{"id":21278,"date":"2017-05-24T09:22:02","date_gmt":"2017-05-24T03:52:02","guid":{"rendered":"http:\/\/www.icmarkets.com\/blog\/?p=21278"},"modified":"2017-05-24T09:22:02","modified_gmt":"2017-05-24T03:52:02","slug":"wednesday-24th-may-european-open-briefing","status":"publish","type":"post","link":"https:\/\/icm-cn-asia.com\/blog\/wednesday-24th-may-european-open-briefing\/","title":{"rendered":"Wednesday 24th May: European Open Briefing"},"content":{"rendered":"<h4>\n\t<strong>Global Markets:<\/strong><br \/>\n<\/h4>\n<ul>\n<li>\n\t\tAsian stock markets: Nikkei up 0.55 %, Shanghai Composite fell 0.40 %, Hang Seng declined 0.15 %, ASX 200 gained 0.05 %\n\t<\/li>\n<li>\n\t\tCommodities: Gold at $1251 (-0.30 %), Silver at $16.98 (-0.90 %), WTI Oil at $51.60 (+0.20 %), Brent Oil at $54.25 (+0.20 %)\n\t<\/li>\n<li>\n\t\tRates: US 10-year yield at 2.28, UK 10-year yield at 1.08, German 10-year yield at 0.41\n\t<\/li>\n<\/ul>\n<h4>\n\t<strong>News &amp; Data<\/strong><br \/>\n<\/h4>\n<ul>\n<li>\n\t\tJapan Reuters Tankan Index May: 24 (prev 26)\n\t<\/li>\n<li>\n\t\tAustralian Construction Work Done (QoQ) Q1: -0.7% (exp -0.5%; prev -0.2%)\n\t<\/li>\n<li>\n\t\tNew Zealand Trade Balance (MoM) (NZD) Apr: 578M (prev 332M)\n\t<\/li>\n<li>\n\t\tNew Zealand Trade Balance (YoY) (NZD) Apr: -3.481B (prev -3.67B)\n\t<\/li>\n<li>\n\t\tNew Zealand Exports (NZD) Apr: 4.75B (prev 4.65B)\n\t<\/li>\n<li>\n\t\tNew Zealand Imports (NZD) Apr: 4.17B (prev 4.31B)\n\t<\/li>\n<li>\n\t\tFed&rsquo;s Harker: Repeats Support for Shedding Bonds This Year and Two More Rate Hikes This Year\n\t<\/li>\n<li>\n\t\tFed&rsquo;s Harker: Labour Market Has Very Little Slack Left\n\t<\/li>\n<li>\n\t\tFed&#39;s Harker: Fed Will Adjust Pace of Rate Hikes If Needed\n\t<\/li>\n<li>\n\t\tFed&#39;s Harker: June Rate Hike &#39;A Distinct Possibility&#39;\n\t<\/li>\n<\/ul>\n<h4>\n\t<strong>Markets Update:<\/strong><br \/>\n<\/h4>\n<p>\n\tMarkets were surprised by a downgrade of China&rsquo;s credit rating by Moody&rsquo;s. The rating agency lowered China&rsquo;s rating from A1 to AA3 and the outlook from &ldquo;stable&rdquo; to &ldquo;negative&rdquo;. This put stocks in Asia under pressure, especially in Shanghai and Hong Kong.\n<\/p>\n<p>\n\tThe announcement had also an effect on the FX market. The Australian Dollar declined, as Australia&rsquo;s economy is quite sensitive to developments in China. AUD\/USD fell from 0.7480 to a low of 0.7480. The breakout in the pair now looks like a false one, and losses could extend to 0.7380, where the next notable support level lies.\n<\/p>\n<p>\n\tThis put also some pressure on the New Zealand Dollar, which fell despite better than expected trade data, which showed a solid increase in exports. NZD\/USD declined from 0.7040 to 0.70.\n<\/p>\n<p>\n\tThe Euro retraced some of the recent gains, amid broad USD strength in the market. A break below 1.1170 support would indicate that EUR\/USD could fall back to 1.11 soon.\n<\/p>\n<p>\n\tThis evening, the Federal Reserve will publish its latest meeting minutes. The central bank is likely to signal a rate hike in June. Given that the market is already expecting that, the release will likely be a non-event.\n<\/p>\n<h4>\n\t<strong>Upcoming Events:<\/strong><br \/>\n<\/h4>\n<ul>\n<li>\n\t\t13:45 BST &#8211; ECB President Draghi speaks\n\t<\/li>\n<li>\n\t\t15:00 BST &#8211; US Existing Home Sales\n\t<\/li>\n<li>\n\t\t15:00 BST &#8211; Bank of Canada Rate Decision\n\t<\/li>\n<li>\n\t\t15:30 BST &#8211; US Crude Oil Inventories\n\t<\/li>\n<li>\n\t\t19:00 BST &#8211; FOMC Meeting Minutes\n\t<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Global Markets: Asian stock markets: Nikkei up 0.55 %, Shanghai Composite fell 0.40 %, Hang Seng declined 0.15 %, ASX 200 gained 0.05 % Commodities: Gold at $1251 (-0.30 %), Silver at $16.98 (-0.90 %), WTI Oil at $51.60 (+0.20 %), Brent Oil at $54.25 (+0.20 %) Rates: US 10-year yield at 2.28, UK 10-year &hellip; <a href=\"https:\/\/icm-cn-asia.com\/blog\/wednesday-24th-may-european-open-briefing\/\" class=\"more-link\">Continue reading <span class=\"screen-reader-text\">Wednesday 24th May: European Open Briefing<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":12469,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-21278","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/icm-cn-asia.com\/blog\/wp-json\/wp\/v2\/posts\/21278","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/icm-cn-asia.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/icm-cn-asia.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/icm-cn-asia.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/icm-cn-asia.com\/blog\/wp-json\/wp\/v2\/comments?post=21278"}],"version-history":[{"count":1,"href":"https:\/\/icm-cn-asia.com\/blog\/wp-json\/wp\/v2\/posts\/21278\/revisions"}],"predecessor-version":[{"id":21279,"href":"https:\/\/icm-cn-asia.com\/blog\/wp-json\/wp\/v2\/posts\/21278\/revisions\/21279"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/icm-cn-asia.com\/blog\/wp-json\/wp\/v2\/media\/12469"}],"wp:attachment":[{"href":"https:\/\/icm-cn-asia.com\/blog\/wp-json\/wp\/v2\/media?parent=21278"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/icm-cn-asia.com\/blog\/wp-json\/wp\/v2\/categories?post=21278"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/icm-cn-asia.com\/blog\/wp-json\/wp\/v2\/tags?post=21278"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}