Equity markets climbed in Europe yesterday
Ichimoku Kinko Hyo CNH/JPY: The CNH/JPY pair is trading above the Kumo…
Commodity currencies continued to rally yesterday
Information is not investment advice
Ichimoku Kinko Hyo
NZD/JPY: The NZD/JPY pair is trading slightly above the Kumo. A successful attempt to exceed the Tenkan sen level will fuel the pair towards the previous top. On the other hand, a drop of the market will lead the exchange rate within the cloud.
Market View
The tensions between United States and the Russian Federation over Ukraine continues despite the meeting between Biden and Putin yesterday, however the market impact has been modest as equity markets are focused more on the potential impact from Omicron, the new variant of corona virus that was detected late last month in South Africa.
Equity markets had an impressive turn around Tuesday as the narrative that Omicron may be very infectious but less deadly got more attention. Risk-on sentiment gave most sectors a lift higher with the cyclical and long-duration plays outperforming. Volatility dropped sharply and the VIX index fell below 22. Major equity markets in the United States ended the day as follows: Dow Jones up by +1.4%, S&P 500 +2.1%, and NASDAQ an impressive +3.0%. Risk on sentiment continues over in Asia this morning with most indices being in the green despite somewhat negative news around property developers in China. European futures are flat while U.S. futures are slightly higher.
In the FX space, commodity currencies continued to rally yesterday with AUD, CAD and NOK leading the way.
Similar
Brutal session in the equity markets yesterday
Ichimoku Kinko Hyo EUR/JPY: The EUR/JPY pair is now trading within the Kumo…
The U.S. economy added 390,000 jobs in May
Ichimoku Kinko Hyo USD/JPY: The USD/JPY pair is now trading above the Kumo…
Popular
Bulls Are Coming Back
The US dollar index rose to 105.40 after the Fed’s 75-basis-point key rate hike, while the stock and the crypto markets fell. However, during the past few days, investors and traders returned to risk assets as they expect inflation growth to slow. Moreover, Jerome Powell, the head of the Federal Reserve, announced the Fed might start cutting the key rate by 2024, which is the most evident hint of an upcoming market reversal.
Equity markets climbed in Europe yesterday
Ichimoku Kinko Hyo CNH/JPY: The CNH/JPY pair is trading above the Kumo…
What to trade on June 20-24?
Last week was shocking! The US dollar gained more than 2% against other currencies ahead of the 75-basis points rate hike by the Federal Reserve on Wednesday but dropped after the announcement…
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