Posted at 17 February 2025 / Categories Market Roundups
Market Roundup
• Canada Foreign Securities Purchases (Dec) 14.37B,14.23B forecast,16.40B previous
• CanadaForeign Securities Purchases by Canadians (Dec) 3.770B,17.850B previous
• French 12-Month BTF Auction 2.276%,2.224%previous
• French 3-Month BTF Auction 2.452%, 2.450% previous
• French 6-Month BTF Auction 2.369%,2.358% previous
Looking Ahead Economic Data(GMT)
•03:30 Australia RBA Interest Rate Decision (Feb) 4.10% forecast, 4.35% previous
Looking Ahead Events And Other Releases(GMT)
•03:30 Australia RBA Monetary Policy Statements
•03:30 Australia RBA Rate Statement
Currency Summaries
EUR/USD:The euro weakened against the U.S. dollar on Monday as investors waited for further details on U.S. President Donald Trump's reciprocal tariff plans, raising concerns about escalating global trade tensions. While the threat of U.S. tariffs has been delayed until April, there are ongoing worries about the potential inclusion of levies targeting value-added taxes in other nations. Meanwhile, European leaders gathered in Paris for an emergency summit on Ukraine, following U.S. suggestions that Europe would not be involved in upcoming negotiations to end the conflict with Russia. U.S. markets were closed for the President's Day holiday, leading to lighter trading volumes across Europe. Immediate resistance can be seen at 1.0501(23.6%fib), an upside break can trigger rise towards 1.0547(Higher BB).On the downside, immediate support is seen at 1.0457(50%fib), a break below could take the pair towards 1.0405(61.8%fib).
GBP/USD: Sterling held steady on Monday as investors awaited key employment and inflation data later in the week. Economic data will be crucial for the pound, following the Bank of England's interest rate cut earlier this month and its cautious stance on price pressures. Analysts expect Tuesday's data to show a slight increase in average earnings growth for December, while unemployment is projected to rise to 4.5% from 4.4% in November. On Wednesday, inflation is expected to have risen to 2.8% year-on-year in January, up from 2.5% the previous month. Immediate resistance can be seen at 1.2609(38.2%fib), an upside break can trigger rise towards 1.2704(23.6%fib).On the downside, immediate support is seen at 1.2538(50%fib), a break below could take the pair towards 1.2460(61.8%fib).
USD/CAD: The Canadian dollar was little changed against the U.S. dollar on Monday as market activity was noticeably subdued due to U.S. markets being closed for a public holiday.Focus remained on geopolitics, as investors awaited the outcome of discussions to resolve the Russia-Ukraine conflict. Ukraine peace talks emerged as a key market focus. U.S. Secretary of State Marco Rubio said on Sunday that Kyiv and Europe would be part of any "real negotiations" to end Russia's war in Ukraine. Market activity was noticeably subdued due to U.S. markets being closed for a public holiday.The loonie was trading 0.02% higher at 1.4184 to the U.S. dollar .Immediate resistance can be seen at 1.4278 (Dec 6th high), an upside break can trigger rise towards 1.4382 (50%fib).On the downside, immediate support is seen at 1.4150(61.8%fib), a break below could take the pair towards 1.4119(Lower BB).
USD/JPY: The U.S. dollar weakened on Monday as the yen strengthened, following Japan's GDP growth of 2.8% in Q4, surpassing expectations. This fueled anticipation of more rate hikes from the Bank of Japan. Geopolitical focus shifted to upcoming peace talks in Saudi Arabia aimed at resolving the Russia-Ukraine conflict.European Commission President Ursula von der Leyen announced plans to exempt defense spending from EU budget limits, amid U.S. President Donald Trump’s calls for NATO members to fund their own defense. Meanwhile, European leaders gathered in Paris for an emergency summit on Ukraine, following U.S. officials' suggestion that Europe would not participate in future peace talks with Russia. Immediate resistance can be seen at 152.52(38.2%fib) an upside break can trigger rise towards 153.43(50%fib). On the downside, immediate support is seen at 151.31(23.6%fib) a break below could take the pair towards 150.70 (Lower BB).
Equities Recap
European shares reached a record closing high on Monday, driven by strong performance in defense stocks.
UK's benchmark FTSE 100 closed up by 0.41 percent, Germany's Dax ended up by 1.26 percent, France’s CAC finished the day up by 0.13 percent.
Commodities Recap
Gold prices surged above $2,900 per ounce on Monday, driven by a weaker dollar and growing concerns over a potential trade war, following U.S. President Donald Trump's threats of reciprocal tariffs.
Gold gains,Spot gold was up 0.5% to $2,897.49 as of 2:10 p.m. ET (1910 GMT), retreating from an intraday high of $2,906.38. It hit a record high of $2,942.70 last week.U.S. gold futures gained 0.3% to $2,910.30.
Oil prices rose on Monday due to an attack on a pipeline pumping station in the Caspian Sea, which reduced flows from Kazakhstan.
.Brent crude futures settled at $75.22 a barrel, rising 48 cents. U.S. West Texas Intermediate crude rose 65 cents to $71.39 a barrel by 2:33 p.m. EST, and did not settle at its normal time due to the U.S. Presidents' Day holiday.