22 Jan: Quiet session due to MLK holiday. IMF warn of global slowdown. UK jobs and ZEW in focus Tuesday.

By | January 22, 2019

There is very little to report on Tuesday following the very quiet Monday session, partly due to the US holiday, and most pairs are pretty much where they opened. The US$ is generally firm without having done very much while stocks and commodities are unchanged. The only real news items of note have been the IMF warning of a downgrading of the global growth outlook from 3.7% in 2018 to 3.5% in 2019, citing China as an area of concern, while UK PM Theresa May has been announcing her Brexit Plan B, in which she again rejected a second referendum and an article 50 extension. Beyond a move to waive a planned fee for EU nationals living in the UK to apply for settled status after Brexit, there has been very little change to her existing plan, and her updated arrangement has merely seen the PM entrench her existing position. Parliament are due t vote on the updated version next Tuesday.

There will be no Asian economic activity today so it could be a quiet start to the session although Europe will be busier with the focus being on the UK Unemployment data (exp Headline Rate; 4.1%, Claimant Count +20K, Average Earnings; 3.3% 3 months- Jan) and the German/EU ZEW Economic Sentiment Survey (Germany: exp Sentiment -18.4, Current Situation 43.4%). The US will have just the Existing Home Sales (exp -0.8%), Business Inventories (exp 0.5%) and the weekly API Weekly Crude Oil Stock Inventory. Note also that the Davos World Economic Forum Annual Meeting (WEF) begins today. Have a good day.

Economic data highlights will include:                                                                                                     

Tue: World Economic Forum – Davos, UK Unemployment, Public Sector Net Borrowing Requirements, German/EU ZEW Economic Sentiment Survey, US Business Inventories, Existing Home Sales, API Weekly Crude Oil Stock Inventory

CURRENCIES
EURUSD: 1.1368
Res  1.1390  1.1410  1.1425
Sup  1.1350  1.1325  1.1305
USDJPY: 109.64
Res  109.90  110.10  110.35
Sup  109.50  109.25  108.95
GBPUSD: 1.2888
Res  1.2910  1.2935  1.2960
Sup  1.2860  1.2830  1.2800
USDCHF: 0.9977
Res  0.9985  1.0005  1.0025
Sup  0.9960  0.9935  0.9915
AUDUSD: 0.7158
Res  0.7180  0.7200  0.7220
Sup  0.7140  0.7115  0.7095
NZDUSD: 0.6728
Res  0.6745  0.6765  0.6785
Sup  0.6715  0.6700  0.6680
INDICES / COMMODITIES
S&P.fs: 2663
Res  2675  2690  2710
Sup  2650  2635  2620
DJ30.fs: 24611
Res  24735  24855  24980
Sup  24515  24365  24235
SPI200.fs: 5827
Res  5860  5890  5915
Sup  5800  5775  5745
XAUUSD: 1280
Res  1285  1290  1295
Sup  1275  1270  1265
XAGUSD: 15.26
Res  15.45  15.60  15.75
Sup  15.20  15.05  14.90
WTI.fs: 54.19
Res  54.50  55.25  56.00
Sup  53.35  52.55  51.80