Forexlive European FX news wrap 13 Aug – UK jobs data beats estimates

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  • US July NFIB small business optimism index 93.7 vs 91.5 prior
  • The risk mood continues to hold up, eyes on US PPI data later
  • Germany August ZEW survey current conditions -77.3 vs -75.0 expected
  • IEA makes no change to 2024 world oil demand growth forecast in latest report
  • European equities open on a more positive note as risk mood breathes easier for now
  • Spain July final CPI +2.8% vs +2.8% y/y prelim
  • What are the main events for today?
  • Eurostoxx futures +0.2% in early European trading
  • Japan’s Nikkei extends recovery bounce, closes above 36,000
  • UK June ILO unemployment rate 4.2% vs 4.5% expected
  • FX option expiries for 13 August 10am New York cut
  • UK labour market report in focus in the session ahead
  • USD/JPY stays in recovery mode for now, eyes on US data later

Markets:

  • NZD leads, JPY lags on the day
  • European equities lower;
    S&P 500 futures +0.16%
  • US 10-year yields down 13 bps to 3.902%
  • Gold
    down 0.35% to $2,463
  • WTI
    crude up 0.24% to $79.84
  • Bitcoin
    down 0.97% to $58786

The main
highlight in the European session was the release of the UK jobs report where
we saw a notable improvement in the unemployment rate although the data
continues to suffer from reliability issues.

We’ve also
got the German ZEW survey which surprised to the downside posting the biggest
decline in the past two years. In contrast, the situation indicator for the
eurozone improved marginally.

The focus
will now switch to the US PPI figures and Fed’s Bostic, but the main event
comes tomorrow when we will get the US CPI report.

This article was written by Giuseppe Dellamotta at www.forexlive.com.



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