Daily Markets Broadcast 2019-03-01

Daily Markets Broadcast

2019-03-01

Wall Street edges lower despite above forecast GDP data

GDP growth data beat economists’ estimates in the fourth quarter, but the improvement failed to prevent a slide on Wall Street. PMI readings feature heavily on the data calendar, with both German and Eur-zone numbers seen at multi-year lows.

US30USD Daily Chart

Source: OANDA fxTrade

  • The US30 index declined yesterday but failed to take out Wednesday’s low, which might suggest today may be an uneventful day
  • Resistance at the November high of 26,249 remains intact. Support may be found at the 200-day moving average at 25,101
  • The ISM manufacturing PMI for February could be the highlight on the US data calendar. It rebounded in January, but this month’s print is expected to ease off to 55.5 from 56.6, the latest survey shows.

DE30EUR Daily Chart

Source: OANDA fxTrade

  • The Germany30 index edged higher yesterday, keeping within a tight 11,399-11,558 range so far this week
  • The index is still struggling to overcome the December high at 11,571. Trendline support may be found near the 11,292 level today, with the 100-day moving average below at 11,207
  • Final Markit PMI readings for February are due today, with no revision to initial readings expected for the manufacturing PMI for Germany at 47.6 (lowest since December 2012) and the Euro-zone at 49.2 (lowest since June 2013).

UK100GBP Daily Chart

Source: OANDA fxTrade

  • The UK100 index fell for a fourth straight day yesterday, the longest losing streak since late-January, as Brexit uncertainty continues to weigh ahead of key Parliamentary votes later this month
  • The index fell to a more than three-week low and is possibly eyeing the 100-day moving average at 6,977
  • Markit’s manufacturing PMI reading for February is seen slipping to 52.0, the weakest in four months, from 52.8 in January. UK govt says Brexit talks with EU ongoing; aiming to ensure that it cannot be held in backstop indefinitely. EU’s Barnier reiterates will not re-open the Withdrawal Agreement for negotiation.

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Andrew Robinson

Andrew Robinson

Senior Market Analyst at MarketPulse
A seasoned professional with more than 30 years’ experience in foreign exchange, interest rates and commodities, Andrew Robinson is a senior market analyst with OANDA, responsible for providing timely and relevant market commentary and live market analysis throughout the Asia-Pacific region. Having previously worked in Europe, since moving to Singapore he worked with several leading institutions including Bloomberg, Saxo Capital Markets and Informa Global Markets, proving FX strategies based on a combination of technical and fundamental analysis as well as market flow information. Andrew began his career as an FX dealer with NatWest and the Royal Bank of Scotland in the UK.