More risk off to come?
|Important News for this day
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09th, 04:00 CET NZ RBNZ interest rate decision.
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09th, 20:00 CET US FOMC meeting minutes.
US tariffs
There seems to be no end in sight with the freshly added tariffs from the US. Today new tariffs on China would come into effect and China’s answer might escalate the situation further. The current situation is a big blow for the global economy. The question might be what would have else caused the situation to turn tense after the recent two year bull run in the equity sector. Geopolitical tensions continue to remain at the center of focus. Gold prices already started to resume upside momentum.
Market talk
After the recent slightly positive momentum in the equity sector we might now experience a further selloff. In particular US equities might weaken further. If the S&P 500 index does not climb beyond the 5,150 level falling prices should be factored in. The volatility continues to remain high also in the currency market. While risky currencies like the AUD and EUR continue to push higher the GBP remains under pressure for now. According to the Bank of England several hedge funds have received margin calls from their respective brokerages. Oil looks set to weaken further. After the market broke the important support zone at USD 66.00 a further slide should be expected.
Tendencies in the markets
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Equities sideways, USD weak, cryptos weak, oil lower, Silver rising, Gold positive, JPY stronger.
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