CFD Markets News and Forecasts — 03-01-2018

(index / closing price / change items /% change)

Nikkei -19.04 22764.94 -0.08%

TOPIX -1.47 1817.56 -0.08%

Hang Seng +45.64 30560.95 +0.15%

CSI 300 +23.99 4111.39 +0.59%

Euro Stoxx 50 +19.69 3509.88 +0.56%

FTSE 100 +23.01 7671.11 +0.30%

DAX +106.82 12978.21 +0.83%

CAC 40 +42.68 5331.28 +0.81%

DJIA +98.67 24922.68 +0.40%

S&P 500 +17.25 2713.06 +0.64%

NASDAQ +58.63 7065.53 +0.84%

S&P/TSX +61.56 16371.55 +0.38%

(pare/closed(GMT +3)/change, %)

EUR/USD $1,2014 -0,37%

GBP/USD $1,3516 -0,57%

USD/CHF Chf0,97682 +0,53%

USD/JPY Y112,50 +0,20%

EUR/JPY Y135,16 -0,17%

GBP/JPY Y152,069 -0,36%

AUD/USD $0,7834 +0,07%

NZD/USD $0,7090 -0,16%

USD/CAD C$1,25355 +0,20%

00:30 Japan Manufacturing PMI (Finally) December 53.6 54.2

01:45 China Markit/Caixin Services PMI December 51.9 51.8

07:00 United Kingdom Nationwide house price index, y/y December 2.5% 2%

07:00 United Kingdom Nationwide house price index December 0.1% 0.2%

08:50 France Services PMI (Finally) December 60.4 59.4

08:55 Germany Services PMI (Finally) December 54.3 55.8

09:00 Eurozone Services PMI (Finally) December 56.2 56.5

09:30 United Kingdom Net Lending to Individuals, bln November 4.8 4.9

09:30 United Kingdom Consumer credit, mln November 1.451 1.5

09:30 United Kingdom Mortgage Approvals November 64.58 64

09:30 United Kingdom Purchasing Manager Index Services December 53.8 54.1

13:15 U.S. ADP Employment Report December 190 192

13:30 Canada Industrial Product Price Index, m/m November 1.0% 0.8%

13:30 Canada Industrial Product Price Index, y/y November 1.8%

13:30 U.S. Continuing Jobless Claims December 1943

13:30 U.S. Initial Jobless Claims December 245 244

14:45 U.S. Services PMI (Finally) December 54.5 52.4

16:00 U.S. Crude Oil Inventories December -4.609

18:30 U.S. FOMC Member James Bullard Speaks

Major US stock indexes completed the session on positive territory, supported by the growth of shares in the conglomerate sector and the core resources sector.

In addition, according to a report published by the Institute for Supply Management (ISM), in December, activity in the US manufacturing sector grew, contrary to the forecasts of economists, who suggested deterioration. The PMI index for the manufacturing sector was 59.7 points in December against 58.2 points in November. Analysts had expected that this figure would drop to 58.1 points. The value of the ISM index greater than 50 is usually considered as an indicator of growth in production activity, and less than 50, respectively, of the fall.

Quotes of oil jumped by about 2%, reaching new 2.5-year highs, as the sustainability of production in the US and Russia was counterbalanced by continued tensions in Iran. Carsten Fritch, an analyst at Commerzbank, warned that prices may face correction, so the support provided by the riots in Iran will weaken if the situation does not begin to affect the volume of oil production, which has not yet happened, or the US will reapply sanctions.

Most components of the DOW index finished trading in positive territory (23 out of 30). The leader of growth was the shares of International Business Machines Corporation (IBM, + 2.87%). Outsider were shares of Intel Corporation (INTC, -3.72%).

Almost all sectors of the S & P index recorded an increase. The conglomerate sector grew most (+ 1.5%). The decrease was shown only by the utilities sector (-0.7%).

At closing:

DJIA + 0.40% 24,922.68 +98.67

Nasdaq + 0.84% ​​7,065.53 +58.63

S & P + 0.64% 2,713.06 +17.25

As we can see on daily time frame chart, the price has been correcting its movement after it reach new highs.

However, we can see that the price is rejecting for several times the Fibonacci levels 38.2% which can be interesting.

Therefore, we can expect a further bullish movement in this pair.

"The December PMI registered 59.7 percent, an increase of 1.5 percentage points from the November reading of 58.2 percent. The New Orders Index registered 69.4 percent, an increase of 5.4 percentage points from the November reading of 64 percent. The Production Index registered 65.8 percent, a 1.9 percentage point increase compared to the November reading of 63.9 percent. The Employment Index registered 57 percent, a decrease of 2.7 percentage points from the November reading of 59.7 percent. The Supplier Deliveries Index registered 57.9 percent, a 1.4 percentage point increase from the November reading of 56.5 percent", says Timothy R. Fiore, Chair of the Institute for Supply Management (ISM).

U.S. stock-index futures advanced on Wednesday as signs of strong global economic growth boosted risk-on sentiment among investors.

Global Stocks:

Nikkei -

Hang Seng 30,560.95 +45.64 +0.15%

Shanghai 3,370.10 +21.77 +0.65%

S&P/ASX 6,070.40 +9.10 +0.15%

FTSE 7,654.38 +6.28 +0.08%

CAC5,313.47 +24.87 +0.47%

DAX 12,936.80 +65.41 +0.51%

Crude $60.78 (+0.68%)

Gold $1,317.60 (+0.11%)

(company / ticker / price / change ($/%) / volume)

American Express (AXP) initiated with a Buy at Deutsche Bank

UnitedHealth (UNH) initiated with a Buy at Goldman; target $269

Honeywell (HON) downgraded to Sector Perform from Outperform at RBC Capital Mkts

United Tech (UTX) upgraded to Outperform from Sector Perform at RBC Capital Mkts

Walt Disney (DIS) upgraded to Buy from Neutral at Rosenblatt

IBM (IBM) upgraded to Outperform from Sector Perform at RBC Capital Mkts

• Says sfter meeting polish PM that we want to have a say in EU future

• Says we urge Iran to respond appropriately to demonstrations

A robust rise in residential building contrasted with falling work on commercial projects and stagnating civil engineering output. There were positive signals for the near-term business outlook, with new order growth reaching a seven-month high and job creation the strongest since June. However, intense supply chain pressures continued across the construction sector, while input cost inflation picked up from November's 14-month low.

The seasonally adjusted IHS Markit/CIPS UK Construction Purchasing Managers' Index posted 52.2 in December, down from 53.1 in November but above the 50.0 no-change threshold for the third month running. As a result, the latest reading signalled a moderate expansion of overall construction output at the end of 2017.

Spain's unemployment decreased notably in December, data from the labor ministry showed Wednesday, cited by rttnews.

The number of unemployed declined by 61,500 in December from November. Unemployment had decreased by 86,849 in the same period of 2016.

Registered unemployment totaled 3.4 million. This was the lowest level in the last eight years for the month of December, the ministry said.

On a yearly basis, unemployment decreased by 290,193 or 7.84 percent in December.

• Ertem says will see drop of around 200 bp in inflation in q1 2018

• Trump says his nuclear button "Is a much bigger & more powerful one than his, and my button works"

EUR/USD

Resistance levels (open interest**, contracts)

$1.2166 (3522)

$1.2136 (4179)

$1.2106 (4165)

Price at time of writing this review: $1.2039

Support levels (open interest**, contracts):

$1.1948 (2252)

$1.1899 (4892)

$1.1850 (4677)

Comments:

- Overall open interest on the CALL options and PUT options with the expiration date January, 5 is 101542 contracts (according to data from January, 2) with the maximum number of contracts with strike price $1,2200 (6176);

GBP/USD

Resistance levels (open interest**, contracts)

$1.3676 (3060)

$1.3653 (2625)

$1.3632 (4728)

Price at time of writing this review: $1.3591

Support levels (open interest**, contracts):

$1.3575 (661)

$1.3539 (657)

$1.3496 (995)

Comments:

- Overall open interest on the CALL options with the expiration date January, 5 is 33954 contracts, with the maximum number of contracts with strike price $1,3500 (4728);

- Overall open interest on the PUT options with the expiration date January, 5 is 35061 contracts, with the maximum number of contracts with strike price $1,3250 (2803);

- The ratio of PUT/CALL was 1.03 versus 1.03 from the previous trading day according to data from January, 2

* - The Chicago Mercantile Exchange bulletin (CME) is used for the calculation.

** - Open interest takes into account the total number of option contracts that are open at the moment.

U.K. stocks slipped from record highs on Tuesday, as the pound ignored worse-than-expected British manufacturing data and rallied against the dollar. The FTSE 100 index UKX, -0.52% fell 0.5% to close at 7,648.10, easing back from the all-time closing high scored on Friday, the last trading session of 2017. The London benchmark logged a 7.6% gain for the full year, for its second straight year of advances.

U.S. stocks kicked off 2018 on a positive note Tuesday, with major indexes rallying to record levels in a broad rally that saw five of the 11 primary sectors gaining more than 1% on the day. The energy sector was a particular outperformer, jumping 1.8%, while both consumer discretionary and material names were up 1.5%.

Asian equities extended gains after a rally in technology companies boosted U.S. stocks to record highs. Bonds fell in Australia and New Zealand following a drop in Treasuries, while crude oil held above $60 a barrel in New York.