Global Markets:
- Asian stock markets: Nikkei up 0.89 %, Shanghai Composite rose 0.35 %, Hang Sang down 0.13 %, ASX 200 up 0.11 %
- Commodities: Gold at $1320.90 (-0.11 %), Silver at $17.23 (-0.29 %), WTI Oil at $61.62 (0.29 %), Brent Oil at $67.75 (0.04 %)
- Rates: US 10-year yield at 2.47, UK 10-year yield at 1.24, German 10-year yield at 0.44
News & Data:
- EUR CPI Flash Estimate y/y: 1.4% (Est 1.4%, Prev 1.5%)
- EUR CPI PPI m/m: 0.6% (Est 0.3%, Prev 0.4%)
- CAD Employment Change : 78.6K (Est 1.8K, Prev 79.5K)
- CAD Trade Balance: -2.5B (Est -1.2B, Prev -1.6B)
- CAD Unemployment Rate: 5.7% (Est 6.0%, Prev 5.9%)
- USD Average Hourly Earning m/m : 0.3% (Est 0.3%, Prev 0.1%)
- USD Non-Farm Employment Change : 148K (Est 190K, Prev 252K)
- USD Unemployment Rate : 4.1% (Est 4.1%, Prev 4.1%)
- Asia stocks saunter toward historic high, U.S. earnings hurdle- RTRS
- China's property sales may finally stop growing this year, UBS says
CFTC Positioning Data (Week ending January 2, 2018):
- EUR long 128K vs 92K last week. Longs increased by 36K
- GBP long 16K vs 13K long last week. Longs increased by 3K.
- JPY short 122K vs 116K short last week. Shorts increased by 6K
- CHF short 16K vs 14K short last week. Shorts increased by 2K
- CAD long 15K vs 17K long last week. Longs decreased by 2K.
- AUD short 20k vs 14K short last week. Shorts increased by 6K
- NZD short 17K vs 18K short last week. Shorts decreased by 1K
Markets Update:
Most Asia – Pacific markets opened on a positive note on Monday morning following a strong US lead from last Friday boasting a best start to a year in over a decade, with brisk economic growth and benign inflation proving a potent cocktail for risk appetite. U.S. indexes closed higher on Friday even though December nonfarm payrolls came in below expectations. With few data releases expected during the session, many investors awaited earnings releases from regional corporates later in the week.
USDJPY opened slightly lower for the day but mostly traded within a small range as the Japanese markets were closed Monday for a holiday. Currently the Yen is seen trading around above 113.25 per dollar recovering from session lows of 113.00. Meanwhile, Japanese Prime Minister Shinzo Abe on Sunday called on central bank governor Haruhiko Kuroda to keep up efforts to reflate the economy, but added he was undecided on whether to reappoint Kuroda for another five-year term.
EURUSD erased it’s earlier gains to drop to session lows below 1.2015 against the US Dollar. The dollar index, which tracks the dollar against a basket of currencies added 0.1 percent after four weeks of losses and is currently valued at 92.06. The yield on 10-year Treasuries increased two basis points to 2.48 percent Friday.
AUDUSD opened the week on a negative currently seen trading below 0.7840 as the AUD lost over 0.2 % percent against the US Dollar. Australia’s 10-year yield was little changed at 2.64 percent. Meanwhile, the Kiwi was marginally up against the US Dollar and is currently seen trading above 0.7170.
Upcoming Events:
- All Day — (JPY) Bank Holiday
- 08.15 GMT – (CHF) CPI m/m
- 08.30 GMT – (GBP) Halifax HPI m/m
- 10.00 GMT – (EUR) Retail Sales m/m
- 15.30 GMT – (CAD) BOC Business Outlook Survey
- 17.40 GMT – (USD) FOMC Member Bostic Speaks
- 18.35 GMT – (USD) FOMC Member Williams Speaks
The Week Ahead:
Tuesday, Januany 09th
- 06.45 GMT – (CHF) Unemployment Rate
- 07.00 GMT – (EUR) German Trade Balance
- 07.45 GMT – (EUR) French Trade Balance
- 08.00 GMT – (CHF) Foreign Currency Reserves
- 08.15 GMT – (CHF) Retail sales y/y
- 10.00 GMT – (EUR) Unemployment Rate
- 13.15 GMT – (CAD) Housing Starts
- &more…
Wednesday, January 10th
- 09.30 GMT – (GBP) Manufacturing Production m/m
- 09.30 GMT – (GBP) Goods Trade Balance
- 09.30 GMT – (GBP) Construction Output m/m
- 09.30 GMT – (GBP) Industrial Production m/m
- 13.30 GMT – (CAD) Building Permits m/m
- 13.30 GMT – (USD) Import Prices nm/m
- 15.30 GMT – (USD) Crude Oil Inventoriess m/m
- &more…
Thursday, Januany 11th
- 09.00 GMT – (EUR) Italian Retail sales m/m
- 10.00 GMT – (EUR) Industrial Production m/m
- 13.30 GMT – (USD) PPI m/m
- 13.30 GMT – (USD) Unemployment Claims
- 19.00 GMT – (USD) Federal Budget Balance
- &more…
Friday, January 12th
- 05.00 GMT – (JPY) Economy Watchers Sentiment
- 07.45 GMT – (EUR) French Final CPI m/m
- 09.00 GMT – (EUR) Italian Industrial Production m/m
- 13.30 GMT – (USD) CPI m/m
- 13.30 GMT – (USD) Retail Sales m/m
- &more…
