What will move the market on October 18-22?
The bullish movement in the stock market is gaining speed, and Bitcoin ETFs are closer than they might seem. What do we need to know for the next trading week?
Stock market is bleeding: what do you need to know
What happened?
The so-called “stock market bloodbath” has continued on Friday with major indices falling down to the lows of the last October. The S&P 500 index was down by 148.25 points and closed below the 200-day SMA. Nasdaq fell by 461.25 points, demonstrating the biggest slump in more than 8 years. As for the European stock market, the DAX30 index has opened with a gap down on Friday, testing the lows around the $11,800 level.
Why did that happen?
It’s obvious that the number of negative headlines on the coronavirus outbreak made investors panicking and caused pressure to the markets. In particular, the head of the World Health Organization suggested a possibility of an outbreak turning into a pandemic. The fact that California health officials reported they were monitoring 8,400 people for coronavirus was also worrying for the markets.
What’s next?
We expect more news and more downside pressure for the markets. At the moment, investors find the safe-haven Japanese yen attractive. At the same time, do not write the gold off your trading plans. The price for the precious metal is correcting to the downside now, but have all the chances to spike back due to the fundamental reasons. Stay safe and follow the news with us.
Similar
Apple event surprised traders
Every year in early autumn Apple holds its event where it presents new iPhones, Apple Watches, and iPads. This year wasn’t an exclusion. But yesterday’s presentation didn’t result in Apple stock growth, and here’s why.
Richard Branson Sold $300 million of Virgin Galactic stock
Richard Branson offloaded nearly 10 million shares, which equals about 4% of the Virgin Galactic stock, leaving him with an 18% stake.
Latest news
Assets Won’t Survive This Week
As Europe moves into recession, next week may provide us with some amazing trading opportunities. Here they are!
Post-Fed Releases for USD & CAD Traders
Main news that will drive the market in the upcoming week include CB Consumer Confidence Index, Canadian GDP, and US Core PCE Price Index
FED and BOE Make Another Attempt to Beat Inflation
The Federal Reserve (Fed) will announce its Interest Rate Decision and make a statement about the future monetary policy on Wednesday, September 21, GMT+3. After the higher-than-expected inflation numbers published on September 13, there’s almost no doubt the Federal Reserve will come up with another 75-basis-point rate hike. However, surprised by the CPI numbers, several Fed members announced the possibility of a 100-basis-point rate hike on Wednesday.
