Daily Market Review — 29/03/2016

Daily Market Review — 29/03/2016

U.S. Fed Chair speech will be the main event today

Forex

EUR/USD

EURUSD

During yesterday’s trading day, European currency showed some growth against the US dollar. Such dynamics was caused by weak statistics on US personal spending and income. So, U.S. Personal Income rose in February by 0.2%, the forecast was 0.1%, while personal spending amounted to 0.1%, which is fully in line with the average forecast of analysts. The value of personal expenditure for the previous period has been revised downward from 0.5% to 0.1%. Meanwhile, real personal consumption grew by 0.1% against the average expectations of 0.2%. This shows low inflationary pressures in the US economy. Today, the dynamics of the pair will depend on U.S. Fed Chair Janet Yellen’s speech, which is scheduled for 16:20 (GMT).

Resistance: 1.1219, 1.1284, 1.1337
Support: 1.1144, 1.1078, 1.0988

USD/JPY

USDJPY

Yesterday the pair showed mixed trends, although closed trading with US dollar’s growth. Final data on US GDP for the fourth quarter of last year gave some support. However, during the American session, data on personal income and spending were presented, which turned out to be weaker than it was expected. Meanwhile, this morning, data on unemployment and retail sales in Japan was presented. The unemployment rate unexpectedly rose to 3.3% compared to the average forecasts of experts at the level of 3.2%. As for retail sales, it decreased slightly and amounted to 0.5% against expectations of an expert level of 1.7%. This puts pressure on the Japanese currency. Meanwhile, today investors will pay attention to US Fed Chair Janet Yellen’s speech.

Resistance: 113.81, 114.13, 114.44
Support: 113.24, 112.73, 112.28

 

Stock Market

Dow Futures

Dow

Yesterday major US stock indices showed weak dynamics after a long Easter weekend. Some pressure put weak data on personal income and expenditure of US citizens, which were slightly below the average forecast. Meanwhile, support for stock markets provided data on U.S. pending home sales, which showed an increase in February after January’s fall. Released figure was at the highest level for the past seven months. Today, the dynamics of trade will depend on the publication of U.S. CB Consumer Confidence at 14:00 (GMT), as well as on Janet Yellen’s speech 16:20 (GMT).

Resistance: 17513.95, 17549.49, 17603.77
Support: 17422.36, 17358.11, 17300.69

 

Commodities

GOLD

Gold

After a sharp fall at yesterday’s trading, the precious metal quotations have moved to increase. Such dynamics was caused, first of all, by a few negative statistics on U.S. PCE price index. That fact can force US regulator to postpone the next increase in rates, which will support gold. Let us remind that gold is in less demand when rates hike. Today, the dynamics of trade will depend on U.S. CB Consumer Confidence, which will be presented at 14:00 (GMT). Meanwhile, investors are waiting for the NFP, which will be published next Friday.

Resistance: 1222.79, 1229.00, 1236.89
Support: 1214.89, 1208.23, 1200.16

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