Stock Markets Recover; Eyes to US Inflation Figures.
This article is originally referred from FXPrimus News.
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FXPrimus’s Daily Market Analysis is provided by their in-house FX Market Specialist, Stavros Tousios.
Dollar Surges Following Producer Inflation as Markets See it as Sign for a Good CPI
BLS reported an improved reading in Core PPI yesterday, increasing net longs with market participants seeing it as a good sign for today’s critical CPI release.
Global FX markets suffered losses against a strong greenback, including the hiked Loonie.
US Equities saw a small pull back on their bullish trend reflecting Forex markets.
Commodities declined as risk appetite rose, while Oil saw its largest inventory draw in two years.
Today we expect the US CPI data release, and ECB’s June minutes.
Today’s Important Indicators
Major Market Updates
- EUR/USD – Eurodollar back below descending trendline, pullback seems healthy even as Dollar rises on improved risk sentiment.
- GBP/USD – Cable breaks most recent range but halts by $1.32 rejection as Brexit uncertainty lingers following ministers’ resignations.
- USD/JPY – Dollar-Yen cracks 111.40 top as risk sentiment improves on inflation speculations, ended session a tad below 122 rejection.
- USOIL – EIA reports biggest draw in two years but markets suffered losses as strong Dollar, trade war tensions and Saudi Arabia supply fears weighed in.
- XAU/USD – Gold dips lower heading towards recent $1237/o low as Dollar strength on good PPI increases, drop rises short-term directional concerns.
- BTC/USD – Bitcoin falls to golden ratio by $6110/c and, although a rejection is expected, the bearish pressure could lead to further losses.
- US Equities – Apple lost 1.30%, Netflix rose by 0.73%.
- US Indexes – DJ and S&P 500 fell by 0.88% and 0.71%, respectively.
- European Indexes – UK 100 and DE 30 plunged by 1.30% and 1.53%, respectively.
- Asian Indexes – ASX 200 improved by 0.79%, Nikkei surged 1.17% higher and Hang Seng trades 0.94% higher.
Original Source: FXPrimus News