New battle lines drawn in oil

4 April, 2016

We jump into the new quarter with both feet today, Friday’s US Employment Report induced volatility now behind us. It’s notable that the initial gains after the data have been partially unwound (dollar index), with the dollar weakness most prevalent against the yen, with USDJPY below the 111.50 in early European. The main mover overnight has been oil prices, the front Brent contract below the USD 38.50 level as more manoeuvring takes place ahead of the key meeting of oil producers later this month. Saudi Arabia has today stated that it will freeze output only if Iran does the same. It has previously indicated that it would let Iran reach its pre-sanctions level of output before demanding a freeze. This makes the backdrop ever more precarious ahead of the meeting in Doha later this month.

Other overnight activity has been fairly muted, with China and Hong Kong markets closed for a public holiday today. The Aussie has moved off the recent highs, down to 0.7620 into the European open ahead of the RBA policy meeting tomorrow. The market is still pricing a decent chance of a cut in rates later in the year, although the latest statement from the RBA suggested that it was in no hurry. For today, there are no major data releases for markets to get their teeth into. Overall, it’s going to be a struggle for the dollar to regain its stronger footing unless the data start moving to the positive side of expectations. Emerging market currencies, especially those that have been under pressure recently, could well continue to recover in this environment.


Source link  
Stronger IT, softer financials

Stock markets continue to strengthen with increased demand for high-tech companies. The NASDAQ100 closed a second day in a row...

USD weakens through the day yesterday

The USD weakened further overnight after the move began in the US trading session yesterday. USDJPY moved down under the 110.000 level after...

Markets Focus on US and UK GDP

UK Gross Domestic Product (QoQ) (Q1) is expected to come in at 0.3% from 0.4% previously. Gross Domestic Product (YoY) (Q1) is expected to be...


Markets Focused on ECB Interest Rate

ECB Deposit Rate Decision will be announced and is expected to remain unchanged at -0.4%. The ECB Interest Rate Decision will also be released...

Today's Focus on US Retail Sales

At 12:30 GMT, US Retail Sales (MoM) (Mar) will be released, with an expected 0.4% from -0.1% previously. Retail Sales Ex-Autos (MoM) (Mar) is expected...

Larry Kudlow - chief economic advisor

Yesterday, Larry Kudlow accepted the role of White House Chief Economic Advisor. He immediately targeted China and said that the next step...


EU leaders agree to shore up budget

EU European Council Meetings took place on Friday and EU Council President Donald Tusk made the following comments: EU leaders agreed to spend...

A Terrible Week for the Dollar

The dollar is down 2.2% since the start of this week in what’s come to be the currency’s worst performance in two years, with USDX falling to 88.15 in a...

U.S. Inflation Data in Focus

A quiet week ahead on the data front at first glance but US Inflation on Wednesday will be a major market mover. Market participants will view this data...


In the past 24 hours Bitcoin has lost -1.56% and reached $6651.35. Open your trading account with the best cryptocurrency brokers on special terms today.

In the past 7 days the EUR/USD pair has lost -1.7729% and is now at $1.1587. Start trading and making money on Forex today.

In the past 7 days Ethereum has gained 8.85% and is now at $523.465. Have the most popular cryptocurrencies compared online 24/7.


Top Brokers offering Forex Market Analysis



Forex Currencies Forecasts



Top 10 Forex Brokers 2018

# Broker Review
1easyMarketseasyMarkets88%
2FXTMFXTM87%
3HYCMHYCM85%
4FIBO GroupFIBO Group80%
5FxProFxPro77%
6FXCMFXCM74%
7Alfa-ForexAlfa-Forex72%
8HotForexHotForex71%
9FP MarketsFP Markets70%
10XMXM69%
  


Share: