Further Slump on Markets as August Begins

August 4, 2014

Last Friday world financial markets closed with a slump of major indices. The lingering reasons for that are conflicts in Ukraine and the Middle East, Argentina’s debt problems as well as pessimistic data for the US labor market.

On Friday, the U.S. Department of Labor released jobless statistics that indicate that the unemployment rate went up from 6.1 to 6.2 percent whereas the number of new jobs didn’t increase as much as analysts had expected.   

European trading resulted in the British FTSE falling 0.76 percent down to 6,679.18 points, the German DAX 30 plunging 2.10 percent down to 9,210.08 points and the French CAC 40 shedding 1.02 percent ending the trading session at 4,202.78 points.

In Russia, the MICEX index fell 0.35 percent down to 1,374.83 points and the RTS index – 0.54 percent down to 1,212.74 points.

The USA’s Dow Jones Industrial Average dropped 0.42 percent getting to 16,493.37 points, the Standard & Poor’s 500 fell 0.29 percent down to 1,925.15 points while the NASDAQ lost 0.39 percent reaching 4,352.64 points.

The cost of the September WTI oil future on the NYMEX went down by $0.29 and made $97.88 a barrel. On London’s ICE, the price of the September Brent oil future got lower by $1.18 and reached $108.84 a barrel.

Oil prices continue to fall due to the OPEC’s increase of oil output in Libya and the USA’s bigger exports of petroleum products. According to media sources, in the past month of May the United States stepped up its exports to 288,000 barrels per day – the highest figure since the beginning of the 21st century.

On the global Forex market, EUR/USD is experiencing a correction from the strong support of 1.3380. The correction is expected to go to 1.3460. However, under favorable conditions (absence of negative macroeconomic data for the euro), the pair can move to around 1.3530.

Anna Gorenkova, NordFX Analyst

Publication source
NordFX information  NordFX reviews

February 24, 2017
Oil prices slightly grew
Brent oil prices extended their recovery in the Asian session on Thursday. Buyers led the price higher and broke 56.50 dollars per barrel in the early European morning...
February 24, 2017
Dollar drifts on Fed's lack of optimism
FOMC February meeting minutes released on Wednesday failed to provide support for the bulls to manage a sustainable breakout above 101.50...
February 24, 2017
Can gold continue post Fed rally?
Gold jumped to a 3 month high today, snapping a 3-day losing streak today after traders digested yesterday’s minutes meeting from the US Federal Reserve...

OctaFX Rating
Larson&Holz IT Ltd Rating
FOREX.com Rating
Grand Capital Rating
 FXTM Rating
Cms Trader Rating

99Binary Rating
TopOption Rating
Binary Brokerz Rating
IQ Option Rating
OptionTrade Rating
Porter Finance Rating