{"id":13780,"date":"2015-06-18T04:51:24","date_gmt":"2015-06-18T04:51:24","guid":{"rendered":"http:\/\/www.icmarkets.com\/blog\/?p=13780"},"modified":"2015-06-18T04:52:05","modified_gmt":"2015-06-18T04:52:05","slug":"thursday-18th-june-european-open-briefing","status":"publish","type":"post","link":"https:\/\/ic-cn-asia.com\/blog\/thursday-18th-june-european-open-briefing\/","title":{"rendered":"Thursday 18th June: European Open Briefing"},"content":{"rendered":"<h3>\n\t<strong>Global Markets:<\/strong><br \/>\n<\/h3>\n<ul>\n<li>\n\t\tAsian stock markets: Nikkei down 0.85 %, Shanghai Composite fell 0.20 %, Hang Seng declined 0.05 %, ASX dropped 1.50 %\n\t<\/li>\n<li>\n\t\tCommodities: Gold at $1187 (+0.90 %), Silver at $16.14 (+1.20 %), WTI Oil at $60.00 (-0.55 %), Brent Oil at $63.65 (-0.05 %)\n\t<\/li>\n<li>\n\t\tRates: US 10 year yield at 2.27, UK 10 year yield at 2.07, German 10 year yield at 0.81\n\t<\/li>\n<\/ul>\n<h3>\n\t<strong>News &amp; Data:<\/strong><br \/>\n<\/h3>\n<ul>\n<li>\n\t\tNew Zealand GDP 0.2 % q\/q, Expected: 0.6 %, Previous: 0.8 %\n\t<\/li>\n<li>\n\t\tNew Zealand GDP 2.6 % y\/y, Expected: 3.0 %, Previous: 3.5 %\n\t<\/li>\n<li>\n\t\tJapan Tankan Index 14.0, Previous: 13.0\n\t<\/li>\n<li>\n\t\tChina House Prices -5.7 %, Previous: -6.1 %\n\t<\/li>\n<li>\n\t\tBoJ Policy Board Split May Dilute Monetary Stimulus &#8212; Nikkei\n\t<\/li>\n<li>\n\t\tNew Zealand FinMin English: Could Do With Lower NZ$ &#8212; CNBC\n\t<\/li>\n<li>\n\t\tGerman FinMin Sch&auml;uble: Can Only Give Aid If Greece Meets Obligations &ndash; Bild\n\t<\/li>\n<li>\n\t\tECB&rsquo;s Weidmann: Greek Default Consequences Hard To Control &#8212; Les Echos\n\t<\/li>\n<\/ul>\n<h2>\n\t<strong>FOMC Meeting:<\/strong><br \/>\n<\/h2>\n<ul>\n<li>\n\t\tFederal Reserve Keeps Rates Unchanged, As Expected\n\t<\/li>\n<li>\n\t\tFOMC: Risks To Economy And Labour Market Remains Finely Balanced\n\t<\/li>\n<li>\n\t\tFed Says Economic Activity Expanding Moderately, Pace Of Job Gains Picked Up Us\n\t<\/li>\n<li>\n\t\tFed Officials Forecast Slightly Slower Pace Of Future Interest Rate Hikes, See Slower GDP<a name=\"_GoBack\"><\/a> Growth In Short Term\n\t<\/li>\n<li>\n\t\tFed Repeats It Will Raise Rates After Further Improvement In Labour Market And When It Is &quot;Reasonably Confident&quot; Inflation Will Move Back To Its 2 % Target\n\t<\/li>\n<li>\n\t\tFed Says Inflation Continues To Run Below Target; Energy Prices Appear To Have Stabilized\n\t<\/li>\n<li>\n\t\tFed Says Underutilization Of Labour Resources Diminished Somewhat\n\t<\/li>\n<li>\n\t\tFed Repeats Risks To Economy And Labour Market Remain Nearly Balanced\n\t<\/li>\n<li>\n\t\tFed Vote In Favour Of Policy Was Unanimous\n\t<\/li>\n<li>\n\t\tFed&#39;s Yellen Says Since Last Meeting, Pace Of Job Gains Has Picked Up\n\t<\/li>\n<li>\n\t\tFed&#39;s Yellen Says Downward Pressure On Inflation Abating\n\t<\/li>\n<li>\n\t\tFed&#39;s Yellen Says Conditions For Hike Not Yet Achieved\n\t<\/li>\n<li>\n\t\tFed&#39;s Yellen Says Hike Will Depend On Incoming Data\n\t<\/li>\n<li>\n\t\tFed&#39;s Yellen Says Will Assess Hike Rates On Meeting By Meeting Basis\n\t<\/li>\n<li>\n\t\tFed&#39;s Yellen Says Importance Of Initial Hike Should Not Be Overstated\n\t<\/li>\n<\/ul>\n<h3>\n\t<strong>Markets Update:<\/strong><br \/>\n<\/h3>\n<p>\n\tThe US Dollar weakened after a rather dovish FOMC. Fed Chair Yellen said that the economy was likely strong enough to support an increase in interest rates this year, but the central bank also lowered its economic and federal funds rate forecasts. Looking at the dot charts the Fed releases, Yellen now expects only one rate hike this year vs. two rate increases previously. The FOMC made it clear once again that they are data-dependent. A rate hike in September is certainly possible, but far away from being certain.\n<\/p>\n<p>\n\tUSD bulls were hoping for some hawkish messages from the Fed that could spark further momentum in the currency&#39;s uptrend, but Yellen failed to deliver, so there was broad USD selling after the press conference was over. EUR\/USD is slowly approaching the 1.14 level. There is talk of option-related supply ahead of the level, but it is unlikely to be a major obstacle. GBP\/USD is very well bid after decent UK econ data in the past few weeks and there is no major resistance until 1.60 now. USD\/JPY under pressure and a move towards 122.00 seems likely in the near-term.\n<\/p>\n<p>\n\tMeanwhile, commodity currencies are not benefiting much from the USD weakness. NZD\/USD declined sharply after weak GDP data, which dragged the Aussie Dollar lower as well.\n<\/p>\n<h3>\n\t<strong>Upcoming Events:<\/strong><br \/>\n<\/h3>\n<ul>\n<li>\n\t\t08:30 BST &#8211; SNB Rate Decision\n\t<\/li>\n<li>\n\t\t08:30 BST &#8211; SNB Chairman Jordan speaks\n\t<\/li>\n<li>\n\t\t09:00 BST &#8211; Norges Bank Rate Decision\n\t<\/li>\n<li>\n\t\t09:00 BST &#8211; ECB Economic Bulletin\n\t<\/li>\n<li>\n\t\t09:30 BST &#8211; UK Retail Sales\n\t<\/li>\n<li>\n\t\t13:30 BST &#8211; US CPI\n\t<\/li>\n<li>\n\t\t13:30 BST &#8211; US Current Account\n\t<\/li>\n<li>\n\t\t13:30 BST &#8211; US Initial Jobless Claims\n\t<\/li>\n<li>\n\t\t15:00 BST &#8211; US Philadelphia Fed Manufacturing Index\n\t<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Global Markets: Asian stock markets: Nikkei down 0.85 %, Shanghai Composite fell 0.20 %, Hang Seng declined 0.05 %, ASX dropped 1.50 % Commodities: Gold at $1187 (+0.90 %), Silver at $16.14 (+1.20 %), WTI Oil at $60.00 (-0.55 %), Brent Oil at $63.65 (-0.05 %) Rates: US 10 year yield at 2.27, UK 10 &hellip; <a href=\"https:\/\/ic-cn-asia.com\/blog\/thursday-18th-june-european-open-briefing\/\" class=\"more-link\">Continue reading <span class=\"screen-reader-text\">Thursday 18th June: 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-13780","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/posts\/13780","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/comments?post=13780"}],"version-history":[{"count":2,"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/posts\/13780\/revisions"}],"predecessor-version":[{"id":13782,"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/posts\/13780\/revisions\/13782"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/media\/12469"}],"wp:attachment":[{"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/media?parent=13780"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/categories?post=13780"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/tags?post=13780"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}