China concerns rattle markets further

September 23, 2015

With manufacturing data from China overnight showing the sector in the world’s second largest economy had its worst month since the global financial crisis back in 2008/09 another sell off is expected to ensue in the equity markets. Risk assets are being shunned by investors and this only adds to the conundrum over whether the Federal Reserve was right to keep rates on hold at their FOMC meeting last week. The dollar has recouped some of its losses from last week but it is hard to see the greenback gain much further ground in such an environment when anything that suggests China is slowing more rapidly is likely to delay the Fed’s decision even further. This could also serve to keep the euro supported which for the past few weeks has gained as a result of risk aversion amongst investors as carry trades are unwound.

The euro will be a focus this morning with the release of Eurozone PMI numbers which are expected to show both the services and manufacturing sectors remaining in expansion territory although a little slower than the previous month. Then later the Canadian dollar should be monitored for the release of retail sales expected to dip from 0.6% to 0.5% and after that there’s a release of US manufacturing data, also expected to soften a little from 53.0 to 52.8.

Publication source
FxPro information  FxPro reviews

October 21, 2016
Gold prices drop in Asia amid stronger greenback
On Friday, gold dropped during Asia trade amid a strengthening greenback as well as surging chances of a rate hike weighing on the hedge commodity...
October 21, 2016
ECB holds the rate unchanged with the pressure on Draghi
After a brief upturn seen in the late Asian trading, the currency retreats to the Wednesday close showing a tepid response to the ECB policy update. The New York FED leader William Dudley comments offered a support to the Dollar rally although the focus remained on the US inflation...
October 21, 2016
EURGBP Tests Major Support
This morning we saw the release of German PPI YoY and MoM figures for September. The former fell to -1.4%, compared to expectations of -1.2%. The latter was -0.2%, in line with expectations...

Tickmill Rating
FBS Rating
Orbex Rating
HYCM Rating
FXTM Rating
Larson&Holz IT Ltd Rating

Anyoption Rating
Beeoptions Rating
OptionsXO Rating
365BinaryOption Rating
Porter Finance Rating
Empire Option Rating