US Evades Default This Time
Greetings to a brand new week full of events, economic releases and US debt frictions. We are here to tell you everything you need to know!
The US Parties Lead the Country to a Default
Happy Monday, traders! When will the US go bankrupt? Will it start the market crash unseen before? We have plenty to share with you, so let’s get started.
Events of this week:
The time zone is GMT+3. Check yours here.
Monday:
- 17:00, EU Consumer Confidence
Tuesday:
- 10:30, German Flash Manufacturing and Services PMI
- 11:30, UK Flash Manufacturing and Services PMI
- 16:45, US Flash Manufacturing and Services PMI
Wednesday:
- 05:00, New Zealand Official Cash Rate and Rate Statement
- 09:00, UK CPI y/y
- 12:30, BOE Gov Bailey Speaks
- 21:00, FOMC Meeting Minutes
Thursday:
- 15:30, US Prelim GDP q/q
- 15:30, US Unemployment Claims
Friday:
- 02:30, Tokyo Core CPI y/y
- 15:30, US Core PCE Price Index m/m
- 17:00, US Revised UoM Consumer Sentiment
What moves the market
- USDTRY almost reached the level of 20, a historical high. The USDTRY pair gained 1370% over the last 13 years.
- Elon Musk, “The last time Fed increased the rates while stepping into a recession was in 1929, the times of Great Depression.”
- There are more and more late debt payments among US citizens. Usually, it’s a sign of upcoming problems in the economy.
- President Biden says he won’t agree to a debt deal that protects crypto traders. Meanwhile, Florida has banned the use of central bank digital currencies (CBDC) in the state.
- ECB President Lagarde, “I think we covered a large chunk of the journey toward taming inflation and bringing it back to our target, but we aren’t done yet.”
- Today is Bitcoin pizza day. On May 22, 2010, Laszlo Hanyecz, for the first time in history, bought two pizzas for 10 000 BTC. At the time, the value was about $41. Now it’s around $266 million.
- The US parties failed to reach an agreement on the debt limit increase. The US has money left until June 1.
Gold is ready to touch the resistance
Gold is moving according to our expectations. The yellow zone held the metal, and the next level to look after is $1995.
However, XAUUSD is in a local downtrend, so the touch of the resistance line is an excellent opportunity to enter a short trade.
Have a great trading session!
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