Macro Events & News

FX News Today

European Fixed Income Outlook: 10-year Bund yields are down -1.1 bp at 0.717%, following on from broad corrections in Asian long yields overnight, while the 10-year Treasury yield is up 0.2 bp at 2.891%. The 2-year Schatz yield is down -0.6 bp at -0.522%, leaving the curve flatter from the long end, but amid the temporary set backs, the longer uptrend in long yields continues. European stock futures meanwhile are heading south, while U.S. futures are moving higher, after a largely positive session in Asia overnight, where the Hang Seng outperformed.Japanese equity markets fluctuated between gains and losses after Wall Street closed in the red and the Topix closed with a loss of -0.05%, while the Nikkei managed a gain of 0.21% as a weaker yen bolstered exporters. European data releases today include Eurozone preliminary PMI readings for February as well as U.K. labour market data and public finance numbers.

FX Update: The dollar has remained buoyant, led by gains in USDJPY, which lifted for a fourth straight session in logging a four-session high of 107.90, extending the rebound from the 15-month low seen last Thursday at 105.54. EURJPY and other yen crosses are also firmer, though by a lesser magnitude than USDJPY, as a broader bid in the dollar has also been at play. EURUSD posted a four-session low at 1.2317. Data out of Asia today included Japan’s flash manufacturing PMI for February, which ebbed to a 54.0 headline reading form 54.8 in January, and mixed figures out of Australia. Chinese markets remained closed for the Lunar New Year. Japan’s vice minister of finance for international affairs (the power position regarding forex intervention decisions), Asakawa, said that “I cannot help but assess the [yen] movements as one-sided,” and noted that surging U.S. Treasury yields is the “beginning of a sea change.”

Charts of the Day

 Main Macro Events Today        

  • Eurozone February’s PMIs –  The February Eurozone manufacturing PMI, is seen falling to 59.3 from 59.6, while the services reading slips to 57.6 from 58.0. Those should leave the composite at 58.5, down from January’s 58.8.
  • UK Labour Market data – isWe expect the CBI surveys to show a modest abatement in the headline total orders reading for industrial trends, to 11 (median same) from 14, and a slightly increased in the headline realized sales figure for the distributive sales survey, to 14 (median same) from 12. We expect unemployment to remain at 4.3% (median same), in addition to an unchanged average income reading of 2.5% y/y for the with-bonus figure (which would still lag inflation, which stands at 3.0%).
  • US Markit PMI –  The February manufacturing PMI, is seen falling to 55.4 from 55.5, while the services reading rises to 54.0 from 53.3. Those should leave the composite at 54.4, up from January’s 53.8.
  • FOMC Minutes

Support and Resistance levels

Click here to access the HotForex Economic calendar.

Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE! The next webinar will start in:

Andria Pichidi

Market Analyst


Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.