Market Brief

The markets are still digesting yesterdays surprise action by the Federal Reserve with the Usd stabilize in Asian Session after bearing the brunt of FX price adjustments. EurUsd traded in a 1.3416-1.3530 range while the UsdJpy traded between 95.27-96.62. In yesterdays FOMC meeting, members left the target rate unchanged and stated it would increase purchases of agency mortgage-backed securities and agency debt and also purchase up to $300bn of longer-term Treasuries. The unprecedented move trigged heavy buying in equities, treasuries and gold while FX traders sunk the greenback. We expect the Usd fate to be determined near term by whether the growing optimism and positive risk sentiment can be sustained. Markets will be watching equity markets closely to gauge risk appetite. However, with the ECB being pushed into a corner, we expect a shift in tone and some type of QE response. A move that could reverse the recent Usd weakness.

Snap Shot

Global Indexes Current Level % Change
Nikkei 225 Index7,945.96- 0.33
Hang Seng Index13,130.92+ 0.10
Shanghai Index2,382.56+ 2.14
FTSE 100 Index3,826.15+ 0.56
DAX Index4,027.38+ 0.78
CAC 40 Index2,779.99+ 0.71
DJIA futures7,404.00- 0.15

World Markets Current Level % Change
Gold932.50+ 4.88
Silver12.73+ 6.70
Crude wti49.66+ 3.19

Todays Calender Estimates Previous Country / GMT
CPI m/m,y/y0.2,1.0%-0.3,1.1%CA / 11:00
Core CPI m/m,y/y0.2,1.5%-0.6,1.2%CA / 11:00
Initial Jobless Claims654k654kUS / 12:30
Index of Leading Indicators (Feb)-0.6%0.4%US / 14:00
Philly Fed Index (Mar)-38.0-41.3US / 14:00


Currency Tech

AUDUSD
R 3: 0.7142
R 2: 0.7042
R 1: 0.6850
CURRENT: 0.6778
S 1: 0.6567
S 2: 0.6513
S 3: 0.6402

EURJPY
R 3: 136.39
R 2: 131.03
R 1: 130.92
CURRENT: 128.88
S 1: 127.17
S 2: 125.45
S 3: 122.13

USDSGD
R 3: 1.5519
R 2: 1.5441
R 1: 1.5361
CURRENT: 1.5179
S 1: 1.5074
S 2: 1.4904
S 3: 1.4805

  • S: Strong, M: Minor, T: Trendline, K: Keylevel, P: Pivot