News to trade on October 4

• The US Federal Reserve (Fed) Chairman Jerome Powell made some hawkish comments during his speech yesterday. He was happy about the overall economic conditions, the lowest unemployment in 20 years, rise in wages and stable level of inflation around 2%. In addition, the interest rates are still accommodative according to his words. As a result of Powell’s speech, the USD index gained significantly on Wednesday to 95.4. At the moment, the greenback is decreasing towards the support at 95.36. However, the situation for the USD can change any time, driving the price towards the resistance at 95.96.

• Australia released its trade balance for September. The surplus reached higher than expected level (1.6 billion AUD vs 1.43 billion AUD). It did not affect the aussie a lot, though. AUD/USD keeps falling following the US rate hike and increasing trade tensions. The pair is decreasing to the support at 0.7064, reaching its lowest levels since the beginning of 2016.

• Italian government set a target goal for GDP growth in 2019. It’s planned to reach 1.5%. Moreover, Deputy Prime Minister Di Maio mentioned the government plans to provide 16 billion EUR for citizens’ income. As a result, EUR/USD has increased, moving upwards to the resistance at 1.15.

However, the main problem with budget deficit is still unsolved and delayed. More budget details to the European Commission will be delivered by October 15. Final response will be provided by the end of October.

That is why EUR/USD is very sensitive to any announcements concerning Italy. If there is negative news, the price will go down to the support at 1.1413.

• British Prime Minister Theresa May made a speech during the Conservative party conference yesterday. She said that no deal Brexit would be a bad outcome for the UK and the EU. As a result, the GBP fell below the level at 1.2940 yesterday. Up to this moment, the cable recovers, crossing the resistance at 1.2943 and testing the resistance at the 50-day MA (1.2970). The next resistance is at 1.3080. In case of any negative Brexit data, GBP/USD will fall to the support at 1.2860.

Follow us for more news!

Similar

24.04.2019 19:08 American mortgage applications report the greatest dive in four months

American mortgage applications to purchase a home and to have it refinanced demonstrated their steepest weekly slump for four months due to the fact some mortgage rates jumped to one-month maximums, in step with higher bond gains…

economy federal reserve us

24.04.2019 15:39 Chinese economy still experiences downward pressure

The Chinese economy still experiences downward pressure and the country’s cabinet is going to counter it by deepening reforms as well as cutting taxes…

growth economy china

22.04.2019 14:46 5 important things this week will bring us

AUD CPI, Trimmed Mean CPI (Wed, 04:30 MT (01:30 GMT)) – the Australian currency needs support to continue the upward movement…

usd jpy cad aud economic calendar

Latest news

09.11.2018 10:07 Weekly CryptoNews

Did Bitcoin manage to recover and what was the hottest news in the crypto and blockchain world? Read and find out!

ethereum bitcoin litecoin dash

08.05.2017 08:48 Most Asian stocks post strong revenues with Nikkei rising more than 2%

On Monday, Asian stocks traded mostly higher, with Shanghai bucking the trend because centrist Emmanuel Macron fully matched opinion survey hopes and left anti-EU far-right nominee Marine Le Pen behind…

09.05.2017 06:11 Japan real wages surge is slowest in almost two years

Japan's March real wages went down at the fastest pace in nearly two years, weighed by minor nominal pay lifts as well as a moderate ascend in consumer prices, thus posing a setback for Prime Minister Shinzo Abe's tries to revitalize the Japanese…