Ipek Ozkardeskaya
Swissquote Bank Ltd
Big news of the day is the S&P500 and Nasdaq didn’t renew record yesterday. But the US equities still recorded their seventh straight monthly advance in August, which is the strongest winning streak since January 2018, and the S&P500 beat its 53rd record at Monday’s close: not bad at all given that we don’t only have good news on the wire.
A correction? Not just yet. For now, the overall market holds on to its gains and no one dares saying ‘the king is naked’.
Today, the US ADP data and Fed’s Bostic’s speech will be closely monitored. But, the bulls will probably read what they want to read and hear what they want to hear in data. And even if it’s not the case, they will probably rapidly get over any unpleasant news to carry the rally higher, because a misstep could have dramatic consequences.
In commodities, US crude remains a touch below $70pb into the OPEC meeting. OPEC is expected to stick to the production revival plan, but Saudis already warned that OPEC could well pause or reverse their unwinding of output curbs in the coming year. So what’s next for oil?
This report has been prepared by Swissquote Bank Ltd and is solely been published for informational purposes and is not to be construed as a solicitation or an offer to buy or sell any currency or any other financial instrument. Views expressed in this report may be subject to change without prior notice and may differ or be contrary to opinions expressed by Swissquote Bank Ltd personnel at any given time. Swissquote Bank Ltd is under no obligation to update or keep current the information herein, the report should not be regarded by recipients as a substitute for the exercise of their own judgment.
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