Posted at 18 February 2025 / Categories Market Roundups
Market Roundup
• Canada Common CPI (YoY) (Jan) 2.2%, 2.1% forecast, 2.0% previous
• Canada Core CPI (MoM) (Jan) 0.4%, -0.3% previous
• Canada Core CPI (YoY) (Jan) 2.1%, 1.8% previous
• Canada CPI (YoY) (Jan) 1.9%, 1.8% forecast, 1.8% previous
• Canada CPI (MoM) (Jan) 0.1%, 0.1% forecast, -0.4% previous
• Canada Median CPI (YoY) (Jan) 2.7%, 2.5% forecast, 2.6% previous
• Canada Trimmed CPI (YoY) (Jan) 2.7%, 2.6% forecast, 2.5% previous
•US NAHB Housing Market Index (Feb) 42, 46 forecast, 47 previous
•US 3-Month Bill Auction 4.225%, 4.225% previous
•US 6-Month Bill Auction 4.220%, 4.185% previous
•US 52-Week Bill Auction 4.050%, 4.025% previous
Looking Ahead Economic Data(GMT)
•21:45 New Zealand PPI Input (QoQ) (Q4) 1.9% previous
•21:45 New Zealand PPI Output (QoQ) (Q4) 1.5% previous
•23:00 Japan Reuters Tankan Index (Feb) 2 previous
•23:50 Japan Adjusted Trade Balance -0.26T forecast, -0.03T previous
•23:50 Japan Core Machinery Orders (YoY) (Dec) 6.9% forecast, 10.3% previous
•23:50 Japan Core Machinery Orders (MoM) (Dec) 0.4% forecast, 3.4% previous
•23:50 Japan Exports (YoY) (Jan) 7.9%, 2.8% previous
•23:50 Japan Imports (YoY) (Jan) 9.7%, 1.7% previous
•23:50 Japan Trade Balance (Jan) -2,104.0B forecast, 130.9B previous
•00:00 Australia MI Leading Index (MoM) (Jan) -0.0% previous
•00:30 Australia RBA Chart Pack Release
•00:30 Australia Wage Price Index (QoQ) (Q4) 0.8%, 0.8% previous
•00:30 Australia Wage Price Index (YoY) (Q4) 3.2%, 3.5% previous
Looking Ahead Events And Other Releases(GMT)
• 01:00 New Zealand RBNZ Interest Rate Decision 3.75% forecast,4.25% previous
• 01:00 New Zealand RBNZ Monetary Policy Statement
• 01:00 New Zealand RBNZ Rate Statement
•02:00 U.S. President Trump Speaks
•02:00 New Zealand RBNZ Press Conference
Currency Summaries
EUR/USD: The euro slipped against the U.S. dollar on Tuesday as the greenback attracted bids on safe-haven demand amid tariff concerns and tense peace talks over the Russia-Ukraine conflict. Traders closely watched talks in Riyadh on Tuesday between U.S. and Russian officials aimed at resolving the Ukraine conflict. Ukrainian President Volodymyr Zelenskiy stated that no peace deal could be made without Ukraine's involvement and postponed his planned visit to Saudi Arabia from Wednesday to March 10. Russia has toughened its stance in peace talks, demanding that NATO retract its 2008 promise made at the Bucharest summit regarding Ukraine's future membership, calling for a clear disavowal of the pledge. 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 eased on Tuesday as dollar gained on safe-haven bids amid tariff concerns and peace negotiations on the Russia-Ukraine conflict. The increase in private-sector pay, excluding bonuses, surged 6.2% year-on-year, the fastest rate in a year, according to the Office for National Statistics. This rise, along with a 5.9% increase in average weekly earnings for the last quarter of 2024, reinforced expectations of a cautious rate cut path from the Bank of England despite the weak economy. This marked the third consecutive monthly rise in wage pressures. The pound was last down 0.20% against the dollar at $1.2597. Immediate resistance can be seen at 1.2650(38.2%fib), an upside break can trigger rise towards 1.2766(38.2%fib).On the downside, immediate support is seen at 1.2554(50%fib), a break below could take the pair towards 1.2624(61.8%fib)
USD/CAD: The Canadian dollar remained steady against the U.S. dollar on Tuesday as investors absorbed Canada’s annual inflation data. Inflation rose to 1.9% in January, up from the previous month, as higher gasoline and natural gas prices offset the impact of a sales tax break. Core measures of the consumer price index also edged higher. January marked the sixth consecutive month of inflation at or below the Bank of Canada's 2% target midpoint. However, underlying price pressures led to reduced market expectations for an interest rate cut next month. Immediate resistance can be seen at 1.3617(50% fib), an upside break can trigger rise towards 1.3670(61.8% fib).On the downside, immediate support is seen at 1.3565(38.2% fib), a break below could take the pair towards 1.3495 (50% fib).
USD/JPY: The U.S. dollar initially gained against the yen on Tuesday but gave up some of its gains after data showed U.S. homebuilder sentiment dropped to a five-month low in February. Concerns over tariffs and higher mortgage rates are raising housing costs, with the National association of home builders/wells fargo housing market index falling five points to 42. Meanwhile, the yen weakened slightly after recent gains, bolstered by strong growth data and inflation figures from Japan, which have increased expectations of a Bank of Japan rate hike in July. The yen has risen 3.5% against the dollar in 2025 so far. Immediate resistance can be seen at 152.40(38.2%fib) an upside break can trigger rise towards 153.43(50%fib). On the downside, immediate support is seen at 151.07(23.6%fib) a break below could take the pair towards 150.70 (Lower BB).
Equities Recap
European stocks hit a record high on Tuesday, driven by gains in banking and defense sectors, as investors anticipated higher domestic military spending amid ongoing peace talks to resolve the Russia-Ukraine conflict.
UK's benchmark FTSE 100 closed down by 0.01 percent, Germany's Dax ended up by 0.29 , France’s CAC finished the day up by 0.21 percent.
Wall Street fell on Tuesday as investors stayed cautious amid a holiday-shortened week, with earnings season winding down and concerns over geopolitical and trade uncertainties.
At(20:11 GMT)Dow Jones closed down by 0.30% percent, S&P 500 closed down by 0.02% percent, Nasdaq settled down by 0.25% percent.
Commodities Recap
Gold prices climbed more than 1% on Tuesday, driven by economic growth concerns and uncertainty over U.S. President Trump's tariff plans, which fueled safe-haven demand for bullion.
Spot gold gained 1.2% to $2,932.79 an ounce as of 2:11 p.m. ET (1911 GMT) after hitting a record high of $2,942.70 last week.U.S. gold futures settled 1.7% higher at $2,949.
Oil prices rose on Tuesday as traders weighed the impact of drone attacks on a key Kazakhstan oil pipeline, while cautiousness around Ukraine peace talks lingered, potentially increasing Russian oil supplies.
Brent crude futures rose 61 cents to $75.83 a barrel by 1:38 p.m. EST, while U.S. West Texas Intermediate crude futures rose $1.10, or 1.6%, to $71.84 a barrel, catching up with the gains Brent registered on Monday, when the U.S. contract traded without settlement due to a holiday