Market Roundup
•US Building Permits (MoM) (Sep) -2.9%, -0.7% forecast, 4.6% previous
•US Building Permits (Sep) 1.428M, 1.450M forecast, 1.470M previous
•US Housing Starts (Sep) 1.354M, 1.350M forecast, 1.361M previous
•US Housing Starts (MoM) (Sep) -0.5%, -0.4% forecast, 7.8% previous
•US Atlanta Fed GDPNow (Q3) 3.4%, 3.4% forecast, 3.4% previous
Looking Ahead Economic Data(GMT)
•No data ahead
Looking Ahead Events And Other Releases(GMT)
•No Events Ahead
Currency Summaries
EUR/USD: The euro recovered some ground against dollar on Friday as gains driven by profit-taking into the weekend. The gains took place despite an increase in the dollar's edge over the euro and China's Q3 GDP data, which showed growth remains below goal. Investors will focus on the Eurozone's October PMI, which is scheduled on October 24. Estimates indicate that the composite, manufacturing, and services components will improve on September's figures. Downside surprises are anticipated to cause rates to fall further and spreads to widen as investors price in a larger possibility of the ECB cutting by 50bps, which is now around 30%.. Immediate resistance can be seen at 1.0847(Daily high), an upside break can trigger rise towards 1.0866(38.2%fib).On the downside, immediate support is seen at 1.0820(23.6%fib), a break below could take the pair towards 1.0800(Psychological level).
GBP/USD: The pound strengthened on Friday after data showed UK consumer spending was surprisingly strong last month, offering some reassurance about the strength of the economy.British retail sales unexpectedly rose in September, according to official data which contradicted signs that consumers were downbeat about possible tax rises ahead of the new government's first budget later this month.Sales volumes increased by 0.3% in September, beating economists' expectations for a monthly 0.3% fall. The pound was one of the stronger performers against the dollar, rising 0.27% to $1.3045. Immediate resistance can be seen at 1.3054(38.2%fib), an upside break can trigger rise towards 1.3123(50%fib).On the downside, immediate support is seen at 1.2981(23.6%fib), a break below could take the pair towards 1.2928 (Lower BB).
USD/CAD: The Canadian currency held steady versus its US counterpart on Friday, but it was on course for its third consecutive weekly fall as oil prices fell and investors banked on an exceptionally significant interest rate decrease from the Bank of Canada . The price of oil , one of Canada's major exports, fell 1.4% to $69.70 a barrel as China's economic growth slowed and threats to supply abated in the Middle East.Investors see a roughly 90% chance the BoC will cut its benchmark interest rate by half a percentage point at a policy decision on Wednesday, swaps market data showed. The policy rate is currently at 4.25%.The loonie was trading nearly unchanged at 1.38 to the U.S. dollar, after moving in a range of 1.3786 to 1.3810. For the week, the currency was down 0.3%. Immediate resistance can be seen at 1.3479 (23.6%fib), an upside break can trigger rise towards 1.3494 (50DMA).On the downside, immediate support is seen at 1.3400 (38.2%fib), a break below could take the pair towards 1.3331 (50%fib).
USD/JPY: The dollar eased against the yen on Friday as risk appetite improved in the wake of Beijing's stimulus announcement. Investors cheered the Chinese government's launch of two funding schemes to help boost its stock market. The biggest support for the dollar over the last few weeks has been a shift in Federal Reserve policy expectations to a more moderate easing phase, after a slew of generally solid U.S. economic data. The dollar slid 0.5% against the yen to 149.51. It has advanced about 0.8% on the week, however, versus the Japanese currency having broken above the 150 level on Thursday for the first time since early August. Immediate resistance can be seen at 150.30 (23.6 %fib), an upside break can trigger rise towards 151.00(Psychological level). On the downside, immediate support is seen at 149.45(Oct 17th low), a break below could take the pair towards 148.67(38.2%fib)
Equities Recap
European stock markets ended mixed on Friday as investors digested the latest ECB interest rate cut and growth figures from China, the world's second-largest economy.
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UK's benchmark FTSE 100 closed down by 0.32 percent, Germany's Dax ended up by 0.38 percent, France’s CAC finished the day down by 0,39 percent.
Wall Street stocks closed higher on Friday as investors looked past mixed earnings and focused on solid Netflix results and Beijing's policy steps to boost Chinese demand..
Dow Jones closed up by 0.09% percent, S&P 500 closed up by 0.40% percent, Nasdaq settled up by 0.63% percent.
Commodities Recap
Gold surged above the historic threshold of $2,700-per-ounce on Friday, powered by escalating tensions in the Middle East, uncertainties around the U.S. elections and relaxed monetary policy expectations that pushed the metal into uncharted territory.
Spot gold was up 1% at $2,720.05 per ounce by 02:58 p.m. ET (1858 GMT) and has risen 2.4% so far this week.U.S. gold futures settled 0.8% higher to $2,730.
Oil futures fell on Friday, declining more than 7% on the week after data showed China's economic growth slowed and investors digested a mixed Middle East outlook.
Brent crude futures fell $1.39, or 1.87%, to $73.06 a barrel. U.S. West Texas Intermediate crude settled at$69.22 a barrel, down $1.45 or 2.05%.
