Dollar rises broadly in early US session as partly helped by pleasant surprise in initial jobless claims, which fell to lowest since 1969. But gains are so far limited as markets are awaiting meeting between Trump and Chinese Vice Premier Liu He at 2030 GMT. It's widely reported that solid progress were made in the US-China trade negotiations since the meeting in Beijing last week. And Trump could be ready to finally announce a summit with Chines President Xi Jinping to sign a deal. But still, nothing is done until it's done. Also, the non-farm payroll report tomorrow will carry much more significance than today's jobless claims figure. Meanwhile, news out of Europe are generally negative. Germany factory orders contracted sharply by -4.2% mom in March. Germany's leading economic institutes lowered economic growth forecasts for the country in 2019 sharply to 0.8%, down from 1.9%. Italy is said to revise down growth forecasts to as low as 0.1% in 2019, thus raising budget deficit target to 2.3-2.4%. ECB accounts revealed that some policymakers considered pushing timing of first hike to after Q1 2020. There is no special progress in Brexit in UK even though April 12 cliff edge is approaching. Nevertheless, Euro isn't too weak at all. Technically, Dollar pairs are back into focus today. EUR/USD might have a take on 1.1176 key support. Decisive break there will resume larger down trend from 1.2555. USD/JPY is eying 111.57 temporary top and break will bring a test on 112.31 near term resistance. Sterling continues the pattern of rising in Asian session and weakening into US session. GBP/USD, GBP/JPY and EUR/GBP are still range bound with no sign of breakout. In other markets, DOW opens higher by around 100 pts. In Europe, currently, FTSE is down -0.28%. DAX is up 0.34%. CAC is down -0.12%. Germany 10-year yield is down -0.0133 at -0.003, back in negative territory. Earlier in Asia, Nikkei rose 0.05%. Hong Kong HSI dropped -0.17%. China Shanghai SSE rose 0.94%. Singapore Strait Times rose 0.15%. |
No comments:
Post a Comment