Posted at 06 May 2025 / Categories Market Roundups
Market Roundup
•US Exports (Mar) 278.50B, 278.50B previous
•US Imports (Mar) 419.00B ,401.10B previous
• US Trade Balance (Mar) -140.50B, -136.80B forecast , -122.70B previous
•Canada Exports (Mar) 69.90B ,70.11B previous
•Canada Imports (Mar) 70.40B ,71.63B previous
•Canada Trade Balance (Mar) -0.51B ,-1.70B forecast , -1.52B previous
•US Redbook (YoY) 6.9%, 6.1% previous
•Canada Ivey PMI n.s.a (Apr) 52.3 ,55.6 previous
•Canada Ivey PMI (Apr) 47.9 ,51.2 forecast , 51.3 previous
•US IBD/TIPP Economic Optimism (May) 47.9, 50.2 forecast , 49.1 previous
• US Atlanta Fed GDPNow (Q2) 2.2%, 1.1% forecast ,1.1% previous
Looking Ahead Economic Data(GMT)
• 00:30 Japan au Jibun Bank Services PMI (Apr) 52.2 forecast , 50.0 previous
Looking Ahead Events And Other Releases(GMT)
•No Events Ahead
Currency Summaries
EUR/USD: The euro initially gained against dollar but gave up ground as tariff uncertainty and geopolitical tensions sapped investor sentiment ahead of Wednesday's Fed policy decision. Investors are closely monitoring potential trade developments this week, following President Trump's recent indications that new agreements may be forthcoming. On Sunday, Trump suggested that some trade deals could be announced soon, though he did not specify the countries involved. Treasury Secretary Scott Bessent later confirmed that the administration is negotiating with 17 major trading partners and anticipates announcing agreements with some of the largest among them as early as this week .As the situation evolves, investors remain attentive to official announcements regarding trade agreements and their potential implications for markets and the global economy. Immediate resistance can be seen at 1.1405 (April 28th high), an upside break can trigger rise towards 1.1530 (23.6%fib).On the downside, immediate support is seen at 1.1266 (38.2%fib), a break below could take the pair towards 1.1198 (April 11th low).
GBP/USD: The British pound steadied against dollar on Tuesday as market attention shifted towards the upcoming Bank of England policy meeting. The BoE is expected to cut rates by 25 basis points to 4.25%, but attention will be on the accompanying statement, as some investors believe the bank should speed up rate cuts due to the impact of Trump’s tariffs on global growth. Markets see a 25 basis point rate cut as all but certain, and will be focusing on any indications of policymakers' plans for later in the year.The BoE said on Tuesday its announcement and economic forecasts will be delayed by two minutes and published at 1102 GMT rather than 1100 GMT, due to a national two-minute silence being held to commemorate the 80th anniversary of Victory in Europe (VE) day. Immediate resistance can be seen at 1.3439(23.6%fib), an upside break can trigger rise towards 1.3540(Higher BB).On the downside, immediate support is seen at 1.3237(38.2%fib), a break below could take the pair towards 1.3070 (50%fib).
USD/CAD: The Canadian dollar surged to a near seven-month high against the U.S. dollar on Tuesday, benefiting from broad declines in the greenback. Investors focused on Canadian Prime Minister Mark Carney's visit to the White House, seeking insights into trade policy. U.S. President Donald Trump, whose tariff stance has shaken global markets, hinted at discussing "tough points" with Carney, emphasizing his belief that the U.S. could function without Canadian imports, a sentiment expressed in a recent Oval Office meeting. On the data front, Canadian exports to the United States dropped 6.6% in March but the shortfall was largely compensated for by increased exports to the rest of the world, while the nation's trade deficit surprisingly narrowed to C$506 million ($366.34 million. The loonie was trading 0.4% higher at 1.3775 per U.S. dollar , after touching its strongest intraday level since October 17 at 1.3751 .Immediate resistance can be seen at 1.4355 (38.2%fib), an upside break can trigger rise towards 1.4470 (23.6%fib).On the downside, immediate support is seen at 1.4189(50%fib), a break below could take the pair towards 1.4083 (61.8%fib)
USD/JPY: The dollar weakened against the Japanese yen as rising concerns over U.S. President Trump's tariff proposals fueled demand for the safe-haven yen. On Sunday, Trump announced plans for a 100% tariff on overseas-produced movies, but offered few details on its implementation. The next day, he revealed plans to impose pharmaceutical tariffs within two weeks. Investors are now looking for concrete progress in trade talks and clear signs of improving Sino-U.S. relations. Attention this week shifts to the Federal Reserve's interest rate decision, with Fed Chair Jerome Powell’s comments on Wednesday likely to offer insight into the central bank's future rate trajectory. The Fed has maintained its policy rate between 4.25% and 4.50% since December .Immediate resistance can be seen at 143.56(50%fib)an upside break can trigger rise towards 144.31 (Daily high) .On the downside, immediate support is seen at 142.07(38.2%fib)a break below could take the pair towards 141.00(Psychological level).
Equities Recap
German shares pared early losses on Tuesday after conservative leader Friedrich Merz was elected chancellor in a second parliamentary vote, following an unexpected defeat in the first round.
UK's benchmark FTSE 100 closed down by 0.01percent, Germany's Dax ended down by 0.41 percent, France’s CAC finished the day down by 0.40 percent.
U.S. stocks fell on Tuesday as investors grew frustrated with the lack of U.S. trade deals and waited for a Federal Reserve update.
Dow Jones closed down by 0.95 %percent, S&P 500 closed down by 0.77% percent, Nasdaq settled down by 0.87% percent.
Commodities Recap
Gold prices climbed to a two-week high on Tuesday, driven by post-holiday demand from China and worries about potential U.S. tariffs on pharmaceutical imports, as investors awaited the Federal Reserve's policy decision.
Spot gold was up 2.4% at $3,413.29 an ounce at 1356 ET (17:56 GMT), its highest since April 22 . U.S. gold futures settled 3% higher at $3422.8.
Oil prices surged by about 3% on Tuesday, driven by signs of increasing demand in Europe and China, reduced production in the U.S., tensions in the Middle East, and a rebound after prices hit a four-year low the previous day.
Brent futures rose $1.92, or 3.2%, to settle at $62.15 a barrel, while U.S. West Texas Intermediate (WTI) crude gained $1.96, or 3.4%, to close at $59.09.