Euro Under Pressure, N.K. Tensions Escalate.
This article is originally referred from FXPrimus News.
FXPrimus has summarized the important market indicators of the day!
Today’s Important Indicators
A less volatile session compared to Monday, taking into consideration the events calendar, starting with ANZ Business Confidence at 00:00 GMT.
At 14:00, CB will publish the latest Consumer Confidence data, while the figures of the New Home Sales will also be released at the same time.
This will be followed by Brainard’s speech at the Board Conference thirty minutes later, and then again at 16:45 with Yellen’s speech titled “Inflation, Uncertainty, and Monetary Policy” at the National Association for Business Economics Annual Meeting.
Recent N.K. developments in focus, as safe-haven demand increases.
Today’s Forecast for Important Trading Indicators
- EURUSD – Euro falls as German Election results disappoint on far-right party raise. Euro hit a 4-week low on Monday after the markets sank in the results of the German Election that took place over the weekend. Despite Merkel’s win, the far-right AfD party entered the parliament just behind SPD. Euro-Dollar traders sold the pair as uncertainty rose, taking it to a low of $1.1831 under the 200 4MA, below the ascending trendline started on June 5, and nearing the $1.18 level at the 38.20% Fibonacci Retracement. Draghi’s speech weighed in as he says inflation outlook in the Eurozone is still uncertain.
- USDJPY – Dollar falls as N.K. Foreign Minister accuses Trump of having declared war against them. Dollar moved 23.60% down since Monday as North Korean Foreign Minister Ri Yong Ho said that Trump has declared war against N.K. after an air force show took place over the weekend just outside North Korea’s airspace to demonstrate the U.S. force. Dollar-Yen is trading at 111.54, down from 112.72, as demand for safe haven increased.
- USDCAD – Dollar gains against Cad despite surge in Oil prices as Dudley optimistic about rate hike. Dollar moved higher against the Canadian counterpart despite the support the latter received by Oil prices as FOMC Member Dudley said that inflation weakness and US fundamentals are improving, supporting the Fed is on track for another hike. The pair could be heading for a full retracement up to $1.2405, where price on USDCAD was on September 6, when BoC raised rates for a second time this year alone.
- USOIL – Crude surges as Turkey threatens to cease Kurdish exports, as latter holds independence referendum. Crude Oil hit a 5-Month high yesterday after Turkish President Recep Tayyip Erdogan threatened to cut-off Kurdish Oil exports, since the supply moves through turkey to. The announcement was made as Turkey is opposed to Kurdistan’s separatist vote of independence. Oil trades above $52 and could head higher taken any fresh developments are announced.
- XAUUSD – Gold climbs near $1313 per ounce as N.K claims that Trump has “declared war”. Gold upsurged yesterday moving away from recent lows as demand for safe havens rose over new development between US-NK. The precious metal ticked almost $15 up as North Korean Foreign Minister Ri Yong Ho said that Trump has declared war against N.K. Focus on any political development could volatility and create fluctuations in the price of Gold and the US Dollar.
- In US Indexes, S&P 500 fell 0.22% while DJ moved 0.24% lower.
- In Europe, UK 100 declined 0.13% while DE 30 remained almost unchanged at +0.02%.
- In Asia, ASX 200 depreciated 0.24%, Nikkei slumped 0.33% and Hang Seng decelerated 0.21%.
- In stocks, Facebook plummeted a massive 4.50% while Twitter followed with -3.58% down-move.
Original Source: FXPrimus News