WELCOME TO SIXTUS'S BLOG : Daily Market Report

Monday, 23 May, 2016, 23:00 GMT

TOP HEADLINES
		· Japanese Trade Balance Posts 0.43T · EU Manufacturing PMI Falls to 51.5 · AU CB Leading Index Increases 0.1% m/m · US Markit Flash Manufacturing PMI Disappoints as it Contracts to 50.5

CURRENCY OUTLOOK
USD	EUR	GBP
· USD Index down to 95.21 · S&P 500 down to 2044.50 The USDX began to reverse recent bullishness as the Markit Flash Manufacturing PMI came in at 50.5. Additionally, the move lower should now be moving the USD out of overbought territory,	· EURUSD up to 1.1218 The Euro rose fractionally as EU Manufacturing and Services PMI's were posted. The two results came in at 51.1 and 53.1 respectively and capped any gains to be made from the weaker USD.	· GBPUSD down to 1.4477 The Cable continued to tumble ahead of the UK Public Sector Net Borrowing data. The result is expected to increase to 5.8B which the market could be pricing in in the lead up to the release.
CHF	JPY	AUD
· USDCHF down to 0.9893 The CHF capitalized on the weaker USD and made some modest ground. Going forward however, the pair could be set to see larger losses as a result of impending Swiss Trade Balance data which is due out shortly.	· USDJPY down to 109.21 The USDJPY slipped sharply as Japanese Trade Balance data smashed expectations and posted a 0.43T result. Additionally, Final Leading Indicators came in at 99.3	· AUDUSD down to 0.7220 The AUD had a slight dip in the lead up to RBA Governor Stevens' announcements. However, the falling USD helped to limit losses as sentiment turned on the AUD.
NZD	CNY	XAU
· NZDUSD down to 0.6737 The NZD faltered as NZ Trade Balance and Export figures draw nearer. The results are predicted to come in softer than the last release and this is being priced in.	· USDCNY up to 6.5566 The Yuan slid as questions over China's future growth were once again raised. This time, focus was on the nations lagging investment into infrastructure development.	· XAUUSD down to 1248.83 Gold fell for a fourth consecutive session despite reducing USD Sentiment. Consequently, the metal will be awaiting US employment data due out shortly.