COVID-19 is likely to remain the dominant market theme in the coming, holiday-shortened week. The rising trajectory of the pandemic versus ongoing progress toward a vaccine will cause investors to whipsaw wildly between pessimism and optimism, driving markets lower or higher depending on prevailing sentiment. Last week played out much as we predicted, when positive […]
On Saturday, the media called the US presidential election for Joe Biden, but President Donald Trump rejected the outcome and won’t concede. Additionally, he will continue with legal challenges, claiming fraud. So far, his demand made no progress in courts, as he failed to add prove to his accusations, except for those asking for observers […]
Markets are cautiously optimistic and the US dollar is edging lower amid fresh hopes that the US agrees on a stimulus deal before the elections. Chinese Q3 GDP missed estimates but includes several positives. Concerns about eurozone coronavirus cases and Brexit talks is weighing on sentiment. Fiscal stimulus: US President Donald Trump has said that […]
Brexit talks and rising coronavirus cases in Europe are also a consideration for general market mood. The EU and UK resume negotiations this week and the risk of a no-deal Brexit is another shroud of uncertainty for the global economy. The focus will shift to the latest US non-farm payrolls report on Friday. Rosy data […]
The major central banks have met, and not one felt it incumbent upon them to take fresh policy action. Despite some dramatic intraday swings and close scrutiny, the euro-dollar exchange rate continues to be mainly in a $1.17-$1.19 trading range that has dominated since the end of July. All the commotion about the rapid rise […]
AstraZeneca’s renewal of its coronavirus vaccine test is contributing to a better market mood, favorable for stocks and weighing on the dollar. Japan will have a new prime minister and the UK parliament will debate the controversial internal market bill today, aggravating relations with the EU. Below are thumbnail sketches of the events and data […]
Investors are cheering fresh hopes for an upcoming coronavirus vaccine and upbeat Chinese PMIs. Eurozone CPI figures and end-of-month flows are set to move markets. Stephen Hahn, head of the US Food and Drug Administration, said he is willing to fast-track vaccine approval if benefits outweigh the risks. China has approved the Sinovac COVID-19 vaccine […]
The dollar fell to new lows against the euro, sterling, the Australian dollar, and the Swedish krona last week. However, it was a head fake and the greenback quickly returned to its previous ranges. The combination of the July FOMC minutes that dampened expectations for new initiatives, such as yield curve control or an increase […]
Friday’s sharp corrective pullback in Gold (XAU/USD) was mainly driven by the broad-based US dollar rebound, as the US-China tech war escalation and US fiscal wrangling reinforced the haven demand for the greenback. Better US payrolls report, further, aided the dollar recovery from two-year lows. The bright metal dropped nearly 1.50% and settled at $2035 […]
