Japanese and Australian bonds advanced, extending a global rally, and emerging-market stocks traded at a three-year high. The U.S. dollar weakened against most peers and gold climbed.
The yield on 10-year Japanese government bonds dropped to a fresh 16-month low and the rate on similar Australian notes slipped three basis points by 11:28 a.m. in Tokyo. The MSCI Emerging Markets Index advanced 0.3 percent to the highest since August 2011 as South Korea’s Kospi index climbed 0.6 percent. Standard & Poor’s 500 futures were little changed as 30-year Treasury rates held near a 15-month low. Gold and silver rose a third day as the Bloomberg Dollar Spot Index slid 0.1 percent.
Bond yields from Spain to Germany reached all-time lows yesterday amid speculation the European Central Bank is preparing to boost stimulus. Chinese industrial-profit growth slowed to 13.5 percent in July, data today showed before Germany reports on inflation and the U.S. updates markets on economic growth. The U.S. said Russia may be directing a counteroffensive by separatist rebels in Ukraine.
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AUD/USD remained bid above 0.6500
AUD/USD extended further its bullish performance, advancing for the fourth session in a row on Thursday, although a sustainable breakout of the key 200-day SMA at 0.6526 still remain elusive.
EUR/USD faces a minor resistance near at 1.0750
EUR/USD quickly left behind Wednesday’s small downtick and resumed its uptrend north of 1.0700 the figure, always on the back of the persistent sell-off in the US Dollar ahead of key PCE data on Friday.
Gold holds around $2,330 after dismal US data
Gold fell below $2,320 in the early American session as US yields shot higher after the data showed a significant increase in the US GDP price deflator in Q1. With safe-haven flows dominating the markets, however, XAU/USD reversed its direction and rose above $2,340.
Bitcoin price continues to get rejected from $65K resistance as SEC delays decision on spot BTC ETF options
Bitcoin (BTC) price has markets in disarray, provoking a broader market crash as it slumped to the $62,000 range on Thursday. Meanwhile, reverberations from spot BTC exchange-traded funds (ETFs) continue to influence the market.
US economy: slower growth with stronger inflation
The dollar strengthened, and stocks fell after statistical data from the US. The focus was on the preliminary estimate of GDP for the first quarter. Annualised quarterly growth came in at just 1.6%, down from the 2.5% and 3.4% previously forecast.