Tokyo and Euro zone CPI, BOE Gov Speech in Focus today
FX Update
The dollar index tumbled below 106 marks on Wednesday, extending its recent retreat as Trump trades appeared to come in for a pruning in forex head of a long U.S. holiday weekend and month end. The pre-Thanksgiving shakeout arrived as many in the market will also be considering the December slow-down that usually hits liquidity.
A dump of U.S. data before the holiday shutdown produced mixed results; with October PCE inflation gauges matching expectations of firmer year-on-year price growth, pending home sales and initial jobless claims outperforming forecasts, and durable goods orders missing estimates.
Second-estimate Q3 U.S. GDP also came in line with expectations.
Crude Oil:
Oil prices ticked up after Israel and Lebanese armed group Hezbollah traded accusations that their ceasefire had been violated, and as Israeli tanks fired on south Lebanon. OPEC+ also delayed by a few days a meeting likely to extend production cuts.
Gold:
Gold prices were steady, as investors digested a flurry of economic data in the previous session and evaluated the possibility of a tariff war sparked by U.S. President-elect Donald Trump’s policies.
Copper:
Copper prices were steady with support from a weaker dollar and revived bets that top metals consumer China would launch more stimulus to counter risks of U.S. tariffs and to support its economy.
MCX Closing Update
Gold 75724 (-0.05%), Silver 88002 (0.13%), Crude oil 5844 (1.09%), Copper 807.75 (-0.04%), Natural Gas 278.30 (2.32%)
Major Economic Data and Event Update
· Tokyo Core CPI inflation, which excludes volatile fresh food items, rose 2.2% year-on-year in November, government data showed on Friday. The reading was above expectations of 2.0% and picked up sharply from the 1.8% seen in the prior month.
· Japan’s jobless rate in October inched up to 2.5% from 2.4% in September, government data showed on Friday.
· The seasonally adjusted unemployment rate matched economists’ median forecast.
· The jobs-to-applicants ratio in October edged up to 1.25 from 1.24 in September. The median forecast was 1.24.
· German CPI decrease by -0.2% from the previous 0.4%.
Major Economic Data and Event scheduled today – Tokyo and Euro zone CPI, BOE
Major Economic Data and Event scheduled today
Australia
At 6.00am-
Private Sector Credit m/m. Data is foreseen at 0.5% from previous 0.5%.
Above data could have a volatile impact on the dollar.
Japan
At 5.00am-
Tokyo Core CPI y/y. Data is foreseen at 2% from previous 1.8%.
Unemployment Rate. Data is foreseen at -0.2% from previous 0.4%.
At 5.20am
Prelim Industrial Production m/m. Data is foreseen at 3.8% from previous 1.6%.
Retail Sales y/y. Data is foreseen at 2.1% from previous 0.7%.
At 10.30am-
Consumer Confidence. Data is foreseen at 36.4 from previous 36.2.
Housing Starts y/y. Data is foreseen at -2% from previous -0.6%.
Above data could have a volatile impact on the Yen.
Eurozone
At 12.30pm-
German Import Prices m/m. Data is foreseen at 0.2% from previous -0.4%.
German Retail Sales m/m. Data is foreseen at -0.5% from previous 1.2%.
At 1.15pm-
French Consumer Spending m/m. Data is foreseen at -0.1% from previous 0.1%.
French Final Private Payrolls q/q. Data is foreseen at 0.0% from previous -0.1%.
French Prelim CPI m/m. Data is foreseen at 0.0% from previous 0.2%.
French Prelim GDP q/q. Data is foreseen at 0.4% from previous 0.4%.
At 2.25pm- German Unemployment Change. Data is foreseen at 20k from previous 27k.
At 3.30pm-
Core CPI Flash Estimate y/y. Data is foreseen at 2.8% from previous 2.7%.
CPI Flash Estimate y/y. Data is foreseen at 2.3% from previous 2%.
Italian Prelim CPI m/m. Data is foreseen at -0.2% from previous 0.0%.
At 6.30pm- German Buba President Nagel Speaks.
Above data could have a volatile impact on the Euro.
UK
At 3.00pm
M4 Money Supply m/m. Data is foreseen at 0.4% from previous 0.6%
Mortgage Approvals. Data is foreseen at 65k from previous 66k.
Net Lending to Individuals m/m. Data is foreseen at 4.1B from previous 3.8B.
At 4.00pm
BOE Financial Stability Report.
FPC Meeting Minutes. FPC Statement.
At 4.30pm- BOE Gov Bailey Speaks
US
No Major Events.
Until then, Happy Trading!
Commodity Samachar Securities
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Also Read: Yen Soars 2%—What’s Driving It After Tokyo CPI? , Market Soars: Nifty Gap-Up & Key FII/DII Figures Update
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