Continuum Economics
  • Search
  • About Us
  • Buy
  • Invite A Friend
  • My Basket
  • Articles
  • Calendar
  • Forecasts
  • Events
  • Data
  • Newsletters
  • My Alerts
  • Community
  • Directory
  • About Us
  • Buy
  • Invite A Friend
  • My Basket
  • Articles
    • All
    • Thematic
    • Tactical
    • Asia
    • EMEA
    • Americas
    • Newsletters
    • Freemium
    • Editor's Choice
    • Most Viewed
    • Most Shared
    • Most Liked
  • Calendar
    • Interactive
      • China
      • United States
      • Eurozone
      • United Kingdom
    • Month Ahead
    • Reviews
    • Previews
  • Forecasts
    • Forecasts
    • Key Views
  • Events
    • Media
    • Conference Calls
  • Data
    • Country Insights
    • Shadow Credit Ratings
    • Full CI Data Download
  • Newsletters
  • My Alerts
  • Community
    • FX
    • Fixed Income
    • Macro Strategy
    • Credit Markets
    • Equities
    • Commodities
    • Precious Metals
    • Renewables
  • Directory
  • My Account
  • Notifications Setup
  • Account Details
  • Recent Devices
  • Distribution Lists
  • Shared Free Trials
  • Saved Articles
  • Shared Alerts
  • My Posts
Published: 2024-01-24T11:24:53.000Z

European Summary and Highlights 24 Jan

byAdrian Schmidt

Senior FX Strategist
-

The USD fell back through the European morning session, with GBP the best performer after UK PMIs came in on the strong side of consensus.

European morning session

The USD fell back through the European morning session, with GBP the best performer after UK PMIs came in on the strong side of consensus. UK composite PMI rose to 52.5, its highest since July. GBP/USD gained around half a figure and settled above 1.2750, while EUR/GBP fell 10 pips to 0.8540. EUR/USD also gained around 30 pips to trade above 1.09, despite some early softness after French and German PMIs disappointed. But despite the weakness in French and German PMI, Eurozone PMI showed a rise on the month and was only marginally below consensus. The USD also suffered from general gains in equities. The USD even lost ground against the JPY, with USD/JPY down around 40 pips to 147.50. Other currencies moved in line with the EUR.

Asia session

The Japan December Trade data came in stronger than expected. December Exports increased by 9.8% y/y vs expected +9.1% and imports declined by 6.8% y/y vs expected -5.3% while Trade Balance is positive 62.1bn yen vs expectation of -122.1bn. The report shows very strong export to the U.S. and a pick up in Chinese demand, which are good news for the Japanese economy. Else, JGBs yields jumped on rate hike expectation. With U.S. Treasury Yields falling, USD/JPY is trading 0.24% lower at 147.92. 

The NZ Q4 CPI is banging in estimate at 0.5% q/q and 4.7% y/y. With the RBNZ OCR forecasting only half a 25bps hike in last revision of OCR path, this CPI data is not supportive for the RBNZ to turn that into a complete hike. With positive regional risk sentiment, NZD/USD is trading 0.02% higher at 0.6104 and AUD/USD slipped 5 pips to 0.6574 while USD/CAD rose 0.06% to 1.3468. Else, EUR/USD is 0.09% higher and GBP/USD is 0.11% higher.

 

Continue to read the article for free
Login

or

or

Topics
FX Highlights
Foreign Exchange
European Midday

GENERAL

  • Home
  • About Us
  • Our Team
  • Careers

LEGAL

  • Terms and Conditions
  • Privacy Policy
  • Compliance
  • GDPR

GET IN TOUCH

  • Contact Us
Continuum Economics
The Technical Analyst Awards Winner 2021
The Technical Analyst Awards Finalist 2020
image