Erik Schafhauser Zürich Erik Schafhauser Zürich Erik Schafhauser Zürich

Morning Brew February 22 2023

Morning Brew 1 minute to read
Erik Schafhauser

Senior Relationship Manager

Summary:  Strong PMI paints hawkish picture


 

Good Morning,

Due to travels, there will be no update tomorrow.

Due to rates and overall risk averseness, Equities are trading lower and US Indexes have the worst day of the year with all 3 big indexes 2% lower. A bleak outlook by Wallmart and a strong PMI in comination with fears of an escalation in Ukraine proved a bad combination.

The US500 is trading at 4000, the US30 33150 the US Tech100 12080 and the GER40 15350.

FX reacted less strongly, the USD Index remained at 104.10 EURUSD 1.0660, USDJPY is 134.70 abd Cable 1.2105. Gold and Silver are at 1836 and 21.80.

In Japan the 10 year Bond breached the 0.50 and forced the BoJ to intervene and the Central Bank o% with a hawkish outlook New Zealand raised rates by 0.5%.

Tonight we are expecting the minutes of the last Fed Meeting and it will be interesting to see if they will have a significant impact. The overall economic picture has changed a great deal since the last FOMC meeting and there is little sign of a slowdown in the US economy. The CPI is high, the nonfarm Payroll much higher than expected, the PMI shows expansion and lower earnings seem to be ignored. A hint which number the Fed is monitoring most will be interesting and may put the focus on the PCE on Friday.

Today:

Data: DE HICP, CPI, IFO, US Minutes

Earnings:   Wix, Garmin, Nvidia, Etsy,

Thursday

Data: Turkey Rate decision, US GDP, Initial Jobless Claims

Earnings:   Alibaba, Moderna, wayfair, Nikola, Wish, Beyond Meat

Friday

Data: DE GDP PCE University of Michigan

Expiries

        Physically Settled Futures

OJH3 will expire 22 Feb 2023

RCH3 will expire 22 Feb 2023

NGH3 will expire 23 Feb 2023

Expiring CFDs

NATGASUSMAR23 will expire 22 Feb 2023

TAIWAN95FEB23 will expire 23 Feb 2023

10YUSTNOTEMAR23 will expire 24 Feb 2023

30YUSTBONDMAR23 will expire 24 Feb 2023

COPPERUSMAR23 will expire 24 Feb 2023

CORNMAR23 will expire 24 Feb 2023

GASOLINEUSMAR23 will expire 24 Feb 2023

HEATINGOILMAR23 will expire 24 Feb 2023

SILVERMAR23 will expire 24 Feb 2023

SOYBEANMEALMAR23 will expire 24 Feb 2023

SOYBEANOILMAR23 will expire 24 Feb 2023

SOYBEANSMAR23 will expire 24 Feb 2023

SUGARNYMAR23 will expire 24 Feb 2023

WHEATMAR23 will expire 24 Feb 2023

 

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