Posted at 22 May 2025 / Categories Market Roundups
Market Roundup
• Australia Judo Bank Manufacturing PMI (May) 51.7, 51.7 previous
• Australia Judo Bank Services PMI (May) 50.5 , 51.0 previous
• Japan Core Machinery Orders (YoY) (Mar) 8.4%,-2.2% forecast, 1.5% previous
• Japan Core Machinery Orders (MoM) (Mar) 13.0%,-1.5% forecast, 4.3% previous
• Japan Foreign Bonds Buying 2,824.6B,1,928.7B previous
• Japan Foreign Investments in Japanese Stocks 714.9B, 439.4B previous
• Japan au Jibun Bank Manufacturing PMI (May) 49.0,49.0 forecast, 48.7 previous
• Japan au Jibun Bank Services PMI (May) 50.8 ,52.4 previous
•New Zealand Budget Balance (Jan) -9.990B, -16.600B previous
•New Zealand Net Debt Forecast (Jan) 42.70%,45.10% previous
•New Zealand Economic Forecast (Jan) -14.740B ,-17.317B previous
Looking Ahead Economic Data(GMT)
• 07:30 HCOB Germany Composite PMI (May): 50.4 forecast, 50.1 previous
• 07:30 HCOB Germany Manufacturing PMI (May): 48.8 forecast, 48.4 previous
• 07:30 HCOB Germany Services PMI (May): 49.6 forecast, 49.0 previous
•08:00 German Business Expectations (May): 88.0 forecast, 87.4 previous
•08:00 German Current Assessment (May): 86.8 forecast, 86.4 previous
•08:00 German Ifo Business Climate Index (May): 87.4 forecast, 86.9 previous
•08:00 HCOB Eurozone Manufacturing PMI (May): 49.2 forecast, 49.0 previous
•08:00 HCOB Eurozone Composite PMI (May): 50.7 forecast, 50.4 previous
•08:00 HCOB Eurozone Services PMI (May): 50.4 forecast, 50.1 previous
•08:30 S&P Global Composite PMI (UK, May): 49.3 forecast, 48.5 previous
•08:30 S&P Global Manufacturing PMI (UK, May): 46.2 forecast, 45.4 previous
•08:30 S&P Global Services PMI (UK, May): 50.0 forecast, 49.0 previous
•08:30 Spanish 7-Year Obligacion Auction: 3.000% previous
•08:30 French 6-Year OAT Auction: 2.73% previous
• 08:30 CBI Industrial Trends Orders (UK, May): -24 forecast, -20 previous
Looking Ahead Events And Other Releases(GMT)
•10:00 German Buba Monthly Report
•10:50 UK BoE Breeden Speaks
•11:30 ECB Publishes Account of Monetary Policy Meeting
•12:00 UK BoE MPC Member Dhingra Speaks
Currency Forecast
EUR/USD: The euro edged lower against the U.S. dollar on Thursday, as persistent concerns over the deteriorating fiscal outlook in the world’s largest economy continued to weigh on global investor sentiment. Markets remain subdued in the aftermath of Moody’s recent downgrade of the U.S. credit rating, with a growing “Sell America” narrative leaving risk appetite on shaky ground.Focus has now shifted to President Donald Trump’s proposed tax bill, which is expected to face a vote in the House of Representatives within hours. The bill has sparked alarm among investors, with estimates suggesting it could add approximately $3.8 trillion to the already $36 trillion U.S. debt burden, further exacerbating deficit concerns. Adding to the mix, attention will also turn to the Group of Seven (G7) meeting in Canada, where finance ministers are attempting to strike a positive tone amid ongoing discussions. Immediate resistance can be seen at 1.1383(23.6%fib), an upside break can trigger rise towards 1.1450(Higher BB).On the downside, immediate support is seen at 1.1268(38.2%fib), a break below could take the pair towards 1.1163(50%fib).
GBP/USD: The British pound steadied on Thursday as investors adopted a cautious stance ahead of the release of preliminary Purchasing Managers' Index (PMI) data from both the UK and the US. Market participants are closely monitoring these figures for signs of economic momentum or slowdown, which could provide fresh direction for currency markets. In particular, traders are looking to assess the relative strength of the UK and U.S. services and manufacturing sectors, which may influence expectations around future monetary policy moves from the Bank of England and the Federal Reserve. The U.S. dollar index, which measures the currency against six major peers, edged down 0.1%,sterling was up 0.01 % at $1.3417. Immediate resistance can be seen at 1.3446(23.6%fib), an upside break can trigger rise towards 1.3502(Higher BB).On the downside, immediate support is seen at 1.3341(May 20th low), a break below could take the pair towards 1.3252(38.2%fib).
AUD/USD: The Australian dollar held steady on Thursday, supported by weakness in the U.S. dollar as mounting fiscal concerns in the world's largest economy continued to weigh on investor sentiment.The U.S. dollar declined for a fourth consecutive session, while long-term Treasury yields climbed to an 18-month high, reflecting deepening uncertainty over the United States' economic outlook and fiscal trajectory. Investor attention remains firmly on President Donald Trump's proposed tax bill, which is expected to be voted on in Congress later this week. Market participants are increasingly concerned that the legislation could add roughly $3.8 trillion to the already $36 trillion national debt, raising fresh alarm bells over the sustainability of U.S. fiscal policy. At GMT 07:22, the Australia dollar was up 0.45% to 0.6447 against the US dollar. Immediate resistance can be seen at 0.6487(Higher BB), an upside break can trigger rise towards 0.6520(23.6%fib).On the downside, immediate support is seen at 0.6414(38.2%fib), a break below could take the pair towards 0.6368(Lower BB).
USD/JPY: The U.S. dollar fell against the Japanese yen on Thursday, as investors sought safety in the traditional haven currency amid mounting concerns over the United States’ escalating debt levels. All eyes are on President Donald Trump’s tax bill, which is expected to be voted on in the House of Representatives within hours. The proposal has raised significant concerns among investors, as estimates suggest it could add approximately $3.8 trillion to the already $36 trillion U.S. debt burden, further deepening fiscal worries.Investor caution toward U.S. assets was evident on Wednesday when the U.S. Treasury Department's $16 billion auction of 20-year bonds drew lackluster demand, a clear sign of growing risk aversion. The subdued appetite for government debt pushed yields higher, reflecting increased concern over the long-term sustainability of U.S. public finances and adding pressure on broader market sentiment. Immediate resistance can be seen at 144.33 (Daily high)an upside break can trigger rise towards 145.27(50%fib) .On the downside, immediate support is seen at 143.72(38.2%fib)a break below could take the pair towards 141.24(Lower BB)
Equities Recap
Asian stocks fell on Tuesday as worries of a worsening fiscal outlook in the world's biggest economy remained at the top of investors' minds.
China A 50 was down 0.05% , South Korea's KOSPI was down 1.22%,Hang Seng was down by 1.28%.
Commodities Recap
Gold prices climbed to a two-week peak on Thursday as investors sought refuge in the safe-haven metal amid rising worries over the U.S. government’s expanding debt.
Spot gold was up 0.7% at $3,336.43 an ounce, as of 0446 GMT, after hitting its highest level since May 9.U.S. gold futures rose 0.7% to $3,337.60.
Oil prices slipped for a third consecutive session on Thursday as unexpected rises in U.S. crude and fuel stocks sparked demand concerns, while investors monitored renewed Iran-U.S. nuclear talks.
Brent futures edged 16 cents lower to $64.75 a barrel by 0630 GMT, while U.S. West Texas Intermediate crude weakened 10 cents to $61.47.