US futures rose during the Asian session as the market cheered a great quarter by Apple. The company’s revenue rose by 9% in the fourth quarter to $91.82 billion. This growth was driven by booming sales of devices and services. iPhone sales, which account for more than half of its earnings rose by 8% to $55.96 billion. According to Tim Cook, the company expects sales to remain robust this year. However, the company warned that the spreading coronavirus could have some negative implications. Apple’s stock has more than doubled in the past 52 weeks. The market will receive additional earnings today from companies like ADP, AT&T, Anthem, Banco Santander, Corning, and Invesco among others.
The Australian dollar rose today after some positive data from Australia. CPI data released by the Australia Bureau of Statistics showed that CPI in the fourth quarter rose by 0.7%. This was higher than the previous 0.5% and the consensus estimates of 0.6%. The CPI rose by an annualised rate of 1.8% after rising by 1.7% in the third quarter. The trimmed mean CPI remained unchanged at 1.6% while the weighted mean CPI rose slightly to 1.3% from the previous 1.2%. The Aussie has had a rough January as the markets remain worried about the weakness in China.
The US dollar was relatively unchanged during the Asian session. This is probably because the market is still waiting for the Fed to release its first rates decision for the year. The Fed is expected to leave rates unchanged at 1.75%. The Fed chair could also tweak the statement to point whether he will cut or hike rates later this year. The market will receive the pending home sales data ahead of the rates decision. The pending home sales are expected to have fallen from 1.2% in November to 0.5% in December. The numbers will come a day after the market received mixed December durable goods orders data. Meanwhile, data from the Congressional Budget Office said that US national debt will increase by 98% by 2030. This is because the budget deficit is expected to increase by $1 trillion every year.
EUR/USD
The EUR/USD pair was relatively unchanged during the Asian session. The pair is trading at 1.0998, which was the lowest level since November 28. The price is below the 14-day and 28-day exponential moving averages. The RSI has moved from the oversold level of 28 to the current 36. The pair will likely remain at the current support level ahead of the FOMC decision.
XBR/USD
The XBR/USD pair rose slightly as the market reacted to news that OPEC was talking about more supply cuts. The pair is trading at 59.45, which is slightly higher than yesterday’s low of 57.70. It has also filled the gap that was formed on Friday. The short and medium-term moving averages appear to be making a bullish crossover. The RSI has also emerged from the oversold level of 18 to the current 45. The pair will likely begin a new upward trend as a new month starts.
AUD/NZD
The AUD/NZD pair rose today to a high of 1.0368. This was a significant rise after the pair bottomed at 1.0305 on Monday. The price is along the upper line of the Bollinger Bands. It is also between the 38.2% and 50% Fibonacci Retracement level. The RSI has also been moving on an upward trend. The pair may continue moving higher following positive data from Australia.
