Following the positive trade data from China and its currency stability, optimism spilled over to European markets for a positive start as leading indexes look set to post gains for the 3rd straight day with Germany’s DAX and UKs FTSE both trading up over 1%, despite the decline in Chinese equities overnight. However, once the US market opened, those gains were fail to restore and closed up mildly in the black with CAC40 0.3%, FTSE 100 0.5%, and DAX down 0.3%.
Oil has been doing its best to stage a fightback and was edged up above $31 as sentiment shifts slightly towards a more upbeat outlook for the short term. This recovery didn’t last long as well after the releasing of US oil inventories data early this morning, which saw OIL give up most of its gains.
Regarding to currencies, the worsening sentiment put a bid into JPY, and EUR benefited on a growing sense that the Fed may back off from hiking rate after the Beige Book report. Commodity currencies has been carrying pressures with AUD, NZD and CAD keep falling.
Today’s focus will be on Australia employment report at 11:30 am and ECB rate decision later at night.
Trading quote of the day: “The ability to foresee that some things cannot be foreseen is a very important quality”. – Rousseau
Important note: These technical and research reports are provided to easy-forex® as a subscriber of third party providers. They are provided for informative purposes only and in no way can they be considered as a recommendation by easy-forex® to you to engage in any trade. Hence, easy-forex® shall not be held responsible for any outcome of trading decisions, in regards with these reports or similar reports. You hereby acknowledge that using the information entailed in these reports is at your sole responsibility and you will have no claims with regards to these reports against easy-forex®. If you do not agree to this, you are strongly advised not to use these reports.
Easy Forex Pty Ltd (AFSL 246566 ABN 73107184510) makes no recommendations as to the merits of any financial product referred to in this website, emails or its related websites and the information contained does not take into account your personal objectives, financial situation and needs. Easy-Forex recommends that you read the Regulation Page, The Product Disclosure Statement, the Terms and Conditions and the Financial Services Guide before making any decision concerning Easy-Forex’s products.