Global Markets:
- Asian Stock Markets : Nikkei down 0.24%, Shanghai Composite down 1.45%, Hang Seng down 0.36%, ASX down 0.52%
- Commodities : Gold at $1346.70 (-0.24%), Silver at $16.57 (-0.07%), WTI Oil at $69.69 (-0.17%), Brent Oil at $65.62 (-0.39%)
- Rates : US 10-year yield at 2.836, UK 10-year yield at 1.442, Germany 10-year yield at 0.528
News & Data:
- (USD) Durable Goods Orders m/m 3.10% vs 1.60% expected
- (USD) Core Durable Goods Orders m/m 1.20% vs 0.50% expected
- (CAD) Trimmed CPI y/y 2.10% vs 1.80% previous
- (CAD) Retail Sales m/m 0.30% vs 1.10% expected
- (CAD) Median CPI y/y 2.10% vs 1.90% previous
- (CAD) Common CPI y/y 1.90% vs 1.80% previous
- (CAD) Core Retail Sales m/m 0.90% vs 0.90% expected
- (CAD) CPI m/m 0.60% vs 0.40% expected
- China’s first oil futures off to a flying start as Beijing vies for pricing power
- The US is said to have sent China a to-do list to solve trade frictions
- Incoming RBNZ chief signals no change in bias after employment added to mandate
CFTC Positioning Data (Week Ending March 20th, 2018)
- EUR long 133K vs 146K long last week. Longs trimmed 13K
- GBP long 24K vs 8K long last week. Longs increased by 16K.
- JPY short 22K vs 80K short last week. Shorts trimmed by 58K.
- CHF short 8K vs 7K short last week. Shorts increased by 1K
- CAD long 25K vs 19K long last week. Longs increased by 6K.
- AUD long 18K vs 1k short last week. Longs added 19K.
- NZD long 20K vs 3K shorts. Longs added 23K this week
Markets Update:
Asian markets started the week in red, following looming trade war concerns. However, the sentiment in the markets is better compared to Friday, when the selling was left, right and center.
Chinese response to US tariffs were much more balanced and measured than expected, quelling to some extent, fears of a trade war. Chinese authorities tried to play down the effect of the sanctions on the Chinese economy, and vowed to push ahead with liberalization efforts.
Nevertheless, Chinese equities were markedly lower today – however, big oil producers were the saving grace, gaining from the newly launched yuan denominated crude futures. Nikkei off lows – Kospi gained on news of a US – South Korea trade deal
The dollar has been mixed in today’s trade, underperforming on export linked currencies such as the Aussie and Kiwi dollar.
The safe haven yen is at a 16 month high. Brent opened above $70 a barrel today, following reports of Saudi production cuts extending into 2019 and US considering sanctions on Iran.
Upcoming Events:
Monday, March 26th 2018
- 09:30 AM GMT – (EUR) German Buba President Weidmann Speaks
- 04:30 PM GMT – (USD) FOMC Member Dudley Speaks
- 08:30 PM GMT – (USD) FOMC Member Mester Speaks
- 11:10 PM GMT – (USD) FOMC Member Quarles Speaks
Tuesday, March 27th 2018
- 12:45 AM GMT – (AUD) RBA Assist Gov Kent Speaks
- 07:00 AM GMT – (EUR) Spanish Flash CPI y/y
- 08:00 AM GMT – (EUR) M3 Money Supply y/y
- 02:00 PM GMT – (USD) CB Consumer Confidence
- 03:00 PM GMT – (USD) FOMC Member Bostic Speaks
Wednesday, March 28th 2018
- 12:00 AM GMT – (NZD) ANZ Business Confidence
- 08:00 AM GMT – (CHF) Credit Suisse Economic Expectations
- 12:30 PM GMT – (USD) Final GDP q/q
- 02:00 PM GMT – (USD) Pending Home Sales m/m
- 02:30 PM GMT – (USD) Crude Oil Inventories
- 04:00 PM GMT – (USD) FOMC Member Bostic Speaks
Thursday, March 29th 2018
- All Day GMT – (EUR) German Prelim CPI m/m
- 07:00 AM GMT – (CHF) KOF Economic Barometer
- 08:30 AM GMT – (GBP) Current Account
- 08:30 AM GMT – (GBP) Final GDP q/q
- 08:30 AM GMT – (GBP) Net Lending to Individuals m/m
- 12:30 PM GMT – (CAD) GDP m/m
- 12:30 PM GMT – (CAD) RMPI m/m
- 12:30 PM GMT – (USD) Core PCE Price Index m/m
- 12:30 PM GMT – (USD) Personal Spending m/m
- 12:30 PM GMT – (USD) Unemployment Claims
- 01:45 PM GMT – (USD) Chicago PMI
- 02:00 PM GMT – (USD) Revised UoM Consumer Sentiment
- &More….
