Global Markets:
- Asian stock markets: Nikkei up 1.45 %, Shanghai Composite fell 0.80 %, Hang Seng lost 0.30 %, ASX 200 rose 0.05 %
- Commodities: Gold at $1245 (+0.10 %), Silver at $15.86 (+0.05 %), WTI Oil at $41.45 (-0.20 %), Brent Oil at $41.50 (-0.15 %)
- Rates: US 10 year yield at 1.92, UK 10 year yield at 1.48, German 10 year yield at 0.23
News & Data:
- Australia House Price Index (QoQ) Q4: 0.2% (exp 0.0% prev 2.0%)
- Australia House Price Index (YoY) Q4: 8.7% (exp 8.5% prev 10.7%)
- Australia ANZ Roy Morgan Weekly Consumer Confidence Index (W/E 20 Mar): 116.0 (prev 116.4)
- Japan Nikkei Manufacturing PMI (Mar, P): 49.1 (exp 50.5 prev 50.1)
- Japan All Industry Activity Index (MoM) Jan: -0.9% (exp -1.9% prev rev -1.1%)
- PBoC Fixes Yuan At 6.4971
- IMF May Cut 2016 Global Economic Growth Forecast — Business News
- Japanese FinMin Aso: Don’t Think Fiscal Action Is Necessary At This Time — BBG
- IMF Pressing China To Disclose More Data On Currency Operations — WSJ
- Asian shares edge lower as Fed rate talk revives – RTRS
- Oil futures dip as commodity rally gathers breath – RTRS
- S&P Affirms New Zealand AA+ Ratings, Outlook Remains Stable
Markets Update:
It was quiet overnight with no major data releases. USD/JPY rallied to 112.20 in the early Asian session, but then fell back to 111.85 as Asian stock markets opened lower. A break above 112.20 resistance would suggest we will see a test of 113 soon, but overall, techs remain bearish and larger rallies are likely to attract selling interest. Support is seen at 111.75 and 111.20.
AUD/USD has been under pressure since the start of the new trading week and overnight, it extended losses slightly as it fell to 0.7568. Support is seen at 0.7530, while resistance is noted at 0.7630 and 0.7680. Meanwhile, NZD/USD consolidated in 0.6750-75 range.
USD/CAD is holding well despite the rally in oil prices. Overnight, it fell from 1.31 to 1.3070 and support is seen at 1.3020 and 1.2980. While the pair looks oversold in the short-term, should the rally in oil extend, it is unlikely we'll see a major short squeeze in USD/CAD soon.
Upcoming Events:
- 08:00 GMT – French Manufacturing PMI
- 08:00 GMT – French Services PMI
- 08:30 GMT – German Manufacturing PMI
- 08:30 GMT – German Services PMI
- 09:00 GMT – Euro Zone Manufacturing PMI
- 09:00 GMT – Euro Zone Services PMI
- 09:30 GMT – UK CPI
- 10:00 GMT – German ZEW Economic Sentiment
- 10:00 GMT – Euro Zone ZEW Economic Sentiment
- 13:00 GMT – US House Price Index
- 13:45 GMT – US Manufacturing PMI
- 14:00 GMT – US Richmond Manufacturing Index
