Morning wrap (22.02.2024)

• Sentiments in the Asia-Pacific markets today were characterized by bullish enthusiasm. Japan, in particular, performed well, with the Nikkei 225 index reaching new historical highs. The Chinese Hang Seng gained 0.61%, and the China A50 added 0.24%. Indian indices, however, faced downward pressure.
• European futures indicate a higher opening for the trading session on the Old Continent.
• The bullish turn at the end of yesterday's Wall Street session was fueled by better-than-expected financial results from Nvidia. Futures based on individual U.S. benchmarks suggest a higher opening for today's U.S. session.
• Nvidia shares alone rose by over 9% after the closing of the Wall Street cash session.
• Key events of the day include: PMI data for February, the HICP inflation report in the Eurozone, CBRT's decision on interest rates, ECB Minutes, U.S. unemployment benefit data, U.S. oil and gas inventory changes, and numerous speeches by Fed bankers.
• Bank of Japan Governor Ueda states that inflation in Japan is rising and will make appropriate monetary policy decisions. A Reuters survey indicates that 83% of polled analysts expect BOJ to end negative interest rates in April.
• Japanese preliminary PMI for February: Manufacturing 47.2 (previously 48.0).
• On Thursday, Federal Reserve members, including Jefferson, Harker, Kashkari, Cook, and Waller, are scheduled to speak.
• China prohibits major financial institutions from selling stocks at the open and close of sessions.
• Private API surveys on changes in oil inventories show a much larger build than expected.
• RBNZ announces that household 2-year inflation expectations have risen to 3.2% (previously 3.0%).
• RBNZ announces that The New Zealand Dollar and the Australian Dollar are currently the best-performing currencies in the FX market. The U.S. Dollar and the Japanese Yen are currently under downward pressure. 2-year inflation expectations have risen to 3.2% (previously 3.0%).
• Cryptocurrencies are experiencing slight gains early in the day. Bitcoin returns above the $51,500 level, and Ethereum rises above $2,900.

The EURUSD pair is currently testing a crucial resistance structure defined by the convergence of the 50-day and 100-day exponential moving averages (shown as the blue and purple curves on the chart). Source: xStation.