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Euro-Zone’s Consumer Confidence Rased To A 15-Month Low Level In September
For the 24 hours to 23:00 GMT, the EUR rose 0.93% against the USD and closed at 1.1779.
On the data front, Euro-zone's preliminary consumer confidence index slid to a level of -2.9 in September, marking its lowest level in 15 months and compared to a reading of -1.9 in the prior month. Markets participants had anticipated the index to drop to a level of -2.0.
In the US, data showed that the Philadelphia Fed manufacturing index advanced to a level of 22.9 in September, higher than market expectations for a rise to a level of 18.0. The index had registered a level of 11.9 in the previous month. Also, the seasonally adjusted initial jobless claims unexpectedly eased to a level of 201.0K in the week ended 15 September 2018, defying market expectations for an advance to a level of 210.0K. Initial jobless claims had registered a level of 204.0K in the previous week. Meanwhile, the nation's existing home sales remained steady at a level of 5.34 million in August, while market participants had envisaged existing home sales to rise to a level of 5.36 million. Further, the leading indicator rose 0.4% on a monthly basis in August, less than market expectations for a rise of 0.5%. Leading indicator had risen by a revised 0.7% in the prior month.
In the Asian session, at GMT0300, the pair is trading at 1.1782, with the EUR trading slightly higher against the USD from yesterday's close.
The pair is expected to find support at 1.1711, and a fall through could take it to the next support level of 1.1640. The pair is expected to find its first resistance at 1.1819, and a rise through could take it to the next resistance level of 1.1856.
Going forward, investors would keep an eye on the Markit manufacturing and services PMI, due to be released across the euro-bloc, in a while. Also, the US Markit manufacturing and services PMI, set to release later in the day, will keep traders on their toes.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
Sterling Trading Flat In The Morning Session
For the 24 hours to 23:00 GMT, the GBP rose 0.99% against the USD and closed at 1.3272, following upbeat retail sales data.
In the economic news, UK's retail sales including auto advanced 3.3% on an annual basis in August, surpassing market consensus for a gain of 2.3%. In the previous month, retail sales had recorded a revised rise of 3.8%.
In the Asian session, at GMT0300, the pair is trading at 1.3272, with the GBP trading flat against the USD from yesterday's close.
The pair is expected to find support at 1.3177, and a fall through could take it to the next support level of 1.3083. The pair is expected to find its first resistance at 1.3332, and a rise through could take it to the next resistance level of 1.3393.
Going ahead, traders would focus on UK's public sector net borrowing data for August, due to release in a few hours.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
Japan’s Manufacturing Index Climbed To 3-Month High Level In August
For the 24 hours to 23:00 GMT, the USD rose 0.18% against the JPY and closed at 112.48.
On the macro front, Japan's national consumer price index (CPI) increased 1.3% on an annual basis in August, compared to a rise of 0.9% in the prior month. Market participants had anticipated the CPI to rise to 1.1%. Moreover, the nation's flash manufacturing PMI climbed to a 3-month high level of 52.9 in September. In the prior month, the PMI had recorded a reading of 52.5.
In the Asian session, at GMT0300, the pair is trading at 112.68, with the USD trading 0.18% higher against the JPY from yesterday's close.
The pair is expected to find support at 112.24, and a fall through could take it to the next support level of 111.81. The pair is expected to find its first resistance at 112.91, and a rise through could take it to the next resistance level of 113.15.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
SNB Leaves Key Interest Rate Unchanged At -0.75%
For the 24 hours to 23:00 GMT, the USD declined 0.89% against the CHF and closed at 0.9589.
Yesterday, the Swiss National Bank (SNB) left its benchmark interest rates unchanged at -0.75%, in line with market expectations and lowered its inflation outlook to 0.8% from 0.9% for 2019. However, inflation forecast for 2018 was maintained at 0.9%. Meanwhile, the central bank forecasted a GDP growth of between 2.5% and 3.0% for the current year and a further slight fall in unemployment. Moreover, the policymakers suggested that the current economic outlook remains favourable but expects a slowdown in the momentum due to global trade issues and recent fall in the national currency.
Macroeconomic data indicated that Switzerland’s trade surplus narrowed CHF2.13 million in August, defying market consensus to expand to a level of CHF2.41 million. In the previous month, the nation had posted a revised reading of CHF2.21 million.
In the Asian session, at GMT0300, the pair is trading at 0.9585, with the USD trading a tad lower against the CHF from yesterday’s close.
The pair is expected to find support at 0.9554, and a fall through could take it to the next support level of 0.9523. The pair is expected to find its first resistance at 0.9646, and a rise through could take it to the next resistance level of 0.9707.
Moving ahead, traders would await Switzerland’s M3 money supply for August, set to release in a while.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
Loonie Trading Slightly Lower In The Morning Session
For the 24 hours to 23:00 GMT, the USD declined 0.12% against the CAD and closed at 1.2905.
In the Asian session, at GMT0300, the pair is trading at 1.2910, with the USD trading marginally higher against the CAD from yesterday’s close.
The pair is expected to find support at 1.2887, and a fall through could take it to the next support level of 1.2865. The pair is expected to find its first resistance at 1.2930, and a rise through could take it to the next resistance level of 1.2951.
Trading trend in the Loonie today is expected to be determined by Canada’s retail sales data for July and the consumer price index for August, due to be released later in the day.
The currency pair is showing convergence with its 20 Hr moving average and trading below its 50 Hr moving average.
Aussie Trading A Tad Higher In The Asian Session
For the 24 hours to 23:00 GMT, the AUD rose 0.36% against the USD and closed at 0.7289.
LME Copper prices flat at $6057.0/MT. Aluminium prices rose 1.9% or $37.5/MT to $2018.5/MT.
In the Asian session, at GMT0300, the pair is trading at 0.7291, with the AUD trading slightly higher against the USD from yesterday’s close.
The pair is expected to find support at 0.7264, and a fall through could take it to the next support level of 0.7238. The pair is expected to find its first resistance at 0.7307, and a rise through could take it to the next resistance level of 0.7324.
The currency pair is showing convergence with its 20 Hr moving average and trading above its 50 Hr moving average.
Gold: Yellow Metal Extends Its Gains In The Asian Session
For the 24 hours to 23:00 GMT, Gold rose 0.27% against the USD and closed at USD1211.70 per ounce, amid weakness in greenback.
In the Asian session, at GMT0300, the pair is trading at 1212.70, with gold trading 0.08% higher against the USD from yesterday’s close.
The pair is expected to find support at 1206.90, and a fall through could take it to the next support level of 1201.10. The pair is expected to find its first resistance at 1216.70, and a rise through could take it to the next resistance level of 1220.70.
The yellow metal is trading above its 20 Hr and 50 Hr moving averages.
Silver: White Metal Trading On A Stronger Footing This Morning
For the 24 hours to 23:00 GMT, Silver rose 0.60% against the USD and closed at USD14.36 per ounce, tracking gains in gold prices.
In the Asian session, at GMT0300, the pair is trading at 14.41, with silver trading 0.35% higher against the USD from yesterday’s close.
The pair is expected to find support at 14.27, and a fall through could take it to the next support level of 14.13. The pair is expected to find its first resistance at 14.48, and a rise through could take it to the next resistance level of 14.56.
The white metal is trading above its 20 Hr and 50 Hr moving averages.
Oil Trading Higher, Ahead Of Baker Hughes Weekly Rig Count Data
For the 24 hours to 23:00 GMT, Crude Oil declined 1.61% against the USD and closed at USD70.17 per barrel after US President, Donald Trump urged OPEC to reduce oil prices.
In the Asian session, at GMT0300, the pair is trading at 70.21, with oil trading 0.06% higher against the USD from yesterday’s close.
The pair is expected to find support at 69.60, and a fall through could take it to the next support level of 68.99. The pair is expected to find its first resistance at 71.24, and a rise through could take it to the next resistance level of 72.28.
Crude oil is trading below its 20 Hr and 50 Hr moving averages.
Canada demand US dropping auto tariff threats. It’s not a stupid nation
A new deadlock emerged in Canada-US NAFTA negotiation as Canada demanded the withdrawal of auto tariff threat before making a deal. Canadian Foreign Minister Chrystia Freeland said "we discussed some tough issues today," after meeting USTR Robert Lighthizer yesterday, without giving any details. Freeland also ignored the US imposed deadline of October 1 and insisted on getting a deal that was good for Canadians.
The request to drop auto tariffs threat based on national security is supported within the Canadian business world. Jerry Dias, president of Unifor, Canada's largest private-sector union said "Why would Canada sign a trade agreement with the United States ... and then have Donald Trump impose a 25 percent tariff on automobiles?" He added, "That for us is a deal breaker. It doesn't make a stitch of sense. ... We are a small nation, we're not a stupid nation."









