Ichimoku Kinko Hyo CNH/JPY: The CNH/JPY pair is trading above the Kumo…
EUR/JPY : Risk keeps on the defensive ahead of European trading
Information is not investment advice
Ichimoku Kinko Hyo
EUR/JPY: The pair is trading below the cloud. A downward pressure would lead the pair to exit further the cloud, confirming a bearish outlook.
XAG/USD: Silver continuous to stand below 38.2% retracement area. Bullish pressure is growing during the last days.
EU Market View
Asian equity markets mostly slumped as the negative mood rolled over from the US where major indices extended on declines. The Dow slipped Tuesday, as rising global coronavirus cases triggered fresh jitters over global growth, prompting investors to hit pause on cyclical stocks. European stock markets are seen opening mixed Wednesday after suffering their worst daily loss so far this year on Tuesday, amid hopes that a positive corporate earnings season will calm concerns about the march of Covid-19 in India.
Looking ahead, highlights include UK and Canadian inflation, BoC rate decision, DoEs, BoE's Ramsden, Bailey speeches.
Oil prices fell for a second day on Wednesday on concerns that soaring COVID-19 cases in India will drive down fuel demand in the world's third biggest oil importer. India, also the world's third-largest oil user, on Tuesday reported its worst daily death toll from COVID-19 and is facing an oxygen supply crisis to treat patients. Large parts of the country are now under lockdown due to a huge second wave of the pandemic.
EU Key Point
- Major currencies little changed so far to start the session.
- Germany reports 24,884 new coronavirus cases, 331 deaths in latest update today.
- Australia Retail Sales for March, preliminary: +1.4% m/m (expected +1.0%).
- South Korea exports surging again in April.
In the middle of September 2022, the Canadian dollar has fallen to a 2-year low against the USD.
The US dollar index has all chances of reaching the 2000s high of 120.00.
Many investors treated gold as a protection against inflation. However, last week, gold lost its major support and dropped despite rising inflation. Why did it act like this?