Equity markets climbed in Europe yesterday
Ichimoku Kinko Hyo CNH/JPY: The CNH/JPY pair is trading above the Kumo…
Dow Jones closed unchanged in the previous session
Information is not investment advice
Ichimoku Kinko Hyo
USD/JPY: The USD/JPY pair is now testing the upper level of the Kumo. If the bulls manage to withstand the bears’ pressure the currency pair will move higher towards the previous top. A drop of the market will push prices to move within the cloud.
Market View
In the equities space, rotation was substantial, with best performing sectors to be the financials beating worst performing tech. Major U.S. indices closed the day as follows: Dow Jones closed unchanged, S&P500 down -0.9% and Nasdaq down by -2.5%. Asian markets are following the move lower this morning and U.S. futures point for a lower opening on Friday.
In the FX space, EURGBP dipped below 0.85, as the Bank of England surprised by hiking 15bp to 0.25%. The cross moved below 0.846 but recovered later after a more hawkish ECB message and souring risk appetite. In the EM front Turkey’s Central Bank cut its repo rate by 100bps to 14% sending the lira against the dollar north of 15.
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
European Currencies Ahead of the Banks' Statements
On Thursday, the 2nd of February, the Bank of England will publish its report concerning interest rates and inflation data for the Eurozone. Professionals and investors anticipate that Andrew Bailey’s lead team of policy makers will likely raise interest rates to 4%; the highest in over a decade, for the tenth time in a row.
Will the FOMC Surprise the Markets?
The first FOMC meeting comes after a buildup of anticipation from traders and investors alike, as the markets await what posture the Fed will take regarding the interest rates; would there be a hike or a cut in interest rates? Recall that the Federal Open Market Committee had previously ended the year 2022 with a 50bps hike, and an indication from Powell, the committee chairman, that the Fed could consider raising interest rates by 75bps in the course of the year 2023.
What awaits the Oil Market in February?
Western countries are trying to find other options for oil and gas supplies after a 10th package of sanctions, which will put more pressure on Russian oil and decrease global oil supply. Italy, for example, is in talks with Libya.
Choose your payment system
