America's Roundup: Dollar dominates as inflation heats up, Wall Street ends little changed, Gold hits 5-month high, Oil settles mixed on questions over crude supply and demand-16th November,2021 – EconoTimes

Credit: Original article can be found here

Market Roundup

•Canada New Motor Vehicle Sales (MoM) 144.0% ,150.0% previous

•US NY Nov Empire State Manufacturing Index 30.90, 21.60 forecast, 19.80 previous

•Canada Sep Manufacturing Sales (MoM)  -3.0% ,-3.2% forecast, 0.5% previous

• Canada Sep Wholesale Sales (MoM)  1.0% ,1.1%,0.3% previous

• French 12-Month BTF Auction  -0.800%, -0.675% previous

• French 3-Month BTF Auction -0.863% ,-0.782% previous

•French 6-Month BTF Auction -0.754%  ,-0.711% previous

•US 6-Month Bill Auction 0.065% ,0.065% previous

•US 6-Month Bill Auction 0.045% ,0.045% previous

Looking Ahead Economic Data (GMT)

•03:15 New Zealand PPI Input (QoQ) (Q3)3.0% previous

•03:15 New Zealand PPI Output (QoQ) (Q3) 2.6% previous

•05:20 Japan Sep Core Machinery Orders (YoY) 17.4% forecast,17.0% previous

•05:20 Japan Oct Trade Balance -310.0B forecast,-624.1B previous

•05:20 Japan Sep Core Machinery Orders (MoM) 1.8% forecast,-2.4% previous

•05:20 Japan Oct Exports (YoY) 9.9% forecast,13.0% previous

•05:20 Japan Adjusted Trade Balance -0.62T previous

•06:00 Australia Wage Price Index (QoQ) (Q3) 0.5% forecast,0.4% previous

Looking Ahead – Events, Other Releases (GMT)

• No significant events

EUR/USD: The euro declined on Monday after European Central Bank President Christine Lagarde voiced growth and pricing concerns in Eurozone. European Central Bank President Christine Lagarde said on Monday, persistent supply chain bottlenecks and soaring energy costs are slowing euro zone growth and will keep inflation high for even longer than had been thought. But Lagarde continued to push back on calls and market bets for tighter policy, repeating the ECB’s message that conditions for higher interest rates are unlikely to be met next year as inflation is still seen back below the bank’s 2% target farther out. The euro hit a 16-month low against the greenback and was last down 0.49% at $1.13865.Immediate resistance can be seen at 1.1423 (38.2%fib), an upside break can trigger rise towards 1.1476 (50%fib).On the downside, immediate support is seen at 1.358(23.6 % fib), a break below could take the pair towards 1.1300(Psychological level).

GBP/USD: The pound rose on Monday but lagged behind other risk-linked currencies, as investors focused on talks over post-Brexit trade arrangements for Northern Ireland as well as the likelihood of the Bank of England raising rates next month. Relations between Britain and the European Union have deteriorated in recent weeks after Britain, unhappy with the Brexit deal it signed up to in 2020, threatened to trigger an emergency clause known as Article 16 of the Northern Ireland Protocol, potentially leading to a trade war. But the European Commission’s Maros Sefcovic said that he is “absolutely convinced” that Britain and the European Union can break their impasse. Immediate resistance can be seen at 1.3440(38.2% fib), an upside break can trigger rise towards 1.3500 (50%fib).On the downside, immediate support is seen at 1.3401(5DMA), a break below could take the pair towards 1.3360(23.6%fib).

USD/CAD: The Canadian dollar rose against the greenback on Monday, recouping some of last week’s decline as China reported stronger-than-expected economic data and Bank of Canada Governor Tiff Macklem said Canada’s economy is moving closer to full capacity. U.S. crude oil futures        settled 0.1% higher at $80.88 a barrel after hitting its lowest level in 10 days earlier in the day. The loonie was trading 0.3% higher at 1.2509 to the greenback, after trading in a range of 1.2501 to 1.2556. Last week, the loonie declined 0.7%. On Friday, it touched its weakest intraday level in more than five weeks at 1.2604. Immediate resistance can be seen at 1.2526 (5DMA), an upside break can trigger rise towards 1.2556(23.6%fib).On the downside, immediate support is seen at 1.2507(38.2%fib), a break below could take the pair towards 1.2462 (50%fib).

USD/JPY: The dollar edged lower against the Japanese yen on Monday as investor concern inflation worries helped dollar gain against yen. Inflation has run hotter than expected in recent months, bolstering the argument that the Fed will have to act more aggressively to tame rising consumer prices. Higher U.S. rates tend to make some dollar-denominated assets, like Treasuries, more attractive to yield-seeking investors. Investors likely will be closely watching fresh data on U.S. retail sales out on Tuesday, after a report out Friday showed consumer sentiment hitting its lowest point in a decade, due in part to inflation. Strong resistance can be seen at 114.24 (23.6% fib), an upside break can trigger rise towards 114.66 (Higher BB).On the downside, immediate support is seen at 113.76 (38.2%fib), a break below could take the pair towards 113.25  (50% fib).

Equities Recap

European shares hit another record peak on Monday after comments from European Central Bank Chief Christine Lagarde helped beat back bets of tighter monetary policy, while a fall in miners kept gains at bay.

UK’s benchmark FTSE 100 closed up by  0.54 percent, Germany’s Dax ended down by 0.34 percent, France’s CAC finished the day up by 0.53 percent.                        

Wall Street indexes closed out Monday’s session near the unchanged mark as rising Treasury yields dented the appetite for technology stocks, while Boeing shares advanced on signs of demand for its freighter aircraft.

Dow Jones closed down  by  0.04% percent, S&P 500 closed down by 0.00% percent, Nasdaq settled down  by 0.04%      percent.

Commodities Recap

Oil prices settled somewhat after hitting a one-week low in earlier trading, ending the day in mixed territory. Crude prices had previously been pushed down by speculation that President Joe Biden’s administration could tap the U.S. Strategic Petroleum Reserve.

Brent futures settled down 12 cents, or 0.2%, to $82.05 a barrel while U.S. West Texas Intermediate (WTI) crude rose 8 cents, or 0.1%, to $80.88