Daily Markets Broadcast 2019-12-02

Daily Markets Broadcast

2019-12-02

Equities higher on improved China data

Welcome to December. Global indices have started the week and month higher after China data released at the weekend showed an improvement in the manufacturing sector. Clashes in Hong Kong restarted at the weekend after the lull following the district elections.

 

US30USD Daily Chart

Source: OANDA fxTrade

  • The US30 index looks set to snap a two-day losing streak after opening higher following the China data. It’s within a whisper of last week’s record high
  • The 55-day moving average has risen to 27,195, edging higher toward possible trendline support around the 27,235 level
  • We have two PMI numbers for November scheduled for today. Firstly, the final Markit manufacturing PMI (flash reading 52.2) and then the ISM PMI (seen rising to 49.4 from 48.3).

 

DE30EUR Daily Chart

Source: OANDA fxTrade

  • The Germany30 index likewise has opened higher this morning on the China data optimism
  • The 55-day moving average has risen to 12,765. The 23.6% Fibonacci retracement of the rally from October 3 to November 12 is at 12,960
  • The final readings for the Markit manufacturing PMIs for both Germany and the Euro-zone are due today. Provisional numbers were 43.8 and 46.6, respectively. New ECB President Lagarde is scheduled to speak.

 

CN50USD Daily Chart

Source: OANDA fxTrade

  • The China50 index slumped to the lowest level since October 8 on Friday, the second daily loss in a row. The index is expected to open higher this morning
  • The index headed toward the 200-day moving average at 13,417, Which has supported prices since February 11
  • China’s November manufacturing PMI beat estimates, rising to 50.2 from 49.3 in October. That’s the first time it’s been above the 50 contraction/expansion threshold in seven months. The Caixin PMI is due today and is expected to dip to 51.4 from 51.7, according to the latest survey.

 

 

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

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.
Andrew Robinson

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