Roundups
Market Roundup
• US Initial Jobless Claims 223K, 221K forecast, 217K previous
• US Jobless Claims 4-Week Avg. 213.50K, 212.75K previous
•Canada Core Retail Sales (MoM) (Nov) -0.7%, 0.1% forecast, -0.1% previous
•Canada Retail Sales (MoM) (Nov) 0.0%, 0.2% forecast, 0.6% previous
•EU Consumer Confidence (Jan) -14.2, -14.0 forecast, -14.5 previous
• US Natural Gas Storage -223B, -270B forecast, -258B previous
• US KC Fed Composite Index (Jan) -5, -5 previous
• US KC Fed Manufacturing Index (Jan) -9, -6 previous
• US Gasoline Inventories 2.332M, 2.500M forecast, 5.852M previous
Looking Ahead Economic Data(GMT)
•03:00 Japan BoJ Interest Rate Decision 0.50%, 0.25% previous
Looking Ahead Eents And Other Releases (GMT)
•03:00 Japan BoJ Monetary Policy Statement
•03:00 Japan BoJ Outlook Report (YoY)
Currency Summaries
EUR/USD: The euro edged higher against the U.S. dollar on Thursday as euro was buoyed by President Donald Trump's address to the World Economic Forum in Davos. Investor anxiety is growing as Trump's ongoing protectionist rhetoric casts a shadow, with a pledge to impose tariffs on the European Union expected by February 1. This uncertainty is further heightened by the upcoming flash PMI data for January from the Eurozone, Germany, France, and Britain on Friday. In 2024, investors grappled with mixed economic data pointing to a slow recovery, while also navigating the surge in the dollar following the U.S. election results in November.. Immediate resistance can be seen at 1.0452(50%fib), an upside break can trigger rise towards 1.0500(Psychological level).On the downside, immediate support is seen at 1.0374(38.2%fib), a break below could take the pair towards 1.0289(23.6%fib).
GBP/USD: The British pound edged lower on Thursday as investors sought clarity on U.S. President Donald Trump's trade policies. Investors are awaiting a series of monetary policy decisions next week, including from the Federal Reserve and the European Central Bank, followed by the Bank of England (BoE) in early February.Last week’s data showed British inflation unexpectedly slowed, with core measures of price growth tracked by the BoE falling more sharply, strengthening expectations for an interest rate cut next month. Traders are pricing in an 82% chance of a first 0.25% rate reduction on February 6 and have fully priced in at least two rate cuts this year. The focus is now on economic data and remarks from Trump later in the day.. Immediate resistance can be seen at 1.2437(50%fib), an upside break can trigger rise towards 1.2500(Psychological level).On the downside, immediate support is seen at 1.2311(38.2%fib), a break below could take the pair towards 1.2158(23.6%fib)
USD/CAD: The Canadian dollar held steady against the U.S. dollar on Thursday as investors assessed U.S. President Donald Trump's remarks at the World Economic Forum, while preliminary domestic data showed a surge in retail sales in December. Trump stated that the U.S. would ensure a steady supply of liquefied natural gas to Europe, despite concerns that the growing export industry could lead to higher gas prices for American consumers. Canadian retail sales were flat in November. That missed forecasts for a gain of 0.2% but a flash estimate showed sales surging 1.6% in December when a sales tax holiday began.The price of oil, one of Canada's major exports, settled 1.1% lower at $74.62 a barrel. The loonie was trading nearly unchanged at 1.4375 per U.S. dollar .Immediate resistance can be seen at 1.4470 (Higher BB), an upside break can trigger rise towards 1.4513(23.6%fib).On the downside, immediate support is seen at 1.4325(38.2%fib), a break below could take the pair towards 1.4279 (Lower BB).
USD/JPY: The U.S. dollar edged lower on Thursday as investors attention turned to the Bank of Japan’s (BOJ) rate decision. Markets are increasingly expecting the BOJ to raise its short-term policy rate by 0.25% to 0.5%, a level last seen during the Global Financial Crisis. However, the BOJ is likely to approach any tightening cautiously, signaling gradual 'normalization' of policy. On the data front, Japanese exports rose 2.8% YoY in December, marking a third consecutive monthly increase, while imports grew 1.8%, below the expected 2.6% rise. Immediate resistance can be seen at 156.25 (38.2%fib) an upside break can trigger rise towards 157.00(Psychological level). On the downside, immediate support is seen at 154.92(50%fib) a break below could take the pair towards 154.75 (Lower BB).
Equities Recap
European shares ended higher on Thursday, boosted by President Donald Trump's speech at the World Economic Forum in Davos, although losses in major technology stocks limited the gains.
UK's benchmark FTSE 100 closed up by 0.00 percent, Germany's Dax ended down by 0.02 percent, France’s CAC finished the day up by 0.70 percent.
The benchmark S&P 500 reached a record closing high on Thursday, as investors weighed a mix of corporate earnings and President Donald Trump's comments, including calls for interest rate cuts and lower oil prices.
Dow Jones closed up by 0.93 percent, S&P 500 closed up by 0.53 percent, Nasdaq settled up by 0.22 percent.
Commodities Recap
Gold prices edged higher on Thursday as the dollar softened following U.S. President Donald Trump's call for lower interest rates, with market attention focused on the broader implications of his policies.
Spot gold rose 0.1% to $2,753.19 per ounce by 03:28 p.m. ET (2028 GMT). Prices hit a more than three-month peak on Wednesday, $26.72 shy of their all-time high of $2,790.15 in October.U.S. gold futures settled 0.2% lower at $2,765.
Oil prices dropped 1% on Thursday after U.S. President Donald Trump urged Saudi Arabia and OPEC to reduce prices during his address at the World Economic Forum.
Brent crude futures settled 71 cents, or 0.9%, lower at $78.29 a barrel. U.S. West Texas Intermediate crude (WTI) settled down 82 cents, or 1.09%, to $74.62.