Nasdaq 100: Deteriorating Market Breadth Does Not Bode Well for the Bulls

Since the publication of our previous analysis, the price actions of the US Nas 100 Index (a proxy of the Nasdaq 100 future) have continued to surge upwards towards 18,270 and 18,435 resistance levels as flagged in our report. Thereafter, the red-hot Index rocketed to print another fresh all-time high of 18,497 on last Thursday, 21 March ex-post FOMC.

Australian Dollar Slides After Weak Retail Sales Report

Australia’s retail sales slipped in February to 0.3% m/m, a sharp drop from the 1.1% gain in January and shy of the market forecast of 0.4%. Retail sales were up 1.6% y/y, which is considered weak reading given Australia’s rapid population growth.

Bitcoin Doesn't Fit the Downtrend Now

Bitcoin was rocked on Wednesday, first pushing the price above $71.8K and then dropping to $68.5K. This plunge initially confirmed the short-term downtrend, only to be broken a few hours later with the re-take of previous local highs.

Canada's Unemployment Rate Will Continue to Tick Higher Despite Job Gains

Next Friday’s employment data is expected to show job growth remained in positive territory (+25,000 from February), but again it will not be enough to keep up with surging growth in labour supply. Therefore, we forecast another tick higher in the unemployment rate to 5.9% from 5.8%—further above the 5% in January 2023.

The Weekly Bottom Line: Fed in No Rush to Cut Interest Rates

The last week of March has been fairly quiet in a holiday-shortened week. With no primary data reports published so far, attention gravitated toward Fed speeches and second-tier reports. Equity markets, such as the S&P 500, struggled for direction, but managed to push higher later in the week.

Japanese Yen Steady as Tokyo Core CPI Ticks Lower

Tokyo Core CPI, which excludes fresh food, eased to 2.4% y/y in March, a drop lower than the 2.5% gain in February and matching expectations. This inflation indicator is closely watched as it is considered a leading indicator of nationwide inflation. The Tokyo “core core” CPI index, which excludes fresh food and energy, eased to 2.9%, down from 3.1% in February.

EUR/USD Falls to Five-Week Low

The euro has edged lower on Friday. In the European session, EUR/USD is trading at 1.0782, down 0.05%.

GBP/USD: Cable Moves Within Extended Range Ahead of Key US Data

Cable remains in extended sideways mode, with a narrow range on holiday-thinned markets on Good Friday. Near-term action is ranging between 200DMA (1.2588) and thin daily cloud (spanned between 1.2634 and 1.2663), with predominantly bearish daily studies keeping the downside at risk, although the pair is still looking for stronger direction signal.

Bitcoin Fails to Surpass $71K this Week

Bitcoin’s fourth attempt to consolidate above $71K this week was unsuccessful. The Nasdaq100 also showed some downward bias, indicating a cautious attitude towards risky assets, although the S&P500 closed at another high.

Week Ahead – Rate Cut Hopes Rest on US Jobs Report and Eurozone Flash CPI

The March round of policy meetings reinforced June as the likely date when most central banks will begin cutting rates. Yet, doubts remain about whether or not inflation is on a sustainable path downwards, especially in the United States.