Daily digest market movers: Forget about the data today

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  • At 12:30 GMT some Housing data for March is set to be released:
    • Building Permits are expected to decrease to 1.514 million from 1.524 million.
    • Housing starts are expected to decline to 1.48 million from 1.521 million.
  • At 12:55 GMT the year-over-year Redbook Index for the week ending April 12 will be released. The index was at 5.4% the week of April 5.
  • At 13:15 GMT the Fed will publish the Capacity and Industrial Production numbers for March:
    • Capacity Utilization will head to 78.5% from 78.3%, according to expectations.
    • Industrial Production is seen heading to 0.4% from 0.1%.
  • A slew of Fed speakers that will try to guide the markets:
  • At 13:00 GMT, Federal Reserve Vice Chair Philip Jefferson is due to deliver a keynote speech at the International Research Forum on Monetary Policy in Washington, DC.
  • Around 16:30 GMT Federal Reserve Bank of New York President John Williams will moderate a conversation at the Economy Club of New York.
  • Near 17:15 GMT, Federal Reserve Chair Jerome Powell will enter a discussion panel with the Bank of Canada governor Tiff Macklem at the Washington Forum. 
  • Equities nosedive lower after the sharp Monday’s drop, where most of major US indexes lost their initial gains to close more than 1% lower. On Tuesday, both Europe and Asia equities slid lower by more than 1%, while US futures are looking bleak ahead of the US opening bell. 
  • According to the CME Group’s FedWatch Tool, expectations for a Fed pause in the May meeting are at 98.2%, while chances of a rate cut stand at 1.8%. Although there are calls for a rate hike, those are not being represented in the CME futures yet, and could add to substantial more US Dollar strength once the possibility starts to be priced in as a possibility.
  • The benchmark 10-year US Treasury Note trades around 4.64%. Further move upwards could even point to expectations of another rate hike before the easing cycle will start to take place. 


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