Dr. Nektarios Michail
HotForex
FX News Today
10-year Treasury yields are up 0.2 bp at 2.704% and JGB yields fell back -0.8 bp to -0.025% as the rally on stock markets faded.
Wall Street still closed with slight gains, but there wasn’t enough momentum to sustain a further broad move higher in Asia.
Topix and Nikkei closed little changed, the Hang Seng is down -0.26% while CSI 300 and Shanghai Comp are up 0.33% and 0.13%, after Chinese data showed a rebound in exports at the start of the year.
The tech hub of Shenzhen outperformed with a gain of 0.93%, but the ASX also closed with a marginal loss.
US futures as well as European futures are moving higher though, so there is still some life in markets after reports that the U.S. is considering delaying China tariffs for 60 days. President Trump had already told reporters that trade talks are making good progress.
Charts of the Day
Main Macro Events Today
EU GDP – The common currency’s GDP is expected to have grown by 1.2% y/y on the final quarter of the year, the same growth rate recorded in Q3.
US Retail Sales – One of the most important indicators of consumption, Retail sales ex Autos are expected to have grown by 0.1% m/m in December, compared to 0.2% m/m in November.
US PPI Inflation – In accordance to the slowdown picture in the US, PPI inflation is expected to have slowed to 2.5% y/y in January, compared to 2.7% y/y in December.
US Jobless Claims – Continuing Jobless Claims are expected to have increased to 1.74M on the week ending at January 8, compared to 1.736M last week. Initial Jobless Claims are expected to have decreased to 225K compared to 234K on the previous week.
Support and Resistance
Disclaimer: Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of purchase or sale of any financial instrument.
Recommended Content
Editors’ Picks
EUR/USD holds above 1.0650 after US data
EUR/USD retreats from session highs but manages to hold above 1.0650 in the early American session. Upbeat macroeconomic data releases from the US helps the US Dollar find a foothold and limits the pair's upside.
GBP/USD retreats toward 1.2450 on modest USD rebound
GBP/USD edges lower in the second half of the day and trades at around 1.2450. Better-than-expected Jobless Claims and Philadelphia Fed Manufacturing Index data from the US provides a support to the USD and forces the pair to stay on the back foot.
Gold is closely monitoring geopolitics
Gold trades in positive territory above $2,380 on Thursday. Although the benchmark 10-year US Treasury bond yield holds steady following upbeat US data, XAU/USD continues to stretch higher on growing fears over a deepening conflict in the Middle East.
Ripple faces significant correction as former SEC litigator says lawsuit could make it to Supreme Court
Ripple (XRP) price hovers below the key $0.50 level on Thursday after failing at another attempt to break and close above the resistance for the fourth day in a row.
Have we seen the extent of the Fed rate repricing?
Markets have been mostly consolidating recent moves into Thursday. We’ve seen some profit taking on Dollar longs and renewed demand for US equities into the dip. Whether or not this holds up is a completely different story.