Nervy markets

23 July, 2015

A few days out of the office and not a huge amount has happened in the world of the FX markets, but the action has clearly been more in the commodity and equity space. Investors were spooked by the move in Apple’s stock price which prevented the S&P 500 index from pushing to a new record high on its third attempt in as many months and the Nasdaq has formed a spike that resembles the bursting of a bubble. Since conquering the 7,000 level the FTSE 100 has continually failed to maintain its ground and looks more and more unable to recoup its lost ground the more it remains aimlessly drifting in the mid-6,000 area. Tech stocks faltering, commodities weakening, Asian growth slowing and interest rate hikes on the horizon are all a recipe for limited upside to indices going forward so we could see another uptick in volatility like we saw earlier in the month.

Yesterday was a landmark for the Bank of England only in respect to the release of MPC meeting minutes which will now be released at the same time as the actual rate decision going forward. The BOE’s next policy meeting is on 6th August where we might see the first votes for a rate hike after yesterday’s minutes revealed no one had yet stuck their neck out. Today sterling sees retail sales released which are expected to rise and could provide the pound with a reason to defend the 0.7000 level in EURGBP. Then there’s the weekly jobless numbers from the US expected to dip to 280k, pretty much on par with the current 4-week moving average.


Source link  
Political Turmoil in Germany Hurts EUR

The EUR lost ground against many of its peers on Monday on news that Chancellor Angel Merkel’s efforts to form a coalition government had collapsed...

USD Suffers on Subpoena News

The Trump Administration is back in the spotlight with news of a report that Special counsel Robert Mueller’s investigators have issued a subpoena...

Positive data negated by tax plan opposition

The US Labor Department released data on Wednesday showing the consumer price index edged up by 0.1% in October after climbing by 0.5%...


Data Boosts EUR Can CPI Boost USD?

EUR received a boost on Tuesday, as data from Destatis showed German Preliminary GDP climbed to 0.8% in Q3, beating forecasts of 0.6%. In addition...

Chinese Data Disappoints

China’s economy has been robust throughout 2017 as a continued recovery in manufacturing and industrial sectors, a healthy property market...

Data & Polls Pressure Sterling

Sterling suffered downward pressure on Tuesday as the latest monthly report from the British Retail Consortium showed non-food sales slumping...


Closing the Year on a Strong Note

Data released on Monday indicates that the Eurozone economy is on target to close out 2017 strongly. The latest Markit composite PMI fell...

Sterling Falls on Rate Rise

In line with market expectations, the Bank of England raised the UK base rate to 0.5% (from 0.25%) on Thursday. The rise, the first in 10 years, was widely...

Another Political Headache for Trump

USD gave up some of its recent gains on news that investigators had charged President Trump’s former campaign manager regarding...

  


Share: