Online Forex broker
The euro continued its advance versus the US dollar on Monday, January 15, while American banks are closed because of the Martin Luther King Day. EUR/USD rose almost to 1.2300. The single currency’s gains are fueled by the expectations that the European Central Bank will tighten its monetary policy this year. This together with the diminution in the euro area’s political risks draws a lot of investors to the region. In turn, speculation that other central bank may move towards reducing monetary stimulus is negative for the US dollar.
Japanese yen has also been strengthening versus the greenback. USD/JPY is tumbling to the south. The pair slid to the lowest levels since the middle of September below 110.80.
EUR/USD and Dow are going line-in-line to the north. Dow Jones 30 futures opened with a gap up at 25,896. It’s necessary to point out that Dow Jones Industrial Average index is at the record maximum. The S&P 500 futures also rose to all-time high of 2,797. The decline of the USD and the US tax reform create a positive environment for the US stocks. In addition, the United States has recently published some decent economic figures. According to the data released on Friday, US retail sales showed confident growth of 0.4% in December. That surely added to investors’ optimism and encouraged them to buy stocks.
One other reason why American equities performed extremely well last week is that energy shares soared amid rising oil prices and optimism about corporate earnings. This week 28 companies listed on the S&P 500 are to report their financial results. Analysts say that tax reform makes it more difficult to analyze earnings reports.
Among other things ahead, note that the US Congress has to pass a spending bill until January 19. Otherwise, a government shutdown will happen. American lawmakers managed to avoid the crisis just before Christmas as they extended the deadline for a few weeks. This time, Republicans and Democrats have to agree on some deal. However, it seems that, for now, the parties have many sources of contention.
On Wednesday, American stock index futures headed south because dismal data out of China affected market sentiment, while traders waited for more developments related to the US-China trade conflict…
On Wednesday, Italian stocks led losses in the European Union right after the country's deputy prime minister told that Rome considers breaking EU fiscal rules, thus masking early revenue powered by optimism around the US-China trade conflict…
On Tuesday, another US-China tariff conflict escalation put pressure on Asian stocks, although remarks from American leader that he expects trade talks to be successful backed market sentiment…
In July, Britain's inflation rate rallied for the first time in 2018, thus leaving many UK households feeling quite squeezed by prices, soaring at nearly the same tempo as their wages…
On Friday, the evergreen buck rallied versus its counterparts after data disclosed that the American economy generated more jobs than anticipated In October, thus backing the Fed’s case to proceed with gradual rate lifts…
On Tuesday, gold rallied because uncertainty over the latest developments in Britain’s departure from the EU backed safe haven demand and traders looked ahead for American inflation data to underpin the Fed’s pledge to remain on hold…
Your request is accepted.
A manager will call you shortly.
Internal error. Please try again later
Beginner Forex book will guide you through the world of trading.
We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.
|
