Asian Markets Remain Quiet, FOMC Rate Decision On Tap

December 14, 2010 8:31 AM CET

G10 Avanços e Recuos vs USD NOK 0.36 SEK 0.23 DKK 0.22 EUR 0.19 AUD 0.06 JPY 0.03 CAD -0.06 GBP -0.15 CHF -0.17 NZD -0.60 Índices Globais Nível Actual % Alteração Nikkei 225 Index 10'316.77 + 0.22 Hang Seng Index 23'378.16 + 0.26 Shanghai Index 2'924.13 + 0.04 FTSE 100 Index 5'860.75 + 0.82 DAX Index 7'029.39 + 0.33 SMI Index 6'519.08 0.00 S&P future 1'236.80 + 0.05 Mercados Mundiais Nível Actual % Alteração Gold 1'404.15 + 0.72 Silver 29.83 + 1.04 VIX 17.55 - 0.34 Crude wti 88.52 - 0.10 USD Index 79.24 - 0.15 Calendário de Hoje Estimativas Anterior País / GMT CPI inflation, % m/m (y/y) Nov 0.3 (3.2) 0.3 (3.2) GBP/09:30 Germany: ZEW economic expectations index Dec 3.9 1.8 EUR/10:00 Industrial production, % m/m (y/y) Oct 1.3 (7.8) -0.8 (5.4) EUR/10:00 Retail sales, % m/m Nov 0.6 1.2 USD/13:30 PPI, % m/m (y/y) Nov 0.6 (3.3) 0.4 (4.3) USD/13:30 Business inventories, % m/m Oct 1.0 0.9 USD/15:00 FOMC rate decision, % Dec 0.00-0.25 0.00-0.25 USD/19:15 Suportes & Resistências R 2: 1.3635 R 1: 1.3450 EURUSD: 1.3415 S 1: 1.3375 S 2: 1.3165 R 2: 85.40 R 1: 84.40 USDJPY: 83.45 S 1: 83.10 S 2: 82.35 R 2: 1.6000 R 1: 1.5950 GBPUSD: 1.5880 S 1: 1.5840 S 2: 1.5750 AUDUSD R 2: 1.0100 R 1: 0.9985 CURRENT: 0.9960 S 1: 0.9835 S 2: 0.9750 Resumo do Mercado The US Dollar continued to trade weaker against currencies and commodities after China held interest rate hike and positive sentiment of growth in US propped up markets. Asian markets were mixed after Japan cut 5% in the nation’s corporate tax rate to help support the economy and the Yen strengthened on the outlook for overseas earnings, reducing exporter value. Nikkei traded 0.07% up, Hang Seng traded 0.08% up while Shanghai Composite traded 0.02% down at the time of writing as energy and financial shares declined in China as the government supported the software and IT services industry. The USDJPY traded near a one-week low of 83.47, EURUSD has been trading strong at 1.3390 after reaching a high of 1.3434 yesterday as Fed plans to increase the debt purchases beyond $600 Billion while AUDNZD traded at a 10 year high at 1.3287 after New Zealand retail sales dropped 2.5%, the most since 1997. The Fed’s plan to increase the current QE plan is due to the rising unemployment figures and sluggish inflation and in an effort to boost recovery in the struggling economy. The Dollar also continued to be weaker on speculation that the retail sales rose 0.6% last month as spending is improving while wholesale costs expected to rise 0.6%. The Euro could also see some movements today after Germany releases investor confidence figures today with the German ZEW Survey pointing towards a positive figure. Although most of the attention has been diverted to today’s US retail sales and the FOMC rate decision, we have UK inflation reports and retail price index as well as EU industrial production and German investor confidence figures coming up before the US session. Focus would mostly be on Fed Chairman Bernanke’s accompanying statement on any further QE expansion.