Bullet Report

April 27, 2016

Global investors are still cautious for wednesday evening, which will see the Fed announcement at 18:00 GMT,followed soon after by the RBNZ rate statement at 21:00 GMT and then the BOJ later in the earlymorning hours at 5:00 GMT.

  • Oil and GOLD: Oil rose on Tuesday. The stimulant behind the move is expectations that demand could grow quickly enough to match supply this year. Concerns over a potential battle for market share between Saudi Arabia and Iran as well as below average volume ahead of Wednesday’s Fed decision helped limit gains. US crude futures are trading at $44.56 in north american session.gold rally as triggered when the U.S. Dollar broke after the release of a weaker-than-expected U.S. Durable Goods report. Gains remained capped, however, ahead of the Federal Reserve policy meeting later today.
  • Stocks: U.S. stocks finished nearly flat on Tuesday as the market absorbed a deluge of mostly solid earnings and awaited a policy statement from the Federal Reserve.The Dow Jones Industrial Average ended up 13.08 points (0.07 per cent) at 17,990.32. The broad-based S&P 500 rose 3.91 points (0.19 per cent) to 2,091.70, while the tech-rich Nasdaq dipped 7.48 points (0.15 per cent to 4,888.31).
  • Currencies: The dollar closed 0.3-percent lower against a basket of major currencies as investors believed the weakness in the US economy would prompt the Fed to be cautious about raising rates.The GBP/USD pair continues to trade around a flat line below 1.46 handle, as we progress towards the European open, with markets awaiting fresh incentives from the first estimate of UK Q1 GDP figures.USD/JPY pair reversed a minor portion of yesterday’s losses and edged higher against its US adversary in the Asian trades, with market now awaiting fresh incentives from the Fed and BOJ policy outcomes.

 

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