Wall Street Dip on AI Jitters
The U.S. equity market experienced one of its worst trading days this year, with the Nasdaq leading the decline, plunging more than 700 points in the last session. Investor concerns over the AI sector surged following Tesla's earnings miss and Google's higher-than-expected spending, both of which saw sharp declines.
Dollar Calm ahead of FOMC Minutes
The dollar index steadied in the last session, trading above the $105 mark, ahead of the highly anticipated FOMC meeting minutes. Market expectations are leaning towards a more hawkish stance from the U.S. central bank due to a tight labour market. Analysts predict that the Fed is likely to implement two 25 bps rate cuts toward the end of the year, contingent on further evidence that inflation is slowing.
Oil Plummet on U.S. Crude Inventory Surge
Oil prices experienced their steepest decline of 2024, dropping over 5%, following the release of the American Petroleum Institute (API) weekly crude data, which revealed an unexpected inventory build-up exceeding 4 million barrels. This surprise data, coupled with OPEC+'s decision to increase oil supply in the fourth quarter, exerted significant downward pressure on prices.
Yen Drop on Japan FX Officials Comment
The U.S. equity market continued its upward trajectory, buoyed by growing optimism surrounding potential interest rate cuts by the Federal Reserve later this year, following the release of softer-than-expected nonfarm payroll data last Friday, indicating a slowdown in economic performance.
Market Focus on Earnings Report
As we head into the second quarter earnings report season, the U.S. equity market is poised to capture significant attention. Recent geopolitical events, particularly the unconfirmed reports of an explosion in Iran's third-largest city last Friday, have injected volatility into commodities prices and bolstered the appeal of safe-haven assets like the U.S. dollar and Japanese Yen.
Unconfirm Explosion in Middle East Stimulates Commodities Prices
The market was roiled by unconfirmed reports of explosions in Iran, Iraq, and Syria, adding to the already tense atmosphere following Iran's recent attack on Israel over the weekend. Anticipation of potential retaliation from Israel contributed to heightened nervousness in the markets throughout the week. Gold prices surged above the $2400 mark, while oil prices saw a gain of over 4% in the Asia opening session on Friday
Dollar Up, Yen at One-Month Low as Omicron Worries Lessen
The dollar was up on Tuesday morning in Asia. Meanwhile, the yen traded near a one-month low to the U.S. currency as uncertainty about the omicron COVID-19 variant was largely consigned to the background, and investors’ risk appetite improved.
Dollar hits 16-month high, stocks rebound after inflation scare
The dollar rose on Thursday, hitting a 16-month high a day after the strongest U.S. inflation reading in more than three decades, while equities rebounded on expectations higher consumer prices will help corporate growth.
Dollar's near-term outlook bright, but to fade in a year: Reuters poll
Dollar's near-term outlook bright, but to fade in a year: Reuters poll
Soaring Treasury Yields Come to Dollar's Rescue
The latest talking point in financial markets comes from the soaring US 10-Year Treasury yield.
Dollar’s Decline Is Slowing Down This Week
The China-US trade tensions that continue to escalate further affected the USD Index, which has been oversold and maintains a bullish outlook.
Canadian Dollar Price Targets: USD/CAD Bulls Eye Key Resistance Pivot
The US Dollar is targeting resistance near two-month highs vs Loonie with the long-bias vulnerable near-term. These are the levels that matter on the USD/CAD charts.
US Dollar Price Outlook: DXY Threatens Larger Recovery– Trade Targets
A rebound in the US Dollar has price testing a near-term resistance pivot and were looking for a reaction here. These are the levels that matter on the DXY charts.
Canadian Dollar Price Chart: USD/CAD Breakout Stalls at Six-Week High
Canadian Dollar remains under pressure despite broader US Dollar weakness with price now testing six-week highs. Here are the levels that matter on the USD/CAD charts.
Weekly Trading Forecast: Dollar and Dow Dialed in to Fed, NFPs and Trade Wars
After a week of dovish ECB, a US GDP beat and unexpected headlines from President Trump; we now move into a second week of heavy scheduled and unscheduled event risk. The FOMC rate decision is an event that will stretch to all corners of the financial system and the focus
Turkey is investigating JPMorgan after the bank advised clients to short the lira
The lira tumbled 4% on Friday. At a rally on Sunday, President Erdogan warned the financial industry: "I will make you pay a very heavy price."
