Forex News

Apple decreased to a 24-week low of 167.10 USD. Over the past 4 weeks, Apple lost 3.66%, and in the last 12 months, it increased 0.53%.

Salesforce decreased to a 13-week low of 271.58 USD. Over the past 4 weeks, Salesforce Inc lost 9.78%, and in the last 12 months, it increased 36.72%.

Colombia's leading economic indicator increased to 2.49% in February 2024 compared to the same month the previous year, marking its highest level since January 2023 and accelerating from the prior month's 1.6% increase. This growth was predominantly driven by an upswing in services (2.45% vs. 1.03% in January), while the decline in manufacturing (-2.6% vs. -4.99%) moderated. Conversely, primary industries (7.77% vs. 10.26% in January) expanded at a slower rate. In a seasonally adjusted monthly comparison, the indicator dipped by 1.57% compared to January.

The average rate on a 30-year fixed mortgage soared to 7.1% as of April 18th, 22bps above the previous week to the highest since November, according to data from Freddie Mac. The result was in line with the sharp rise in long-dated Treasury yields amid the increasingly hawkish expectations for the Federal Reserve. In the corresponding period of the previous year, the average rate on a 30-year fixed mortgage was 6.39%. “The 30-year fixed-rate mortgage surpassed 7 percent for the first time this year, jumping from 6.88 percent to 7.10 percent this week,” said Sam Khater, Freddie Mac’s Chief Economist. “As rates trend higher, potential homebuyers are deciding whether to buy before rates rise even more or hold off in hopes of decreases later in the year. Last week, purchase applications rose modestly, but it remains unclear how many homebuyers can withstand increasing rates in the future.”

In Milan, the FTSE MIB Index rose 259 points or 0.77 percent on Thursday. Leading the gains are MFE-MediaForEurope (9.03%), Prysmian (3.16%) and Banca Monte dei Paschi di Siena (3.14%). Top losers were Saipem (-1.89%), Telecom Italia (-1.84%) and Buzzi Unicem (-1.69%).

In Frankfurt, the DAX Index gained 109 points or 0.61 percent on Thursday. Gains were led by Puma (3.67%), Continental (2.94%) and Adidas (2.55%). Biggest losers were Sartorius (-15.38%), Rheinmetall (-4.09%) and Siemens Healthineers (-1.92%).

In Paris, the CAC 40 Index went up by 46 points or 0.58 percent on Thursday. Top gainers were Alstom (5.67%), Edenred (4.87%) and Schneider Electric (2.79%). Biggest losses came from WorldLine (-5.31%), Thales (-1.18%) and Sanofi (-1.10%).

The FTSE 100 edged higher on Thursday, following a 0.7% increase in the previous session driven by positive company updates. HSBC Holdings and Unilever both saw gains of around 1-1.3%, while AstraZenca rose by 0.6%. EasyJet performed well, boosted by a successful winter season, and Concord Chorus made headlines with a $1.4 billion acquisition of Hipgnosis Songs Fund. AJ Bell reported record assets under administration, while Deliveroo experienced order growth in Q1. Unfortunately, Dunelm Group missed sales expectations in Q3. In a recent BoE update, Megan Greene highlighted concerns over high wage growth and services inflation in the UK, suggesting a potential delay in interest rate cuts due to persistent inflationary pressures.

The CAC 40 rose 0.52% to close at 8,023 on Thursday, as investors processed a new wave of corporate news, while absorbing insights from key central bank figures. Edendred’s shares surged by 4.87%, buoyed by its impressive 18.8% growth in Q1 profit, surpassing market estimates. Similarly, Danone posted a solid growth of 4.1% in its quarterly sales, lifting its shares by 0.89%. Other notable gainers included Schneider Electric, up 2.79%, boosted by the Swiss competitor’s ABB rise to record highs, followed by Veolia, up 2.47%, and Societe Generale gaining 2.28%. Meanwhile, ECB official Mario Centeno underscored the institution’s commitment to tailoring monetary policy to local conditions rather than mirroring the US approach.

European stocks held early gains to close firmly higher on Thursday, trimming losses from the week as companies benefited from hopes of imminent ECB rate cuts and positive corporate results. The Stoxx 50 added 0.6% to 4,940, while the Stoxx 600 0.3% to 500. ECB policymaker Francois Villeroy de Galhau noted that it will be necessary to start the central bank’s cutting cycle soon in order to avoid falling behind the inflation curve, echoing President Lagarde’s previous comments that looser monetary policy will be appropriate should inflation continue to converge to target. Industrial stocks led the gains, with Siemens adding 2% and Schneider surging over 3%, benefitting from Swiss-Swedish ABB’s strong operations guidance. Banks also closed firmly higher, with Santander jumping by 2.1%, while BNP Paribas, UniCredit, and BBVA added close to 2%. Meanwhile, Nokia erased early losses to close 1.6% higher, despite missing estimates for its guidance.

The JSE All Share index ended a volatile session on Thursday about 0.4% higher at 73,271, halting three consecutive sessions of decreases. Investors continued to reassess their outlook on both US interest rates and geopolitical risks, while also monitoring a mixed bag of quarterly company reports across the globe. Among single stocks, Oceana led the gains, up nearly 6%, after disclosing it expects earnings to almost double after a strong first-half performance. Other top performers included Shoprite Holdings, Tsogo Sun, Sun International and Kumba Iron Ore, all rising more than 2%. On the negative side, the biggest laggards were Montauk Renewables and AngloGold Ashanti, down 2.9% and 2.5%, respectively. In business news, South Africa's precious metals miner Sibanye Stillwater said it will close its 4 Belt shaft at Marikana and shed nearly 1000 jobs as it failed to meet profitability goals.

Government bond yields are trading higher on Thursday. Top gainers are Turkey 10Y (33.50bps), Canada 10Y (4.65bps) and US 10Y (4.46bps). Biggest losers are South Korea 10Y (-8.30bps), New Zealand 10Y (-7.59bps) and South Africa 10Y (-2.60bps).

Top currency losers are Mexican Peso (-0.70%) and Brazilian Real (-0.28%). In addition, there was a slight change on Dollar Index (0.11%), Japanese Yen (-0.18%), Euro (-0.14%) and British Pound (-0.07%).

Wells Fargo increased to a 26-month high of 58.54 USD. Over the past 4 weeks, Wells Fargo gained 2.63%, and in the last 12 months, it increased 38.52%.

The Ibovespa rose by 0.7% to above the 124,900 mark on Thursday, with support from mega-cap companies, while investors considered the US Fed maintaining restrictive monetary policy for longer. The state-controlled oil giant Petrobras was among top performers with a rise in shares of 1.4% amidst ongoing volatility fueled by internal board disputes. Additionally, mining behemoth Vale also traded in positive territory with gains of 0.5% in its shares as iron ore extends its recent rally. In the meantime, Azul lost more than 5%, tracking losses for airlines after Bank of America downgraded the sector.

US natural gas futures rose more than 3% to above $1.77/MMBtu on Thursday, recovering from a 0.9% decline in the previous session, after a slightly smaller-than-expected storage build. US utilities added 50 billion cubic feet (bcf) of gas into storage last week, compared with market expectations of a 54 bcf increase. Nevertheless, gas stockpiles are 36.4% higher than the seasonal average, driven by a combination of elevated starting storage levels and a mild winter. Meanwhile, was expected to increase to 10.8 bcfd on Thursday, up from a 15-month low of 9.2 bcfd on Tuesday. On the supply side, US gas production has fallen by approximately 10% this year as energy companies like EQT and Chesapeake Energy delayed well completions and scaled back drilling activities. Looking ahead, meteorologists predict near-normal weather across the Lower 48 states until April 26, followed by above-average temperatures from April 27 to May 3.

Nike increased to a 4-week high of 95.60 USD. Over the past 4 weeks, Nike lost 3.28%, and in the last 12 months, it decreased 24.33%.

US utilities added 50 billion cubic feet (bcf) of gas into storage during the week ended April 12, 2024, compared with market expectations of a 54 bcf increase. That compares with an increase of 61 bcf in the same week last year and a five-year (2019-2023) average rise of 61 bcf for this time of year. Last week's increase lifted stockpiles to 2.333 trillion cubic feet (tcf), 424 bcf higher than last year at this time and 622 bcf above the five-year average of 1.711 tcf. At 2.333 tcf, total working gas is above the five-year historical range.

Wells Fargo increased to a 4-week high of 58.12 USD. Over the past 4 weeks, Wells Fargo gained 1.91%, and in the last 12 months, it increased 37.55%.

The dollar index bounced back from early losses to stabilize around 106 on Thursday, holding around its five-month peak. Traders digest fresh data including the initial claims and the Philadelphia Fed Manufacturing Index which continue to point to a resilient economy. At the same time, inflationary pressures are not over yet, and several policymakers including Chair Powell have been advocating that the central bank needs more confidence on the inflation and is not in a rush to cut the rates. Around 66% of investors bet the first rate cut will happen in September.