investingLive Americas FX information wrap 18 Aug: Zelenskyy/EU leaders meet with Trump

• US shares shut the day close to unchanged
• Trump: We’ll attempt to work out trilateral with US, Ukraine, and Russia
• Fox Information Heinrich: No expectation that in the present day wraps up with a date for trilateral summit
• Trump:Progress is being made.There may be risk of one thing popping out of Putin assembly
• Ukraine’s Zelenskyy arrives on the White Home. Peace is at stake
• European shares closed principally decrease. The UK’s FTSE 100 rises modestly
• Zelenskiy: Giving up territory to Russia can be unattainable
• Trump: I am right here to cease it (the warfare), to not prosecute it any additional
• Zelenskiy: Russia can solely be pressured into peace by energy
• NAHB housing market index 32 versus 34 expectations
• Trump on Fact Social: We’ll see return of remaining hostages as soon as Hamas is destroyed
• Canada securities transactions overseas for June $9.04 billion.versus $13.37B final month
• Canada housing begins for July 2 94.1 Ok versus 265.Zero Ok estimate.
• The USD is little modified to begin the brand new buying and selling day.
• investingLive European session wrap: Greenback regular amid tepid market temper, cryptos retreat

The geopolitical highlight was on Washington in the present day as Ukrainian President Volodymyr Zelenskyy and numerous EU leaders arrived in on the White Home to evaluation the Russia–Ukraine warfare within the wake of final Friday’s Putin–Trump assembly. Consideration shifted towards the European facet, the place leaders are urgent for U.S. safety ensures. Reviews counsel Putin is demanding retention of seized territory and is unlikely to just accept agency U.S. ensures. The Trump administration has signaled that Europe will shoulder a lot of the protection burden—with the U.S. offering restricted assurances and providing to produce protection gear. The scope of U.S. help, nonetheless, stays unsure.

Hopes for a trilateral summit involving the U.S., EU, and Russia stay on the desk, however there isn’t a assure it can materialize. Likewise, expectations for a cease-fire are muted till a broader settlement is reached.

On the financial entrance, the U.S. calendar was mild with solely the NAHB Housing Market Index launched. The index slipped to 32 from 34, tying the third-lowest studying since 2012—ranges solely seen in April 2020 and December 2022. The decline displays elevated mortgage charges, weak home-buyer visitors, and supply-side pressures. Whereas U.S. charges have eased modestly over the previous week, mortgage prices stay excessive, with the 30-year charge ranging between 6.53% and seven.04% over the previous 12 months.

Trying forward, the principle financial occasion this week would be the launch of the FOMC minutes on Wednesday afternoon, adopted by Chair Powell’s keynote at Jackson Gap on Friday at 10 a.m. ET. Powell has been notably silent because the newest U.S. jobs report, and markets have scaled again expectations of a September charge minimize from 100% to 83%. Latest Fed commentary has been combined: Bowman and Waller stay dovish, whereas Barkin, Daly, Goolsbee, Kashkari, Musalem, and Schmid have adopted a extra noncommittal stance, leaving coverage course unsure.

The USD is ending the day principally increased

• EUR: +Zero.27%

• JPY: +Zero.45%

• GBP: +Zero.37%

• CHF: +Zero.07%

• CAD: -Zero.10%

• AUD: +Zero.20%

• NZD: +Zero.02%

The largest mover was the USDJPY with a lot of the positive aspects occurring earlier than the US session. The par did prolong to a brand new excessive within the first few hours of buying and selling, however backed off into the European session and into the US afternoon. At session highs, the worth prolonged to the 100-bar MA at 147.908, the place sellers leaned on the check. The pair is buying and selling at 147.86 going into the shut with the 100-bar MA establishing as a key degree for each consumers and sellers within the new day.

The EURUSD and the GBPUSD moved decrease and is closing close to the lows for the day.

• For the EURUSD, it fell to the 100 hour MA close to 1.1663, falling to a low of 1.16155, however momentum pale and the worth is buying and selling proper on the 200-hour MA going into the shut.
• For the GBPUSD, it fell under its 100-hour MA at 1.3545, and stretched towards the 200-hour MA at 1.3484, however is having some stall on the pure help at 1.3500. Within the new buying and selling day, that MA will likely be in play. Transferring under will likely be extra bearish.

The opposite foreign money pairs are inside Zero.20% from the closing degree on Friday.

Within the US inventory market, the three main indices have been little modified.

• Dow industrial common fell -Zero.08%
• S&P index fell -Zero.01%
• NASDAQ index rose Zero.03%

within the US debt market, yields are modestly increased:

• 2 12 months yield three.769%, +1.Zero foundation factors
• 5-year yield three.850%, +Zero.5 foundation factors.
• 10 12 months yield four.335%, +Zero.7 foundation factors
• 30 12 months yield four.935%, +1.1 foundation factors

This text was written by Emma Wang at investinglive.com.