Banque Bemo L : Daily Markets Brief

Daily Market Brief

June 9th 2023

FOREIGN EXCHANGE MARKETS

(Sources: Bloomberg / Forexlive)

EURUSD

EUR/USD remains sidelined near 1.0780-75 as it consolidates the biggest daily jump since March heading into Friday's European session. In doing so, the Euro pair portrays the market's sluggish momentum amid a light calendar and positioning for the next week's top-tier data/events. Additionally, trader's recheck of the previous concerns about the European Central Bank (ECB) and the Federal Reserve (Fed) concerns also prod major currency pair buyers of late.

GBPUSD

GBP/USD buyers take a breather at the highest level in one month, making rounds to 1.2550 during early Friday morning in Europe. In doing so, the Cable bulls pause after posting the biggest daily gain since early March the previous day.

USDJPY

USD/JPY stays sidelined near 139.00 as Tokyo opens for Friday's trading, after witnessing a slump in the Yen pair the previous. In doing so, the risk-barometer pair justifies the market's mixed concerns amid mostly downbeat US data and bond market optimism. The same results in the receding hawkish Fed concerns and weigh on the USD/JPY price ahead of the market's consolidation amid a light calendar and cautious mood before the next week's US (CPI) and the (FOMC) monetary policy meeting.

INTERNATIONAL EQUITY MARKETS

(Sources: Bloomberg / Reuters)

UNITED STATES OF AMERICA

U.S. stocks closed higher on Thursday regaining some of their momentum thanks to a rebound by technology stocks, while volatility dropped to record lows ahead of an eventful economic and policy calendar next week. US weekly jobless claims rise.

EUROPE

European shares were subdued on Thursday as rate-sensitive technology shares and consumer staples slipped on expectations of further interest rate hikes by major central banks, while a sharp slide in Vodafone shares weighed on the telecoms sector.

ASIA

Japan's Nikkei share average rose on Friday after declining for two sessions from a 33-year peak, as fixing of the special quotation price relieved investors.

MUST READ

(Source: Bloomberg/ Forexlive)

World Bank offers dim outlook for the global economy

The global economy is likely slowing sharply this year, hobbled by high interest rates, the repercussions of Russia's invasion of Ukraine and the lingering effects of the coronavirus pandemic. That's the latest outlook of the World Bank, a 189- country anti-poverty agency, which estimates that the international economy will expand just 2.1% in 2023 after growing 3.1% in 2022. Speaking to reporters, Indermit Gill, the World Bank's chief economist, called the latest findings "another gloomy report." The bank, he said, expects "last year's sharp and synchronized slowdown to continue to this year into a sharp slowdown. "By the end of next year, a third of the developing world will not meet the per-capita income level that they had at the end of 2019," he said. Still, the bank's latest Global Economic Prospects report marks an upgrade from its previous forecast in January. That estimate had envisioned worldwide growth of just 1.7% this year. The Fed and other major central banks have been aggressively raising interest rates to combat a resurgence of inflation, set off by a stronger-than- expected rebound from the pandemic recession, persistent supply shortages and energy and food price shocks caused by the Ukraine war. But the global economy has proved surprisingly resilient in the face of higher borrowing costs, and the World Bank predicts that growth will accelerate to 2.4% in 2024. The U.S. has continued to generate unexpectedly robust job gains - employers added 339,000 workers in May, far more than economists had forecast - even though the Fed has raised its benchmark rate 10 times in the past 15 months. In its report, the World Bank upgraded its forecast for U.S. economic growth this year to 1.1%. Though weak, that is more than double the growth the World Bank had envisioned in January.

Fx rates	Last	High	Low	% Daily	% Weekly	% YTD
EUR-USD	1.0780	1.0785	1.0775	-0.02	0.67	0.70
GBP-USD	1.2552	1.2564	1.2545	-0.06	0.80	3.88
USD-JPY	139.36	139.38	138.76	0.32	0.40	-5.91
USD-CHF	0.8994	0.8999	0.8986	0.04	1.08	2.79
Commodities	Last	High	Low	% Daily	% Weekly	% YTD
Silver	24.28	24.36	24.22	0.19	2.87	1.38
Crude Oil	70.77	71.17	70.68	-0.73	-1.35	-11.35
Bitcoin	26490.63	26652.57	26299.21	-0.58	-2.79	60.17
Etherium	1837.95	1854.20	1828.10	-0.83	-3.50	53.24
Period		1 M	3 M			12 M
EURIBOR		3.27	3.46			3.92
* 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		4.52	3.73			3.89
BTP - BUND		0.66	1.78			1.93
GILTS		4.50	4.23			4.49
Index	Close	% Daily	% M	YTD	Futures	% Change
S&P	4293.93	0.62	4.24	11.84	4294.75	-0.10
Nasdaq	13238.52	1.02	8.69	26.48	14504.50	-0.01
DJ EuroStoxx50	4297.68	0.13	-0.59	13.29	4309.00	0.16
FTSE 100	7599.74	-0.32	-2.12	1.99	7618.00	0.15
CAC 40	7222.15	0.27	-2.37	11.56	7223.00	N/A
DAX	15989.96	0.18	0.22	14.84	16016.00	0.06
IBEX 35	9338.30	-0.23	1.69	13.48	9337.30	N/A
FTSE MIB	27275.04	0.81	-0.40	15.05	27303.00	N/A
Nikkei	31641.27	1.74	10.09	23.37	32150.00	1.74
Hang Seng	19299.18	0.22	-2.65	-2.23	19313.00	0.32
DFM General	3687.63	0.00	3.26	10.54	N/A	N/A
MSCI Tadawoul	11397.14	0.21	0.81	8.77	N/A	N/A
	PRIOR_CLOSE_MID		CHG_PC CHG_PC CHG_PCT_
Leb. Mrkts	Closing Px	High	Low	% Daily	% Weekly	YTD
Solidere B	82.50	82.50	82.50	1.85	-1.49	36.70
		MAIN WEEKLY EARNINGS	(Source: Nasdaq)
Company	Ticker	Market Cap	Date	Time	Estimate	Year Ago
NIO Inc.	NIO US	$13.2 B	09-Jun-23	Pre-mkt	-0.22	-0.18
Oracle Corporatio	ORCL US	$265.4 B	12-Jun-23	After-mkt	1.31	1.31
Adobe Inc.	ADBE US	$191.8 B	15-Jun-23	After-mkt	3.00	2.70
Kroger Company	KR US	$35.5 B	15-Jun-23	Pre-mkt	1.41	1.45
Jabil Inc.	JBL US	$11.2 B	15-Jun-23	Pre-mkt	1.76	1.52
		ECONOMIC CALENDAR	(Source: Forexlive)

(09-06-23) EA- ECB's De Guindos speech

(09-06-23) CA- Unemployment Rate MAY; Net Change in Employment MAY

(09-06-23) CA- Participation Rate MAY; Average Hourly Wages YoY MAY

(13-06-23) GB- ILO Unemployment Rate (3M) APR; Claimant Count Change MAY

(13-06-23) DE- Harmonized Index of Consumer Prices YoY MAY

(13-06-23) EA- ZEW Survey - Economic Sentiment JUN

(13-06-23) DE- ZEW Survey - Current Situation, Economic Sentiment JUN

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