Daily Market Brief
January 17th 2023
FOREIGN EXCHANGE MARKETS | (Sources: Bloomberg / Forexlive) |
EURUSD
The EUR/USD pair has continued to trade rangebound near 1.0830 in the Asian session. The major currency pair is displaying a lackluster performance amid ambiguity in the risk profile as the United States markets will open on Tuesday after a stretched weekend. A volatility contraction in the asset is likely to get exploded ahead.
GBPUSD
GBP/USD stays defensive around 1.2210, despite the downbeat week-start, as Cable traders await the key UK jobs report, up for publishing on early Tuesday. It's worth noting that the multiple negatives surrounding the UK's employment updates join the British political pessimism to probe the pair buyers even as the US Dollar Index (DXY) weakness underpins the recovery moves.
USDJPY
The USD/JPY pair has faced resistance while attempting to recapture the crucial resistance of 129.00 in the early Asian session. The asset has dropped below
128.50 and is likely to remain on the tenterhooks as investors are awaiting the announcement of the Bank of Japan (BoJ)'s first monetary policy of CY2023.
INTERNATIONAL EQUITY MARKETS | (Sources: Bloomberg / Reuters) |
UNITED STATES OF AMERICA
U.S. stock futures were trading lower during Monday's evening deals, after major benchmark indices remained closed for the public holiday, with traders looking ahead to a busy week of economic data and corporate earnings results.
EUROPE
European shares hit a near nine-month high on Monday, albeit in light trading due to a U.S. holiday, with real estate and retail stocks helping offset losses in commodity-linked secors. Temenos shares up after CEO quits.
ASIA
China and Hong Kong shares dropped Tuesday as Beijing released lower GDP growth and economic activity data for the fourth quarter, and investors sold on gains ahead of the Lunar New Year holiday.
MUST READ(Source: Bloomberg/ Forexlive)
Short sellers made $300 billion in 2022's market wipeout
A terrible year for most investors in the stock market was one to celebrate for traders who bet successfully on its decline. U.S. short sellers were up 31% in 2022, sitting on $300 billion in mark- to market profits on an average short interest of $973 billion, research from data analytics firm S3 Partners showed. These winnings came as equity markets closed out their worst run since the Global Financial Crisis more than a decade ago. The S&P 500 tumbled 19.4% in 2022, the Dow fell 9%, and the Nasdaq Composite dropped 33%. For the first time since 2000, the Nasdaq fell during each quarter of the year. The major indexes also snapped a three-year winning streak in 2022, battered by aggressive monetary tightening by the Federal Reserve to tame stubborn inflation and Russia's war in Ukraine. Short-side returns outperformed the long returns of the S&P 500 and broader Russell 3000, according to S3. But shorts slightly underperformed the technology. heavy Nasdaq Composite as it weathered the brunt of last year's selling pressures, meaning market gains realized by investors betting against the Nasdaq would've been more than wiped out by the index's decline. "Short sellers still needed to be good stock pickers in order to maximize their returns" " S3's Ihor Dusaniwsky said in a note. "Even on a more macro level, picking which sectors to short produced wildly divergent returns." Communications Services and Consumer Discretionary were the most profitable sectors for short-sellers, earning traders an average return of 50%. The two components of the S&P 500 led declines among the other nine sectors,
logging | losses | of | 37.7% | and | 36.2%, | respectively, | in | 2022. |
Fx rates | Last | High | Low | % Daily | % Weekly | % YTD |
EUR-USD | 1.0829 | 1.0836 | 1.0807 | 0.06 | 0.89 | 1.16 |
GBP-USD | 1.2201 | 1.2213 | 1.2173 | 0.06 | 0.39 | 0.98 |
USD-JPY | 128.76 | 129.15 | 128.22 | 0.14 | 2.72 | 1.83 |
USD-CHF | 0.9246 | 0.9276 | 0.9241 | -0.21 | -0.21 | -0.01 |
Commodities | Last | High | Low | % Daily | % Weekly | % YTD |
Silver | 24.14 | 24.37 | 24.09 | -0.46 | 2.28 | 0.78 |
Crude Oil | 79.45 | 80.22 | 78.53 | -0.51 | 6.46 | -1.01 |
Bitcoin | 21132.18 | 21295.85 | 20860.61 | 0.00 | 12.22 | 27.77 |
Etherium | 1564.92 | 1585.86 | 1542.36 | -0.94 | 9.70 | 30.48 |
Period | 1 M | 3 M | 12 M | |||
EURIBOR | 1.91 | 2.33 | 3.32 | |||
* USD LIBOR rates will be discontinued after June 30, 2023 and will be replaced by SOFR | ||||||
Notes/Bonds | 2 Y | 10 Y | 30 Y | |||
US | 4.24 | 3.54 | 3.66 | |||
BTP - BUND | 0.36 | 1.84 | 2.09 | |||
GILTS | 3.52 | 3.38 | 3.73 | |||
Index | Close | % Daily | % M | YTD | Futures | % Change |
S&P | 3999.09 | 0.40 | 3.81 | 4.16 | 4005.50 | -0.32 |
Nasdaq | 11079.16 | 0.71 | 3.49 | 5.85 | 11549.00 | -0.51 |
DJ EuroStoxx50 | 4157.00 | 0.15 | 9.28 | 9.58 | 4157.00 | -0.22 |
FTSE 100 | 7860.07 | 0.20 | 7.20 | 5.48 | 7850.00 | 0.03 |
CAC 40 | 7043.31 | 0.28 | 9.15 | 8.80 | 7045.50 | N/A |
DAX | 15134.04 | 0.31 | 8.93 | 8.69 | 15173.00 | -0.20 |
IBEX 35 | 8871.10 | -0.12 | 9.35 | 7.80 | 8880.80 | N/A |
FTSE MIB | 25901.33 | 0.46 | 9.34 | 9.26 | 25895.00 | N/A |
Nikkei | 25822.32 | 1.23 | -5.04 | 0.17 | 26110.00 | 1.36 |
Hang Seng | 21746.72 | -1.16 | 10.51 | 8.66 | 21536.00 | -0.86 |
DFM General | 3333.94 | -0.09 | 0.06 | -0.15 | N/A | N/A |
MSCI Tadawoul | 10728.45 | 0.01 | 4.26 | 2.39 | N/A | N/A |
PRIOR_CLOSE_MID | CHG_PC CHG_PC CHG_PCT_ | |||||
Leb. Mrkts | Closing Px | High | Low | % Daily | % Weekly | YTD |
Solidere B | 61.75 | 61.90 | 60.80 | 2.07 | 4.22 | 2.32 |
MAIN WEEKLY EARNINGS | (Source: Nasdaq) | |||||
Company | Ticker | Market Cap | Date | Time | Estimate | Year Ago |
Morgan Stanely | MS US | $151.1 B | 17-Jan-23 | Pre-mkt | 1.25 | 2.08 |
Goldman Sachs | GS US | $123.4 B | 17-Jan-23 | Pre-mkt | 5.25 | 10.81 |
Citizens Financial | CFG US | $20.4 B | 17-Jan-23 | Pre-mkt | 1.30 | 1.26 |
United Airlines | UAL US | $15.5 B | 17-Jan-23 | After-mkt | 2.08 | -1.60 |
Interactve Brokers | IBKR US | $7.6 B | 17-Jan-23 | After-mkt | 1.16 | 0.83 |
ECONOMIC CALENDER | (Source: Forexlive) |
(17-01-23) CH- World Economic Forum - Davos
(17-01-23) DE- Harmonized Index of Consumer Prices YoY DEC
(17-01-23) GB- Average Including/Excluding Bonus (3Mo/Yr) NOV
(17-01-23) GB- ILO Unemployment Rate (3M) NOV; Claimant Count Change DEC
(17-01-23) EA- Eurogroup Meeting; ZEW Survey - Economic Sentiment JAN
(17-01-23) DE- ZEW Survey - Economic Sentiment, Current Situation JAN
(17-01-23) CA- BoC Consumer Price Index Core YoY DEC; Consumer Price Index DEC
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Banque Bemo SAL published this content on 17 January 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 17 January 2023 08:29:06 UTC.