-1.39% % Forex Market -2.56% -1.29% JAPANESE YEN EURO. 1M %chg

Transcription

1 Tue, 22 Jan 2019

2 22-Oct 22-Oct Forex Market JAPANESE YEN CLOSE M %chg 3M %chg -1.39% -2.56% The Yen saw 2 bouts of demand yest. The first came during the Asian session following the report that the US and China have made little progress on IP issues. -The second came during the European session after the IMF downgraded it's global growth f/c for Both moves however petered out (the first after China's docket didn't deliver any negative surprises, the second given the IMF's outlook wasn't as dire as it could have been), and the Yen pared it's gains by the close of trade. -At present, the Yen pairs are largely trading sideways amidst the lack of a trade catalyst. -Look to sell on strength around /22, targeting a run down to , placing stops at EURO CLOSE 1M %chg % 3M %chg -1.29% -EUR/USD was initially lifted yest by positive cross-flows but was faded by leveraged specs to end little changed at While there was a brief drag from the IMF's report, there was ultimately scant material impact. -Thin trade thus far today. Selling interest lurks around , /15 and pre Bids pre and around /38. -The tech bias is currently neutral, with our models expecting n/t price action to toggle btwn / Current levels however don't offer a favourable risk-reward to establish fresh positions. 1.09

3 22-Oct 22-Oct Forex Market POUND STERLING CLOSE 1M %chg 3M %chg % -1.38% -GBP/USD staged a mild rebound up to yest after UK PM May didn't rule out delaying Article 50 while the Labour party called for a vote on options (which includes a 2^nd referendum) to avoid a no-deal scenario. -That said, GBP/USD's advance was contained after PM May again rejected calls for a 2^nd referendum (stating that she doesn't believe there's a majority within the House of Commons in favour of another plebiscite) and refused to rule out a no-deal scenario. -Currently hovering sideways around Offers around /30 and /75. Bids around , just below and around Sell at and , targeting a slide down to , placing stops at TURKISH LIRA CLOSE 1D %chg 1M %chg % 0.10% -USD/TRY edging trading lower irrespective of a swathe of bad news. -Turkish trade deficit USD 2.6bln Dec vs 0.6bln Nov and imports plunged 28.2% -Clearly Turkey's 24% rate is a huge draw but lira bulls take massive risk. -A strategy to hedge risk USD/TRY bounce is prudent

4 22-Oct 22-Oct Commodities GOLD CLOSE 1D %chg 1W %chg % -0.94% -Gold prices held steady on Tuesday, supported by concerns over a slowdown in global economic growth and uncertainty around Brexit, although a firm dollar pressured the safe-haven metal. -Spot Gold was mostly unchanged at $1, per ounce by 0050 GMT, while U.S. Gold futures fell 0.3 percent to $1, per ounce. BRENT CLOSE 1D %chg 1W %chg % 6.36% -Oil prices edged lower on Tuesday as concerns over global economic growth stoked fears over future demand. -International Brent crude oil futures were down 10 cents, or 0.2 percent, at $62.64 by 0106 GMT. They closed down 0.1 percent on Monday. -U.S. West Texas Intermediate (WTI) crude futures were at $53.70 per barrel, down 0.1 percent, or 4 cents.

5 Daily Market Report MARKET SUMMARY CENTRAL BANK OF KUWAIT INSTRUMENT OPEN HIGH LOW CLOSE %CHG 1D EUR % GBP % JPY % TRY % POLICY RATES INDICATOR As of Value Prior Change Dollar Idx % ON Repo Rate 21/Jan/' Brent % 1W Repo Rate 21/Jan/' WTC % 1M Repo Rate 21/Jan/' Gold % KWD ON Rate 21/Jan/' KWSE Index % Discount Rate 21/Jan/' UPCOMING ECONOMIC RELEASES Tenor Value Tenor INDICATOR Ctry / Regn Time For Prior Consensus ON M 2.76 Exports YY JP 22/Jan 00:50 Dec SW M 2.85 Avg Earnings (Ex-Bonus) GB 22/Jan 10:30 Nov M Y 3.03 Trade Balance Total Yen JP 22/Jan 00:50 Dec M 2.63 Foreign Bond Investment JP 23/Jan 00:50 w/e CBI Trends - Orders GB 23/Jan 12:00 Jan 8 5 KIBOR RATES KWD (CBK FIX) CLOSE LIBOR RATES OTHER C-BANK RATES 1D %chg 0.03% INDICATOR As of Value Prior Change FED Target Rate 19/Dec/' Tenor Value Tenor Value ECB Refinancing Rate 10/Mar/' ON M 2.56 BOE Bank Rate 02/Aug/' SW M 2.81 BOJ Prime Rate 10/Jul/' M Y 3.00 TRY ON Lending Rate 21/Sep/' Value

6 Economic Calendar & News ECONOMIC CALENDAR - Upcoming shortly INDICATOR Ctry / Regn Time For Prior Consensus Exports YY JP 22/Jan 00:50 Dec Imports YY JP 22/Jan 00:50 Dec Trade Balance Total Yen JP 22/Jan 00:50 Dec Avg Wk Earnings 3M YY GB 22/Jan 10:30 Nov Avg Earnings (Ex-Bonus) GB 22/Jan 10:30 Nov Claimant Count Unem Chng GB 22/Jan 10:30 Dec Employment Change GB 22/Jan 10:30 Nov ILO Unemployment Rate GB 22/Jan 10:30 Nov PSNCR, GBP GB 22/Jan 10:30 Dec PSNB, GBP GB 22/Jan 10:30 Dec PSNB Ex Banks GBP GB 22/Jan 10:30 Dec ZEW Survey Expectations* EU 22/Jan 11:00 Jan Existing Home Sales US 22/Jan 16:00 Dec Exist. Home Sales % Chg US 22/Jan 16:00 Dec JP BOJ Rate Decision JP 23/Jan 00:00 N/A Foreign Bond Investment JP 23/Jan 00:50 w/e Foreign Invest JP Stock JP 23/Jan 00:50 w/e CBI Trends - Orders GB 23/Jan 12:00 Jan 8 5 MBA 30-Yr Mortgage Rate US 23/Jan 13:00 w/e 4.74 MBA Mortgage Applications US 23/Jan 13:00 w/e 13.5 Mortgage Market Index US 23/Jan 13:00 w/e MBA Purchase Index US 23/Jan 13:00 w/e Mortgage Refinance Index US 23/Jan 13:00 w/e NEWS AND STREET BUZZ Global Top News -Asian shares and U.S. stock futures slipped on Tuesday as pessimism about world growth drove investors away from risky assets, while sterling dithered as the latest plan for Brexit appeared to come and go with no progress. -British Prime Minister Theresa May sought to break the parliamentary deadlock over Brexit on Monday by proposing to seek further concessions from the European Union on a plan to prevent customs checks on the Irish border. -Over a third of Japanese firms aim to raise capital expenditure in the fiscal year starting April, with many others worried about the impact on spending plans of a trade war between major markets China and the United States. -The dollar hovered near 2-week highs against its peers on Tuesday as a slowdown in China's economy to 28-year lows fanned fresh worries over global growth and prompted investors to move into safe-haven currencies. -Saudi Arabia could see another $7 billion pour into its sovereign debt markets as investors prepare for the kingdom's bonds to be included in a key index starting this month, Bank of America Merrill Lynch (BAML) estimated. -Egypt's blue-chip shares rose on Monday, bolstered by financial stocks, while Saudi Arabia reversed early losses as most of its banks gained. -Dubai's Emaar Properties and state-owned developer Nakheel have put plans to issue U.S. dollardenominated bonds on hold, Emaar and sources familiar with the bond issues said. -European shares fell on Monday from six-week highs as a slowdown in China's economy stalled a global equity rally, but sterling rallied to the day's highs after Prime Minister Theresa May promised to be more "flexible" with lawmakers over Brexit.

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