America’s roundup: Dollar climbs on U.S. Oil stockpile use after Saudi attacks,Wall street dips, Gold rises 1%.oil jumps nearly 15% in record trading after attack on Saudi facilities-september 17th, 2019
Source: FxWire Pro - Media Round Ups / 16 Sep 2019 17:07:35 America/New_York
• Oil surges about 20%, world stocks slide
• Fed, BoJ meetings in focus later in the week
• US Sep NY Empire State Manufacturing Index 2.00, 4.00 forecast, 4.80 previous
• Canada Jul Foreign Securities Purchases -1.17B, -4.06B previous
• Canada Foreign Securities Purchases by Canadians 12.45B, 6.61B previous
Looking Ahead - Economic Data (GMT)
• 21:00 New Zealand Westpac Consumer Sentiment (Q3) 103.5 previous
• 01:30 Australia House Price Index (QoQ) (Q2) -1.0% forecast, -3.0% previous
• 01:30 China Aug House Prices (YoY) 9.7% previous
• 03:00 New Zealand Aug RBNZ Offshore Holdings 51.70%
Looking Ahead - Events, Other Releases (GMT)
• 01:30 Australia RBA Meeting Minutes
EUR/USD: The euro plunged against the dollar on Monday, after attacks on crude facilities in Saudi Arabia fuelled worries over the impact of an oil shock on economic growth. Monday’s rapid spike in crude prices came at a time when central banks in the United States, Europe and Asia are easing monetary policy to fight a slowdown in the global economy amid a drawn-out trade war between Washington and Beijing.The U.S. Federal Reserve is due to hold its next policy meeting on Wednesday, at which it is widely expected to ease interest rates and signal its future policy path. The euro fell 0.62% to $1.1001. Immediate resistance can be seen at 1.1050 (21 DMA), an upside break can trigger rise towards 1.1124 (50 DMA).On the downside, immediate support is seen at 1.0994 (Daily low), a break below could take the pair towards 1.0930 (12 Sep Low).
GBP/USD: Sterling declined against greenback on Monday, as concerns rose that the United Kingdom may be headed for a disruptive departure from the European Union. The pound fell to a three-year low below $1.20 earlier this month, then soared more than 4%. Most of the gains came last week, after parliament voted to force Prime Minister Boris Johnson to seek an extension to the current Oct. 31 deadline for leaving the EU if no agreement has been reached. The pound fell to a three-year low below $1.20 earlier this month, then soared more than 4%. Most of the gains came last week, after parliament voted to force Prime Minister Boris Johnson to seek an extension to the current Oct. 31 deadline for leaving the EU if no agreement has been reached. Immediate resistance can be seen at 1.2500 (Daily high), an upside break can trigger rise towards 1.2528 (Higher Bollinger Band).On the downside, immediate support is seen at 1.2384(5 DMA), a break below could take the pair towards 1.2294 (11 DMA).
USD/CAD: The Canadian dollar strengthened against its U.S. counterpart on Monday, before giving back some of its early gains, as oil prices soared following a weekend attack on Saudi Arabian oil facilities. U.S. crude oil futures settled 14.7% higher at $62.90 a barrel, the largest one-day percentage gain since December 2008, after an attack on sites run by state-owned Saudi Aramco halved the kingdom's oil production. Oil is one of Canada's major exports. The Canadian dollar was last trading 0.4% higher at 1.3240 to the greenback. The Canadian dollar was last trading 0.4% higher at 1.3240 to the greenback.Immediate resistance can be seen at 1.3260 (21 DMA), an upside break can trigger rise towards 1.3300 (Psychological level).On the downside, immediate support is seen at 1.3215 (5 DMA), a break below could take the pair towards 1.3146 (Lower Bollinger Band).
USD/JPY: The dollar weakened against the Japanese yen on Monday, as upheaval in the oil market and poor economic data from China increased demand for safe haven assets. Also inflamed fears about Middle East tensions and worsening relations between Teheran and Washington, powered yen. Data from China earlier on Monday underscored a slowdown in the world’s No. 2 economy, although that bolstered hopes of more stimulus policies from Beijing to underpin the economy.Industrial production in China grew at its weakest pace in 17-1/2 years, the data showed, amid rising U.S. trade pressure and softening domestic demand. Appetite for safe haven asset pushed dollar down 0.02% to $108.04. Strong resistance can be seen at 108.25 (Higher Bollinger Band), an upside break can trigger rise towards 109.00 (Psychological level).On the downside, immediate support is seen at 107.44 (9 DMA), a break below could take the pair towards 107.19 (11 DMA).
Oil and gas companies stood out in a gloomy session for European stock markets on Monday as an attack on Saudi Arabia’s oil facilities thrust crude prices higher, while heightening geopolitical concerns among investors .
The UK's benchmark FTSE 100 closed down by 0.63 percent, Germany's Dax ended down by 0.71 percent, and France’s CAC finished the down by 0.94 percent.
Energy stocks spiked while most of Wall Street fell on Monday after weekend attacks on Saudi Arabia’s oil facilities added to investors’ concerns about geopolitical risk and a stumbling global economy.
Dow Jones closed down by 0.52 percent, S&P 500 ended down 0.31 percent, Nasdaq finished the day down by 0.28 percent.
U.S. Treasury yields fell on Monday after weekend attacks on crude facilities in Saudi Arabia shut about 5% of the world's oil supply, sending oil prices soaring and increasing demand for safe haven U.S. debt.
Benchmark 10-year notes gained 18/32 in price to yield 1.838%. The yield is down from a one-and-a-half month high of 1.908% reached on Friday, but up from three-year lows of 1.429% reached on Sept. 3.
Gold rose more than 1% on Monday after an attack on key oil facilities in Saudi Arabia inflamed worries over the stability of the Middle East, driving investors to seek refuge in assets seen as a haven from risk.
Spot gold was up 1% at $1,503.60 per ounce as of 1138 GMT, while U.S. gold futures rose 0.8% to $1,511.80 per ounce.
Oil ended nearly 15% higher on Monday, with Brent logging its biggest jump in over 30 years and a record trading volumes, after an attack on Saudi Arabian crude facilities cut the kingdom’s production in half and intensified concerns of retaliation in the Middle East.
Brent crude futures settled at $69.02 a barrel, rising $8.80, or 14.6%, its largest one-day percentage gain since at least 1988.
U.S. West Texas Intermediate (WTI) futures ended at $62.90 a barrel, soaring $8.05, or 14.7% - the biggest one-day percentage gain since December 2008.© FxWire Pro 2019. All rights reserved. The FxWire Pro content received through this service is the intellectual property of FxWire Pro or its third party suppliers. Republication or redistribution of content provided by FxWire Pro is expressly prohibited without the prior written consent of FxWire Pro, except for personal and non-commercial use. Neither FxWire Pro nor its third party suppliers shall be liable for any errors, omissions or delays in content, or for any actions taken in reliance thereon.