Market Roundup
- Japan’s Tokyo core CPI y/y stands at 0.8 pct vs 0.6 pct previous release (expected 0.6).
- Japan’s unemployment rate stands at 2.2 pct vs 2.4 pct previous release (expected 2.4).
- Japan’s prelim industrial production m/m stands at -0.9 pct vs -4.5 pct previous release (expected -1.1).
- Japan’s retail sales stands at -2.1 pct vs -7.0 pct previous release (expected -1.7 pct).
- China’s industrial profit y/y stands at 5.4 pct vs -9.9 pct previous release.
- PBOC cut yuan fixing by 78 pips to 6.9879 per U.S. dollar on Friday vs 6.9801 one day earlier.
Economic Data Ahead
- (0230 ET/0730 GMT) Thailand’s forex reserves and currency swaps.
- (0300 ET/0800 GMT) Spain retail sales.
- (0400 ET/0900 GMT) Swiss ZEW expectations.
- (0600 ET/1100 GMT) Brazil IGP – M inflation index.
- (0700 ET/1200 GMT) South Africa’s trade balance.
Key Events Ahead
- No key events scheduled for the day.
FX Recap
USD: The U.S. dollar index that tracks the greenback against a basket of other currencies inched down 0.11% to 97.43.
EUR/USD: The euro strengthens against U.S. dollar and stabilizes above $1.11 mark. The pair is currently trading around $1.1120 mark. A sustained close above $1.1096 will drag the parity higher towards key resistances around $1.1220, $1.1390, $1.1472, $1.1550, $1.1620 and $1.1820 marks respectively. On the other hand, a consistent close below $1.1075 will drag the parity down towards key supports around $1.1050, $1.1017, $1.0919 and $1.0852 levels respectively.
USD/JPY: The Japanese yen trades marginally higher after Japan’s mixed economic data. The pair is currently trading around 109.49 mark. A sustained close above 109.62 is required to take the parity higher towards key resistances around 110.50, 112.60 and 113.98 marks respectively. Alternatively, a daily close below 109.31 will drag the parity down towards key support around 108.40, 106.90 and 104.20 marks respectively.
GBP/USD: The Pound rises gradually against U.S. dollar and currently trading around $1.2995 mark. A sustained close below $1.2935 requires for dragging the parity down towards key support around $1.2820, $1.2644 and $1.2352 mark respectively. On the other side, key resistances are seen at $1.3050, $1.3134, $1.3335, $1.3422 and $1.3515 levels respectively.
AUD/USD: The Aussie rises remarkably against U.S. dollar and touches $0.6955 mark. Pair made intraday high at $0.6955 and low at $0.6941 mark. A consistent close below $0.6873 requires for downside rally towards $0.6838 and $0.6704 mark respectively. On the other side, a sustained close above $0.6945 will take the parity higher towards $0.6977, $0.7076 and $0.7122 levels respectively.
NZD/USD: The Kiwi appreciates on Friday and touches $0.6681 mark. The pair is currently trading flat around $0.6671 mark. A sustained close above $0.6669 requires for the upside rally. Alternatively, a consistent close below $0.6544 will take the parity down towards key supports around $0.6502, $0.6424, $0.6323, $0.6236 and $0.6196 levels respectively.
Equities Recap
Japan’s Nikkei was trading 0.03 pct lower at 23,917.55 points.
Australia’s S&P/ASX200 was trading 0.30 pct higher at 6,815.20 points.
Hong Kong’s Hang seng was trading 1.25 pct higher at 28,214.00 points.
South Korea’s Kospi was trading 0.70 pct higher at 2,212.81 points.
Taiwan’s TWII was trading 0.70 pct higher at 12,085.45 points.
India’s NSE was trading 0.46 pct higher at 12,185.50 points and BSE sensex points 0.45 pct higher at 41,356.40 points.
Commodities Recap
Gold rises remarkably on Friday. A sustained close above $1,510 requires for the upside rally. On the other side, a consistent close below $1,510 will drag the parity down towards key supports around $1,490, $1,472, $1,458, $1,440, $1,422 and $1,407 mark respectively. On the top side, key resistances are seen at $1,517, $1,532 and $1,558 mark respectively.
Oil price rose drastically on Friday and hits fresh 3 – month high. Brent crude was up 13 cents at $68.05 a barrel. WTI was up 14 cents at $61.81 a barrel.
Treasuries Recap
The yield on Australia’s benchmark 10-year note, which moves inversely to its price, trades higher to 1.310 percent, the yield on the long-term 15-year bond trades flat to 1.419 percent and the yield on short-term 2-year rose nearly 0.01 pct to 0.911 percent.
The yield on the benchmark 10 - year JGB note, which moves inversely to its price, trades slightly down to -0.011 points, the yield on the long-term 30 - year fall 0.006 pct to 0.431 points and the yield on short-term 2 - year fell to -0.122 points.
