Newsquawk

Blog

  • The FOMC doubled the QE tapering pace and now sees three rate hikes in 2022; Fed Chair Powell avoided hawkish curveballs
  • Chair Powell said the Fed has not taken a position on whether it should pause between the end of the taper and first-rate hike
  • Market sentiment saw a knee-jerk lower on the statement and SEP release before risk appetite intensified during the presser
  • Asian equity markets traded mixed as the region digested the FOMC...
Categories:
  • Equities remain mixed but with a cautious undertone, ES -0.1%, NQ -0.4%; as newsflow is focused on COVID/geopolitics going into the FOMC
  • DXY is softer but pivoting 96.50 with peers mixed and GBP leading after UK CPI; USTs are unchanged, EGBs are pressured, led by Gilts on BoE tightening repricing
  • Reports indicate UK PM Johnson will hold a Omicron press conference today, unclear on content; gov't is said to be expecting a record daily case print...
Categories:
  • Asian equities were mixed/rangebound as participants remained cautious following the losses in the US (S&P 500 -0.75%)
  • The region also digested mixed Chinese data in which Industrial Production topped estimates but Retail Sales disappointed
  • The Senate and House passed the bill to raise the debt limit by USD 2.5tln
  • In FX, DXY is modestly softer and sub 96.50 with price action relatively contained in the G10...
Categories:
  • Equities are pressured after a constructive European open, fundamental updates have been minimal and conditions remain thin before the week's risk events; ES -0.2%
  • In FX, the DXY has been pressured towards yesterday's low, but remains comfortably above 96.00, to the mixed benefit of peers with EUR/CHF/GBP leading the way
  • South African study on vaccines given Omicron finds Two doses of the Pfizer (PFE)/BioNTech (BNTX) vaccine gives 70% protection against...
Categories:
  • Asia-Pac stocks traded mostly subdued following the pullback on Wall Street
  • In FX, the DXY has gained a firmer footing above 96.00, activity currencies narrowly lag G10 peers
  • The Senate will vote on legislation to raise the Federal Government debt limit today
  • Russia said it may be forced to deploy intermediate-range nuclear missiles in Europe in response to what it sees as NATO's plans to do the same
  • Looking ahead,...
Categories:
  • Gains in European equities are slightly more pronounced than in US equity futures; Stoxx 600 +0.6%, ES +0.3%
  • In FX, USD outperforms with the DXY nearing 96.500 at best; EUR/USD below 1.1300 while USD/JPY extends north of 113.50
  • TRY is the EM FX laggard; USD/TRY topped 14.5000 before the CBRT intervened ahead of Erdogan meeting the CBRT Governor
  • UK raised its COVID alert level to 4 from 3, and accelerated its booster...
Categories:
  • MON: OPEC MOMR.
  • TUE: NBH Announcement; UK Employment (Oct/Nov); EZ Industrial Production (Oct); US PPI (Nov); IEA OMR.
  • WED: FOMC Announcement and Projections; Bank of Indonesia Announcement; Chinese Retail Sales (Nov) and Industrial Production (Nov); UK Inflation (Nov); US Retail Sales (Nov); Canadian CPI (Nov); New Zealand GDP (Q3).
  • THU: ECB, BoE, SNB, Norges, CBRT, Banxico Announcements; EZ, UK and US Markit Flash PMIs (Dec);...
Categories:
  • Asia-Pac equity markets took their cues from last Friday’s gains on Wall Street; US equity futures traded with mild upside overnight
  • In FX, the DXY eked mild gains, EUR/USD slipped back under 1.1300 and USD/JPY traded around 113.50
  • UK raised its COVID alert level to 4 from 3 and accelerated its booster programme
  • UK PM Johnson is reportedly no longer seeking the immediate axing of the ECJ from its role in enforcing the Northern Ireland...
Categories:
  • European bourses are softer while US equity futures are marginally firmer ahead of US CPI; ES +0.3%
  • In FX, the DXY extended on gains in European hours, best level just shy of 96.50, and with peers subdued across the board
  • PBoC set USD/CNY mid-point at 6.3702 vs exp. 6.3499 (prev. 6.3498); CBRT intervened in FX markets
  • Taiwan says 13 Chinese PLA planes entered the Air Defence Identification Zone (ADIZ) on...
Categories:
  • Asia-Pac stocks were on the back foot as the region took its cue from the weak performance in the US
  • In FX, DXY was steady in a tight range, USD/JPY traded on either side 113.50, USD/CNH saw volatility at the PBoC CNY fix
  • PBoC set USD/CNY mid-point at 6.3702 vs exp. 6.3499 (prev. 6.3498)
  • Sources in Brussels are confident regarding a compromise on medicines with the UK before year-end
  • US oil export ban is not on the...
Categories:
  • Stocks in Europe have been drifting lower, US equity futures have also succumbed to the modest downside; ES -0.3%
  • In FX, the DXY extends above 96.00 with JPY perhaps capping upside while the CNH saw downside on PBoC raising FX RRR by 2ppts
  • Chinese PPI topped expectations whilst CPI Y/Y missed but registered the fastest pace of increase since August last year
  • Views on the ECB's Governing Council reportedly converging on a limited, temporary...
Categories:
  • Asian equity markets eventually traded mixed as the early tailwinds from the US gradually waned
  • In FX, the DXY recouped some of its recent losses, EUR was subdued and JPY was indecisive
  • Chinese PPI topped expectations whilst CPI Y/Y missed but registered the fastest pace of increase since August last year
  • PBoC is reportedly seeing its special status beginning to erode with the government starting to push its influence on the central bank,...
Categories:
  • Broader sentiment was dented on UK COVID Plan B updates; US equity futures mostly hold onto mild gains
  • UK sources suggest an 85% chance of implementing COVID Plan B, potentially from Thursday; press conference at 17:30GMT/12:30EST
  • Apple (+0.7% pre-mkt) was forced to scale back its total output target for 2021 and reportedly told suppliers to accelerate iPhone production for November-January
  • House approved the measure to speed the debt limit...
Categories:
  • Asian equity markets traded positively; US equity futures saw mild gains overnight after Wall Street closed firmly in the green
  • In FX, DXY pulled back, EUR/USD nursed some recent losses, USD/JPY hovered around 113.50 and CAD lagged
  • Preliminary results from a small study showed a 40x reduction in neutralization capacity of the Pfizer vaccine against Omicron
  • Early hospitalisation data from South Africa showed the new variant could result in...
Categories:
  • European stocks have conformed to the risk appetite seen across global peers; US equity futures continue to rise - ES +1.3%
  • In FX, the DXY is firmer but remains capped by 96.50, antipodeans outperform on base-metals while EUR & GBP are only marginally lower
  • The RBA maintained its Cash Rate at 0.10% and weekly bond purchases at AUD 4bln until mid-February, as expected
  • PBoC has lowered the relending rate by 25bps for agricultural and small...
Categories:
  • Asia-Pac stocks traded mostly in the green following the positive close on Wall Street; US equity futures meandered higher overnight
  • In FX, the DXY was indecisive, JPY underperformed, and AUD was boosted post-RBA as iron ore futures gained
  • The RBA maintained its Cash Rate at 0.10% and weekly bond purchases at AUD 4bln until mid-February, as expected
  • PBoC has lowered the relending rate by 25bps for agricultural and small companies, according...
Categories:
  • Early gains across equities faded; Euro Stoxx 50 +0.5%, ES -0.1%, NQ -0.5%
  • PBoC cut the RRR effective from December 15th; 50bp reduction that will release CNY 1.2tln in liquidity.
  • The DXY is pressured at fresh lows but retains 96.00+ status with peers mixed as havens lag
  • US President Biden and Russian President Putin are to hold a phone call on Tuesday at 15:00GMT/10:00EST
  • Saudi Aramco over the weekend raised...
Categories:
  • MON: EZ Sentix Index (Dec); Eurogroup meeting.
  • TUE: RBA Announcement; German Industrial Output (Oct); German ZEW Survey (Dec); EZ GDP R (Q3), Employment F (Q3); US Trade (Oct); Japanese GDP R (Q3); Chinese Trade Balance (Nov); EIA STEO.
  • WED: BoC Announcement; RBI Announcement; US JOLTS Job Openings (Oct).
  • THU: Chinese Inflation (Nov); German Trade Balance (Oct).
  • FRI German CPI F (Nov); UK GDP (Oct); US CPI...
Categories:
  • Asian equities began the week cautiously following last Friday's negative performance stateside
  • In FX, the DXY traded within a tight range, EUR and safe havens were subdued and activity currencies outperformed
  • UK ministers announced fresh COVID-19 restrictions for travellers entering the UK
  • US President Biden and Russian President Putin are to hold a phone call on Tuesday
  • Saudi Aramco over the weekend raised official...
Categories:
  • The positivity seen heading into the European open dissipated; US equity futures are seeing modest broad-based losses
  • US Democratic Sen. Manchin is skeptical that the Build Back Better bill can pass the Senate this year, CNN sources state
  • Caixin Services and Composite PMI data slowed from the prior month, but both remained in expansion territory
  • The DXY has edged mild gains above 96.00; GBP was hit by a less hawkish Saunders and TRY saw CBRT...
Categories:
  • Asian equities eventually traded mostly higher following the cyclical-led rebound in the US
  • Caixin Services and Composite PMI data slowed from the prior month, but both remained in expansion territory
  • The DXY has edged mild gains above 96.00 whilst EUR/USD and GBP/USD hover around 1.13 and 1.33 respectively
  • The House and Senate both passed the stopgap funding bill to avert a government shutdown
  • Looking ahead,...
Categories:
  • Bourses across Europe have held onto losses seen at the cash open; US equity futures are firmer with RTY outpacing and NQ lagging
  • South African scientist sees an exponential rise in new COVID cases with predominance of Omicron; India said the two cases it sees are mild
  • Apple (AAPL) reportedly told iPhone component suppliers that demand has slowed down ahead of the holiday period
  • Chinese advisors to recommend lowering the 2022 GDP growth...
Categories:
  • Asian equities traded tentatively following the declines on Wall St where major indices extended on losses
  • Selling stateside was exacerbated on confirmation of the first Omicron case in the US
  • DXY oscillates around 96.00, EUR/USD remains above 1.13 and GBP/USD eyes 1.33
  • TRY was pressured again after Turkish President Erdogan replaced the Finance Minister
  • Looking ahead, highlights include EZ Unemployment Rate, US IJC,...
Categories:
  • European bourses are firmer across the board with a clear cyclical bias; US futures are in the green with RTY outperforming
  • US Conservatives on both sides of the Capitol are reportedly plotting to force a government shutdown Friday
  • Chinese Caixin Manufacturing PMI fell short of estimates and slipped back into contraction territory
  • The DXY traded on either side of 96.000 whilst TRY whipsawed on CBRT intervention and Erdogan...
Categories:
  • Asian equity markets traded mostly positive as regional bourses atoned for the prior day’s losses
  • US equities closed lower (S&P 500 -1.9%) amid ongoing COVID concerns and comments from Fed Chair Powell
  • Chinese Caixin Manufacturing PMI fell short of estimates and slipped back into contraction territory
  • The DXY is back below 96.00 with activity currencies leading gains against the greenback
  • Looking ahead,...
Categories: