Risk return temporary

January 13, 2016

Finally some risk appetite is returning to Asian markets which have bounced overnight and this is due to feed into today’s European session. Chinese trade data was better than expected with a surprise improvement in exports which has been assisted by a weaker yuan. The China story has dominated the markets so far this year and in one way it’s nice not to be talking about other things such as the Fed, but in others this topic is likely to remain a dominant force in 2016, more so than in the past as the world’s second largest economy continues to slow meaning this return of risk appetite we’ve seen so far this week may be temporary.

Economic data to focus on today comes in the form of Eurozone industrial production which is expected to decline. If we see a deterioration along the lines of yesterday’s industrial and manufacturing data from the UK then we could see a corresponding move to the downside in the single currency. EURUSD has pulled back from its attempts of breaking the 1.1000 level once again and looks vulnerable to further weakness, especially since today sees some Fed members speaking in the form of Rosengren and Evans, so it will be interesting to hear their thoughts on last week’s impressive nonfarm payroll. Then there’s the release of the Beige Book, so we could see some volatility in the dollar.

Publication source
FxPro information  FxPro reviews

September 30, 2016
The OPEC greases the wheels for oil
The global equities rally led by the gains in the energy sector after the OPEC members cut a deal in Algiers, despite the market scepticism and repeated statements that the Oil officials in Iran and Saudi Arabia are not able to find a middle ground in the current conditions...
September 30, 2016
Opec deal no certainty
In a huge surprise to the market, members of the Opec cartel agreed to cut production by as much as 700,000 barrels a day with some predicting that this may be the start of a new upward trend for oil...
September 30, 2016
Brent futures consolidated their gains
Brent rose in the European session after a surprised OPEC decision to cut oil output. Moreover, a draw in U.S. crude stocks gave an additional support for oil prices...

XM Rating
FXTM Rating
OANDA Rating
Fort Financial Services Rating
OctaFX Rating
FxPro Rating

Porter Finance Rating
24option Rating
EZTrader Rating
OptionTrade Rating
OptionBit Rating
Empire Option Rating