20 Mar: Gbp up as UK/EU seal Brexit transition deal. Stocks down – led by Facebook. RBA Minutes, UK CPI, EU ZEW ahead

By | March 20, 2018

 

It has been a hectic start to the week, with stockmarkets falling sharply (ahead of a late bounce) on Monday as a technology selloff, led by reports of a Facebook data breach pushed the main indices down by around 1.7%. In the currency markets, Sterling shone, on news that EU and UK has finally agreed on the Brexit transition deal – although Ireland remains an issue. The Euro followed Sterling higher, albeit to a lesser degree, while the commodity bloc currencies remain under some pressure on the back of the ongoing fears of a trade war. The metals are slightly higher, care of the slightly weaker US$, while WTI is also firmer.

Tuesday will get under way with the NZD Westpac Consumer Survey (Q1), the Australian House Price Index (Q4), the RBA Minutes and a speech from the RBA’s Debelle. The focus in Europe will be on the February UK CPI (exp 2.5%yy, Core 2.8%yy) and on the German/EU ZEW Economic Sentiment Survey. There is little data out of the US today although Kiwi traders should note that the Global Dairy Trade Index will be released, as will the weekly API Crude Oil Stock Inventory figures.

CURRENCIES
EURUSD: 1.2339
Res  1.2360  1.2385  1.2410
Sup  1.2320  1.2300  1.2260
USDJPY: 106.12
Res  106.30  106.50  106.70
Sup  106.00  105.80  105.60
GBPUSD: 1.4029
Res  1.4055  1.4090  1.4100
Sup  1.4000  1.3965  1.3920
USDCHF: 0.9505
Res  0.9520  0.9550  0.9580
Sup  0.9495  0.9470  0.9450
AUDUSD: 0.7717
Res  0.7735  0.7755  0.7775
Sup  0.7690  0.7670  0.7645
NZDUSD: 0.7245
Res  0.7260  0.7285  0.7300
Sup  0.7225  0.7195  0.7175
INDICES / COMMODITIES
S&P: 2722
Res  2745  2770  2800
Sup  2700  2680  2665
DJI: 24692
Res  24800  24970  25050
Sup  24580  24460  24315
ASX SPI: 5924
Res  5945  5965  5980
Sup  5910  5895  5880
XAUUSD: 1317
Res  1320  1325  1330
Sup  1310  1305  1300
XAGUSD: 16.32
Res  16.45  16.55  16.65
Sup  16.25  16.15  16.00
WTI: 62.18
Res  62.55  63.25  64.20
Sup  61.45  60.80  60.00