Settled markets

13 August, 2015

Markets are set to commence the day on a softer footing after Wall Street rallied strongly off its lows with investors believing that the recent moves by the PBOC to devalue the renminbi have put a nail in the coffin for a September rate hike from the Fed. This move has formed a clear “hammer” candlestick formation in the Dow Jones index, which is seen as a bullish signal in a downward trend, on top of this the S&P 500 has yet to close below the significant long term trend line indicator 200 day moving average, both of which could attract buyers back into equities and certainly European stocks are expected to see a bounce this morning. The dollar meanwhile suffered its biggest one day fall for six months and Treasury yields bombed for the second day in a row casting serious doubt over whether in just over a month’s time we’ll see the commencement of monetary tightening from the Federal Reserve.

The dollar has recovered a little ground overnight with EURUSD retreating from the 1.1200 level is hit yesterday forming a short term double top making this a key level of resistance for the single currency. Today the key event is the release of US retail sales data at 13.30 UK time and if this is softer than the expected month on month figure of 0.5% then this could cause the dollar to have another leg downwards.


Source link  
Market Concerns Eased

The first-round voting of the French presidential election was revealed on Sunday night...

Dollar Plunged on Trump Second Statement

The dollar index fell to a 2-week low of 99.91 in the early hours...

Markets Eye on the First Trump-Xi Meeting

US President Trump and Chinese president Xi Jinping, are scheduled to meet today at Trump’s Mar-a-Lago resort in Florida...


Will the French Presidential Election affect EUR?

The first round of the French presidential election...

USD Firms Ahead of Q4 GDP Final Reading

The dollar index has rebounded noticeably from a 4-and-a-half-month low of 98.85, helped by outperforming...

Divergence Between Fed and BoJ

The March FOMC meeting will be held for two consecutive days from today. The interest rate decision will be announced at 18:00 GMT on Wednesday 15th March...


Market Volatility Expected Ahead of President Trump's Speech

In a speech that will be watched by millions of viewers in the United States and around the world, the President is expected to speak of his presidency and address pressing issues like his plans for health care, the tax system, the military, and his goals for his administration...

Gold Trades Below Resistance Ahead of the Fed and NFP

We will see the release of the US ISM Manufacturing PMI, and ISM Prices Paid for January, at 15:00 GMT on Wednesday 1st February...

Sterling Struggles Ahead of Theresa May's Speech

Theresa May will make a speech outlining her plans for Brexit tomorrow, Tuesday 17th Jan, before the UK triggers Article 50 to leave the EU...

  


Share: