Posted at 22 April 2025 / Categories Market Roundups
Market Roundup
• New Zealand Exports (Mar) 7.59B, 6.61B previous
• New Zealand Imports (Mar) 6.62B, 6.22B previous
• New Zealand Trade Balance (YoY) (Mar) -6,130M, -6,630M previous
• New Zealand Trade Balance (MoM) (Mar) 970M, 80M forecast, 392M previous
• Japan BoJ Core CPI (YoY) 2.2%, 2.4% forecast, 2.2% previous
Looking Ahead Economic Data(GMT)
• 08:00 Spanish Trade Balance (Feb) -6.19B previous
•08:40 Spanish 3-Month Letras Auction 2.359% previous
•09:00 EU Government Budget to GDP -3.6% previous
•09:00 EU Government Debt to GDP 88.6% previous
•09:00 EU German 2-Year Schatz Auction 2.010% previous
Looking Ahead Events And other Releases(GMT)
•No Events Ahead
Currency Forecast
EUR/USD: The euro hovered near 3-1/3-year peak on Tuesday as President Donald Trump's unrelenting attacks on the Federal Reserve chairman further eroded investor sentiment. Trump ramped up his criticism of Fed chief Jerome Powell on Monday in a Truth Social post, calling him a major loser and demanding that he lower interest rates or risk an economic slowdown. On Friday, White House economic adviser Kevin Hassett said the president and his team was continuing to study whether they could fire Powell, a day after Trump said Powell's termination cannot come fast enough. The euro was little changed at $1.1502, after jumping to $1.1573 on Monday for the first time since November 2021.Immediate resistance can be seen at 1.1567(23.6%fib), an upside break can trigger rise towards 1.1627(Higher BB).On the downside, immediate support is seen at 1.1359(38.2%fib), a break below could take the pair towards 1.1178(50%fib).
GBP/USD: Sterling firmed against the dollar on Tuesday as concerns about the independence of the Federal Reserve piled fresh pressure on dollar. Trump repeated his criticism of Powell, saying in a Truth Social post that the economy could slow down unless interest rates are lowered immediately. That followed comments by White House economic adviser Kevin Hassett on Friday that Trump and his team would study if firing Powell was an option.Trump's continued criticism of the Fed chair has heightened worries about the central bank's ability to independently formulate monetary policy in the world's largest economy, undermining investor confidence in U.S. assets already diminished by Trump's tariffs. Sterling was up 0.12% at $1.3396 after surging as high as $1.3421 for the first time since September to start the week. Immediate resistance can be seen at 1.3417(23.6%fib), an upside break can trigger rise towards 1.3505(Higher BB).On the downside, immediate support is seen at 1.3259(April 21t low ), a break below could take the pair towards 1.3223(38.2%fib).
AUD/USD: The Australian dollar climbed to four-month peak on Tuesday as President Donald Trump's sharp criticism of the Federal Reserve further eroded investor confidence in US dollar. On Monday, President Trump escalated his criticism of Fed Chair Jerome Powell, labeling him a 'major loser' and demanding an immediate cut to interest rates. Australia data calendar is light week with few scheduled data releases or events, leaving the movements of the Australian currencies largely driven by U.S. dollar flows. Trump’s attack followed Powell’s comments that the Fed can stay patient on rates, waiting to see if tariffs lead to lasting inflation. At GMT 04: 58, the Australian dollar was trading higher 0.33% at $0.6365 against US dollar. Immediate resistance can be seen at 0.6452(23.6%fib), an upside break can trigger rise towards 0.6525(Higher BB).On the downside, immediate support is seen at 0.6371(April 21st low), a break below could take the pair towards 0.6344(38.2%fib)
USD/JPY: The dollar slipped lower on Tuesday as trade war concerns, global recession fears, and contrasting BoJ-Fed policies boosted demand for the yen. On Monday, China accused Washington of abusing tariffs and warned countries against making deals with the U.S. at its expense, escalating the trade war. The Bank of Japan is expected to signal next week that the risks posed by higher U.S. tariffs are unlikely to disrupt the ongoing cycle of rising wages and inflation key factors supporting further interest rate hikes. At its two-day policy meeting ending May 1, the BOJ is expected to lower its economic growth forecasts and highlight escalating risks from Trump's tariffs, which are set to impact global demand. Immediate resistance can be seen at 141.34(Daily high) an upside break can trigger rise towards 142.34(50%fib). On the downside, immediate support is seen at 139.63(38.2%fib) a break below could take the pair towards 139.00(Psychological level).
Equities Recap
Asian stocks struggled on Tuesday as a sharp sell-off in U.S. assets hit Wall Street and the dollar, with fresh concerns over Fed independence weighing on Treasuries.
Japan's Nikkei 225 was down 0.14% , South Korea's KOSPI was down 0.07%,Hang Seng was up by 0.52%
Commodities Recap
Oil prices rose on Tuesday as traders covered short positions after Monday's losses, though worries over tariffs and U.S. policy continued to cloud demand outlook.
Brent crude futures rose 42 cents, or 0.6%, to $66.68 a barrel at 0620 GMT. The U.S. West Texas Intermediate crude contract for May , which expires on Tuesday, was at $63.53 a barrel, up 45 cents, or 0.7%.
Gold prices hit a record $3,500 on Tuesday as Trump's criticism of Fed Chair Powell hurt risk sentiment, driving investors to safe-haven bullion.
Spot gold was up 2.2% at $3,493.41 an ounce, as of 0620 GMT, after touching a record high of $3,500.05 per ounce earlier in the session.U.S. gold futures firmed 2.3% to $3,502.40.