What drives the market today?

What drives the market today?

Here’s what’s moving the market on April 27.

Japanese yen surged after BOJ’s monetary stimulus

The BOJ claimed that it will buy the unlimited amount of government bonds. The central bank also will boost purchases of corporate bonds and commercial paper. The BOJ took the same measures as other countries did to support the national economy amid the corona crisis. The BOJ targeted short-term interest rates at -0.1% and 10-year bond yields around 0%. The central bank also made the GDP forecast for 2020 to fall by 3.0 to 5.0 %. Surprisingly, the Japanese yen surged maybe because the BOJ decision was expected by investors or the reason was that oil price dropped.

Oil slump

WTI and Brent oil prices declined to 14.3 and 20 respectively. Nothing’s changed, all oil storages are full and nobody still doesn’t need it.

AUD and NZD rose as restrictions eased

European countries such as Italy, Spain, France and Germany have taken first little steps to ease restrictions and to reopen their economies. This optimism raised the risk appetite. Also, the Covidsafe app was launched in Australia. This app will help to trace people who have been in contact with coronavirus. It should help to battle with the coronavirus more efficiently. Also, Australia is closely linked to fast-recovering China. All these factors have helped aussie and also kiwi to gain.

Goldman foresees dark future for stocks

According to Goldman Sachs, the narrow breadth in S&P 500 signals future market drawdowns. Market breadth is a ratio that compares the total number of rising stocks to the total number of falling stocks. The opinion is based on the previous data as the breadth narrowed ahead of the recessions in 1990 and 2008 and during the economic slowdowns of 2011 and 2016. The investors concern that only 5 companies made 20% of the market capitalization and less than half members of S&P 500 were trading above their 50-day moving average, according to Bloomberg.

LOG IN

 

Similar

USD surged after Fed’s hawkish surprise
USD surged after Fed’s hawkish surprise

The Fed made a hawkish surprise! The bank would start a discussion about scaling back bond purchases. Besides, it is likely to make two interest-rate increases by the end of 2023 (sooner than expected)!

The Fed’s meeting will drive the USD
The Fed’s meeting will drive the USD

The Federal Reserve will release its statement and announce its interest rate decision at 21:00 MT time. Then, at 21:30 MT time, the central bank will hold a press conference.

Latest news

Trade ideas for June 21-26
Trade ideas for June 21-26

Last week the USD soared versus other major currencies, while gold headed for the biggest weekly loss in 15 months. Let’s see what new moves await us this week!

US dollar rallies up after Fed
US dollar rallies up after Fed

The US dollar has surged to levels unseen since April after the Fed's decision back on Wednesday. Gold has reversed up from the local dips. Still, this week was the worst for gold in more than a year.

Deposit with your local payment systems

Learn more

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.

Callback

A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

Beginner Forex book

Beginner Forex book will guide you through the world of trading.

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera