1 Mar: US$ mostly firm. Stock dive at the end of the session. Australian Capex, EU PMIs, US ISM & PCE deflator ahead.

By | March 1, 2018

 

Currency markets are generally choppy but rangebound today, with the exception of Sterling which headed sharply lower following comments from EU Brexit negotiator Michel Barnier which showed a significant divergence between the position of the EU and the UK over the ongoing Brexit negotiations. Elsewhere the dollar is firm against the EU majors and the commodity currencies but under pressure against the Yen. Stocks were pretty much steady until the end of the session when they quickly gave up 1%-1.5%. The metals are rangebound but oil is trading lower (-1%) after the US EIA reported in its weekly update that crude oil inventories increased by 3.0 million barrels in the week ended Feb. 23, above expectations for a gain of around 2.4 million.

Thursday will begin a busy Asian session, with the NZ Terms of Trade, the Australian AIG Performance of Mfg Index for February and the CAPEX data for Q4 all due, while Japan will have the Nikkei Mfg PMI and China will see the Caixin China Manufacturing PMI for February. Europe, the UK and the US will then follow on with the Markit Mfg PMIs alongside which we get the EU Unemployment for January and the UK Consumer Credit/Mortgage Approvals, also for January. It will be another busy day in the US, with the PCE Deflator, Personal Consumption/Expenditure Index, ISM/Prices Paid figures and the Construction Spending data for February all due for release.

CURRENCIES
EURUSD: 1.2201
Res  1.2225  1.2240  1.2260
Sup  1.2185  1.2160  1.2130
USDJPY: 106.68
Res  106.80  107.00  107.20
Sup  106.55  106.35  106.10
GBPUSD: 1.3770
Res  1.3790  1.3830  1.3855
Sup  1.3740  1.3700  1.3675
USDCHF: 0.9440
Res  0.9460  0.9485  0.9510
Sup  0.9420  0.9400  0.9380
AUDUSD: 0.7767
Res  0.7790  0.7820  0.7845
Sup  0.7760  0.7735  0.7710
NZDUSD: 0.7212
Res  0.7240  0.7265  0.7295
Sup  0.7200  0.7175  0.7140
INDICES / COMMODITIES
S&P: 2719
Res  2725  2740  2755
Sup  2710  2700  2685
DJI: 25074
Res  25200  25370  25570
Sup  25015  24880  24750
ASX SPI: 5959
Res  5975  5990  6000
Sup  5950  5935  5920
XAUUSD: 1318
Res  1325  1330  1335
Sup  1310  1305  1300
XAGUSD: 16.40
Res  16.50  16.60  16.70
Sup  16.35  16.25  16.15
WTI: 61.51
Res  62.15  62.90  63.40
Sup  61.35  60.75  60.10