FXEMPIRE
All
Ad
Corona Virus
Stay Safe, FollowGuidance
World
96,027,401Confirmed
2,049,769Deaths
68,692,236Recovered
Fetching Location Data…
Advertisement
Advertisement
Bob Mason
List of stock market indices

Economic Calendar:

Monday, 11th January

ECB President Lagarde Speaks

Wednesday, 13th January

ECB President Lagarde Speaks

Advertisement
Know where the Market is headed? Take advantage now with 

75% of retail CFD investors lose money

Eurozone Industrial Production (MoM) (Nov)

Thursday, 14th January

ECB Monetary Policy Meeting Minutes

Friday, 15th January

French CPI (MoM) (Dec) Final

French HICP (MoM) (Dec) Final

Spanish CPI (YoY) (Dec) Final

Spanish HICP (YoY) (Dec) Final

Eurozone Trade Balance (Nov)

Advertisement

The Majors

It was a bullish end to the week for the European majors on Friday. The CAC40 and EuroStoxx600 rose by 0.66% and by 0.65% respectively, with the DAX30 gaining 0.58%.

Economic data from Germany coupled with hopes of further U.S stimulus supported demand for riskier assets.

While Germany’s trade surplus narrowed, both imports and exports rose by more than expected in November.

Coupled with a rise in factory orders and industrial production and a pickup in manufacturing sector activity, the stats painted a positive outlook.

From the U.S, disappointing economic data had a muted impact on the majors.

The Stats

It was a relatively busy day on the economic calendar. German industrial production and trade figures, together with French consumer spending were in focus.

In November, industrial production rose by 0.9%, following a 3.4% jump in October. Economists had forecast a 0.7% increase.

According to Destatis,

  • Production in industry excluding energy and construction rose by 1.2%.
  • Within industry, the production of intermediate goods increased by 2.4%, with the production of capital goods up by 1.3%.
  • The production of consumer goods fell by 1.7%.
  • Outside of industry, energy production was down by 3.9%, while the production in construction increased by 1.4%.
  • Compared with February 2020, production in November was 3.8% lower.

Germany’s trade surplus narrowed from €18.2bn to €16.4bn in November.

According to Destatis,

  • Exports were up 2.2%, and imports 4.7% on October 2020.
  • Germany exported goods to the value of €111.7bn and imported goods to the value of €94.6bn compared with Nov-19.
  • Compared with Nov-19, exports declined by 1.3%, and imports by 0.1%.
  • Exports to EU countries fell by 1.7%, while imports grew by 2.6%, compared with Nov-19.
  • To Euro area countries, exports fell by 2.2%, while imports from Euro countries rose by 0.5%.
  • Exports to non-EU countries fell by 0.9% compared with Nov-19, with imports sliding by 3.2%.
  • Compared with Nov-19, exports to the UK increased by 6.6%, while imports from the UK slid by 9.7%.

From France, consumer spending disappointed, with spending tumbling by 18.9%. In October, spending had risen by 3.9%.

According to Insee.fr,

  • Purchases of manufactured goods slumped by 30.1%.
  • Spending on textile-clothing more than halved. A 53% fall was attributed to a slump in spending on clothing & footwear.
  • Energy expenditure slid by 19.2%, with food consumption falling by a more modest 5.8%.
  • Compared with November 2019, household consumption expenditure on goods was 17.1% lower.

From the Eurozone, unemployment figures for the Eurozone provided support, with the unemployment rate falling from 8.4% to 8.3%.

According to Eurostat, the Eurozone’s unemployment rate had stood at 7.4% in November 2019.

From the U.S

It was a busy day on the economic calendar, with nonfarm payrolls in focus.

In December, nonfarm payrolls fell by 140K in December, partially reversing a 336k rise from November.

In spite of the decline, the unemployment rate held steady at 6.7%, with the participation rate holding steady at 61.5%.

A sharp pickup in hourly earnings was of little comfort at the end of the year. In December, average hourly earnings rose by 0.8%, following a 0.3% increase in November.

The Market Movers

For the DAX: It was a mixed day for the auto sector on Friday. BMW and Volkswagen fell by 1.11% and by 1.28% respectively, with Daimler declining by 0.31%. Continental bucked the trend, however, rising by 0.93%.

It was also a mixed day for the banks. Deutsche Bank rose by 0.17%, while Commerzbank slid by 4.24%.

From the CAC, it was a bearish day for the banks. BNP Paribas and Soc Gen slid by 2.21% and by 2.01% respectively, with Credit Agricole declining by 0.74%.

It was also a bearish day for the French auto sector. Peugeot fell by 2.17%, with Renault sliding by 4.00%.

Air France-KLM fell by 1.0%, while Airbus SE bucked the trend, rising by 0.54%.

On the VIX Index

It was a 4th consecutive day in the red the VIX on Friday, marking a 6th day in the red from 7 sessions. Following on from a 10.77% slide on Thursday, the VIX fell by 3.62% to end the day at 21.56.

The NASDAQ rallied by 1.03%, with the Dow and the S&P500 rising by 0.18% and by 0.55% respectively.

The Day Ahead

It’s a quiet busy day ahead on the economic calendar, with no material stats due out of the Eurozone to provide direction.

There are also no material stats due out of the U.S to provide the majors with direction late in the session.

The lack of stats will leave the majors in the hands of COVID-19 news and updates from Capitol Hill.

While the Democrats look to oust President Trump, any chatter on further stimulus would support the majors.

On the monetary policy front, ECB President Lagarde is also scheduled to speak. Expect any forward guidance ahead of the monetary policy meeting minutes on Thursday to also influence.

The Futures

In the futures markets, at the time of writing, the Dow Mini was down by 113 points, while the DAX was up by 11 points.

For a look at all of today’s economic events, check out our economic calendar.

Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Trade With A Regulated Broker

  • Your capital is at risk
IMPORTANT DISCLAIMERS
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
RISK DISCLAIMER
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.
FOLLOW US