Morning Update – 18/01/2016 – by Michela Jaccarini
January 18, 2016Good morning!
After what was a historical record start to the new year, the markets over the past week were in recovery mode. This however did not last very long; the stock indexes were particularly hit badly.
Focusing on oil, early this morning and during the Asian session it was trading at a 13 year low of below $30 but has since tried to recover from this. As a result of this and because of the fall in sanctions associated with Iran, many analysts believe that there is more downside to come for oil (future expected prices to hit $20 or $25).
It is predicted that continued worry about China, the Fed and global growth are likely to drive this market weakness and volatility further down in the short term future.
Important fundamental news to look out for this week:
- Tuesday:
- CNY GBP (YoY) (Q4)
- CNY GBP (QoQ) (Q4)
- CPI (YoY) (Dec)
- EUR German ZEW Economic Sentiment
- EUR CPI (YoY) (Dec)
- BoE Gov Carney speaks
- NZD CPI (QoQ) (Q4)
- Wednesday:
- GBP Average Earnings Index (Nov)
- GBP Claimant Count Change (Dec)
- USD Building Permits (Dec)
- USD Core CPI (MoM) (Dec)
- CAD BoC Monetary Policy Report
- CAD Interest Rate Decision
- BoC Gov Poloz speaks
- Thursday:
- EUR Deposit Facility Rate
- EUR Interest Rate Decision (Jan)
- USD Philadelphia Fed Manufacturing Index (Jan)
- ECB Press Conference
- Crude Oil Inventories
- Friday:
- EUR German Manufacturing PMI (Jan)
- GBP Retail Sales (MoM) (Dec)
- CAD Core CPI (MoM) (Dec)
- CAD Core Retail Sales (MoM) (Nov)
- USD Existing Home Sales (Dec)
Have a good week and good luck!
