Sanders Takes New Hampshire | Eurozone Industrial Production Falls Most in Four Years
Published February 12, 2020
The New Hampshire primary results showed Bernie Sanders pulling out a narrow win, while Joe Biden’s campaign appears to be in freefall. Moderate candidate Pete Buttigieg finished only a percentage-point back of the democratic-socialist Sanders, as the race between the moderate and more progressive arms of the Democratic party looks to be heating up. The fight for the Democratic nomination is going to be watched closely by markets down the stretch, as a nomination for Sanders or another far-left candidate is expected to weigh on risk assets.
Eurozone industrial output fell 2.1% from last month, its biggest contraction since 2016. The fall was driven by a massive drop in capital goods output and is in line with a similarly poor reading out of Germany last week. The euro is down against most of the majors (except the yen), but the losses against the US dollar are muted as overall positive market sentiment is weighing on the greenback.
The Canadian dollar is at one-week highs today as a rebound in oil prices and weaker US dollar have helped turn the loonie’s fortunes. With little on the Canadian economic calendar this week, the loonie seems to be ebbing and flowing with the overall market sentiment. The latest swing in sentiment stems from China reporting the fewest daily number of new coronavirus cases since late January, ignited hopes that China and its economy will begin to recover.