What will appear as major market drivers today? Let’s find out with this 10 October Market moving fundamental events analysis from HotForex.
10 October, HotForex – Asian stock markets were mixed, long yields mostly higher. Japanese shares were underpinned by automakers after a three day weekend, the Hang Seng also moved higher, but the post-holiday rally in mainland China fizzled out and the ASX was under pressure as the currency strengthened.
European Market Outlook
U.S. and U.K. stock futures are higher, but for the Eurozone, Spain will be a key focus as Catalan President Puigdemont is set to address lawmakers in Barcelona at 6 pm to discuss the outcome of the referendum, which delivered a resounding yes, but with a very low participation rate.
The central government in Madrid meanwhile has pledged to maintain the unity of Spain and there is no support for Barcelona from the EU. Political events could well overshadow the local calendar, which includes industrial production data out of the U.K., France and Italy and finally U.K. trade numbers.
Forex Market Update
The dollar traded mostly softer yesterday in holiday thinned markets, with holidays affect major centres in both North America and Asia. The narrow trade-weighted USD index fell to a two-session low at 93.48, while EURUSD firmed to a two-session high of 1.1756.
The dollar also traded at two-session lows versus sterling and the Australian dollar, while USDCAD gave back a chunk of the gains the pair saw on Friday following the U.S. and Canadian employment reports.
USDJPY logged a three-session low at 112.33 in Asia before recouping above 112.50, remaining comfortably off from Friday’s three-month high at 113.44. New data and developments were thin on the ground, though Spanish markets priced out Catalan secession risks, with the movement’s leaders stalling amid not unjust concerns about economic mayhem.
Geopolitical concerns remain amid reports that North Korea is planning another missile launch, and an escalating diplomatic spat between the U.S. and Turkey.
Main Macro 10 October Market moving fundamental events
- UK Manufacturing Production – Expectations – Down to 0.3% from 0.5% on July.
- UK Trade Balance – Expectations – At -11.20B from last month -11.58B.
- CAD Housing Starts – Expectations – to dip to 220.0k from the 223.2k in August. Housing permits are seen slipping 1.0% m/m in August after the 3.5% drop in July.
- FED Kashkari – Fed dove Kashkari, will open a regional conditions conference by his branch from 10 ET, followed by Dallas Fed centrist Kaplan who is taking part in a Q&A session at Stanford’s SIEPR after the close from 20 ET.
Support and Resistance Levels
This article about 10 October Market moving fundamental events was written by Andria Pichidi, Market Analyst at HotForex. The provided article is a general marketing communication for information purposes only. It does not constitute an independent investment research. Nothing in this communication contains an investment advice or an investment recommendation. It also does not contain a solicitation for the purpose of buying or selling of any financial instrument.
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