Market Roundup
- Euro weighed by concerns over Greece, EUR/USD down to 1.0735 from Fri 1.0849.
- Japan govt leaves economic assessment unchanged in monthly report for April.
- EU’S Moscovici says Greece has no time to lose, has to deliver reforms to stay in the Euro zone.
- Germany Mar Producer Prices YY increases to -1.7 % (consensus -1.6 %) vs previous -2.1 %.
- Germany Mar Producer Prices MM stays flat at 0.1 % (consensus 0.2 %) vs previous 0.1 %.
- Swiss Sight Deposits at 383.984 bln sfr in week ending April 17 versus 377.961 bln a week earlier.
Economic Data Ahead
- (0830 EDT/1230 GMT) Chicago Fed National Activity Index, previous -0.11.
Key Events Ahead
- N/A German Buba Monthly Report.
- (1005 EDT/1405 GMT) BoC Governor Poloz Speech.
- (1130 EDT/1530 GMT) US 3-month/6-month Bill Auction.
- (1230 EDT/1630 GMT) RBA Governor Glenn Stevens Speech.
FX Recap
EUR/USD fell to 1.0733 levels in the European session before consolidating to 1.0754 levels, largely on the back of strengthening US dollar while euro is pressured by Greece debt woes. Traders now await the series of Eurozone’s PMI scheduled later this week. On the topside, resistance is located at 1.0818 (Today’s High) levels, above which it could be pushed to 1.0850 (April 17 High) levels. On the downside, support is likely to be found at 1.0700, below that at 1.0648 levels.GBP/USD moved further down in the mid-European session, briefly dropping to 1.4910 levels. The pound is undermined by the upcoming general elections in the UK. To the upside, next resistance is seen at 1.4984 (Today’s High) above which it could extend its gains to 1.5055 (April 17 High) levels. On the other hand, support is located at 1.4900 and then at 1.4867 (April 6 Low) levels.AUD/USD plunged deeper into the red and has broken below the 0.78 handle. It currently trades at 0.7789 levels. Support is expected to be found at 0.7763 levels, and a break below could see the pair testing 0.7718 levels. On the flipside, resistance is located at 0.7849, and a rise above could push it further to 0.7890. USD/JPY rose higher in Europe and is moving closer to the 119.00 mark. The pair eyes resistance at 118.90 (5-DMA), and a break above would target 119.26 (100-DMA). On the flipside, support is located at 118.31 (Mar. 26 low), and a break below would extend its losses to 117.75 levels.USD/CHF halted its downward move and moved north on Monday, breaking above the 0.9550 levels. It currently trades at 0.9570 levels, having posted day’s low at 0.9499 levels. The pair has resistance at 0.9587 levels and above which gains could be extended to 0.9617 levels, while a break below 0.9500 levels could drag it to 0.9477 levels.
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