Daily Market Bulletin – 14 January 2022

Market Developments

Investors appeared cautious following yesterday's sell-off in Wall Street, despite solid trade data from China.

Trade Balance in December expanded to 94.46B (in USD terms), compared to 71.72B previous, while exports rose 20.9%.

UK November GDP rose 0.9% m/m in November, compared to 0.1% prior

Ms Brainard appeared more hawkish on rates, compared to Mr Powell, as she said that hikes could begin "as soon as asset purchases are terminated", during her Senate testimony yesterday. [1]

Trade the News: View our Economic Calendar

On the labor maker front, she commented that "we still have 3.5-5m fewer jobs than we would have in the absence of the pandemic".

Automaker Ford temporarily hit $100 billion market cap for the first time ever on Wednesday.

Main Asia-Pacific stock markets were down, tracking Wall Street's losses, while European futures try to react.

The US Dollar faces renewed pressure, whereas the JPY Basket is upbeat.

Instruments Snapshot

EUR/USD stays on the front foot above 1.1450, in a so far stellar week.

GBP/USD is upbeat, keeping 1.3750 in its eyesight.

USD/JPY runs its third straight negative week, dropping towards 113.50.

USD/CAD returns to negative territory below 1.2500, after Wednesday's rebound.

AUD/USD continues to show indecision ahead of 0.7300.

NZD/USD is supported, but off yesterday's two-month highs (0.6891).

GER30 trades with positive undertone below 16,000.

US30 rises and reclaims 36,200, following yesterday's slump.

USOIL returns to positive territory and retakes $82/barrel.

XAU/USD is on the offensive, eying 1,830.

Economic Calendar Picks (GMT)

After UK's releases, focus now shifts to the United States for Retail Sales (13:30) and Industrial Production (14:15).

Delta Airlines reported encouraging results on Thursday and today focus shifts to JP Morgan (JPM.us) and Citigroup (C.us), which report before the opening bell.

On Monday January 17, US Stock markets will be closed for Martin Luther King, Jr. Day.

See the economic calendar here.

Nikos Tzabouras

Senior Market Specialist

Nikos Tzabouras is a graduate of the Department of International & European Economic Studies at the Athens University of Economics and Business. He has a long time presence at FXCM, as he joined the company in 2011. He has served from multiple positions, but specializes in financial market analysis and commentary.

With his educational background in international relations, he emphasizes not only on Technical Analysis but also in Fundamental Analysis and Geopolitics – which have been having increasing impact on financial markets. He has longtime experience in market analysis and as a host of educational trading courses via online and in-person sessions and conferences.

References

1

Retrieved 03 Jul 2022 https://www.banking.senate.gov/hearings/01/04/2022/nomination-hearing-1

Disclosure

Any opinions, news, research, analyses, prices, other information, or links to third-party sites contained on this website are provided on an "as-is" basis, as general market commentary and do not constitute investment advice. The market commentary has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and it is therefore not subject to any prohibition on dealing ahead of dissemination. Although this commentary is not produced by an independent source, FXCM takes all sufficient steps to eliminate or prevent any conflicts of interests arising out of the production and dissemination of this communication. The employees of FXCM commit to acting in the clients' best interests and represent their views without misleading, deceiving, or otherwise impairing the clients' ability to make informed investment decisions. For more information about the FXCM's internal organizational and administrative arrangements for the prevention of conflicts, please refer to the Firms' Managing Conflicts Policy. Please ensure that you read and understand our Full Disclaimer and Liability provision concerning the foregoing Information, which can be accessed here.

Past Performance: Past Performance is not an indicator of future results.

${getInstrumentData.name} / ${getInstrumentData.ticker} /

Exchange: ${getInstrumentData.exchange}

${getInstrumentData.bid} ${getInstrumentData.divCcy} ${getInstrumentData.priceChange} (${getInstrumentData.percentChange}%) ${getInstrumentData.priceChange} (${getInstrumentData.percentChange}%)

${getInstrumentData.oneYearLow} 52/wk Range ${getInstrumentData.oneYearHigh}