By Deepta Bolaky
Wall Street ended mixed as investors remain on edge ahead of the Fed’s testimony, FOMC minutes, renewed trade tensions, and Q2 earnings.
Investors are gearing up for a busy week ahead with a series of key events coming up, which can provide a fresh direction. With one of the US equity benchmark near the overbought line, investors will look for fresh reasons to chase gains.
In the forex markets, major currencies were weaker against the US dollar. On the economic front, there were a few Fed speeches and the Job Openings data. The Fed Chair, Jerome Powell, made no comments on the monetary policy outlook.
The US JOLTS Job Openings came below expectations at 7.323M, which can indicate some cooling in the labour market.
The Aussie dollar was on the defensive in the Asian trade due to mixed NAB business conditions and confidence figures. In the European and US session, negative trade news and a stronger dollar weighed on the AUDUSD pair which dropped to a low of 0.6920. Eyes on the Chinese data today for fresh trading opportunities.
The British Pound also traded on the downside as a weakening UK economic backdrop, and political uncertainties weighed on the local currency. The GBPUSD is trading at 1.2455.
Oil prices struggled to find a firm direction, but appear to recover a semblance of normality before being hit again by renewed trade tensions with reports that President XI avoided firm pledge on the US farm goods.
API Weekly Oil Stock declined to -8.129M, which will likely help to support oil prices in the short-term.
WTI and Brent Crude Oil were a tad bit higher and is currently trading in the region of $58 and $64.
UKOUSD and USOUSD (Hourly Chart)
Source: GO MT4
The yellow metal is struggling to firm upside momentum due to the rising dollar. We are expecting the US economic data, and the Fed’s testimony to provide new fundamental developments to help drive the price action of Gold.
As of writing, it is currently trading around $1,396.04.
Bitcoin continues to edge higher incrementally. It is currently trading at $12,526. Ethereum, Ripple, and Litecoin are lagging.
Westpac Consumer Confidence and RBA Speech (Australia)
Producer Price Index and Consumer Price Index (China)
Non-monetary Policy ECB Meeting (Eurozone)
Manufacturing & Industrial Production, GDP and BoE’s Speech (UK)
10-YR Bond Auction (Germany)
BoC Rate Statement, Interest Rate Decision, Monetary Policy Report and Press Conference (Canada)
FOMC Minutes (US)
|Thursday, 11 July 2019|
Indicative Index Dividends
Dividends are in Points