What's moving the market on April 27?

Information is not investment advice

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.

Similar

25.04.2023 10:00 Crypto Market Changes The Trend

Happy Tuesday, dear traders! Here’s what we follow:

usd

21.04.2023 14:23 The US Labor Market And Real Estate Market Are In Focus This Week

Labor Market and Real Estate Market data was published yesterday. Markets are slowing down, so the economy is in recession. Today the traders should pay attention to the Retail sales in Canada.

20.04.2023 13:02 The US national GDP is in focus next week

What's going on with the US GDP? Economists think that the first quarter will be pessimistic. Let's check.

eur usd aud - australian dollar

Share with friends:

Choose your payment system

Phone number

Select the best time for us to call you.

Select the best time for us to call you. We give calls from Monday to Friday in suggested intervals. In case we couldn't get through, we will try again at the same time the next day. For getting real-time assistance, use FBS chat.