SP500 rises third straight session

Dmitry Lukashov IFC Markets

Dollar strengthening accelerates on strong housing and manufacturing data

US stock market extended the rebound to third session in a row on Thursday on upbeat earnings reports of Walmart, Cisco. The S&P 500 advanced 0.9% to 2876.32. The Dow Jones industrial average gained 0.8% to 25862.68. Nasdaq composite index rose 1% to 7898.05. The dollar accelerated strengthening on better than expected new home construction and Philadelphia Fed’s manufacturing index report. The live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, rose 0.3% to 97.827 but is lower currently. Futures on US stock indexes point to lower openings today.

DAX 30 still ahead other European indices

European stocks rally continued on Thursday. GBP/USD and EUR/USD continued sliding. Euro is higher currently while Pound is down against the dollar. The Stoxx Europe 600 index rose 1.2% led by chemicals shares. Germany’s DAX 30 jumped 1.8% to 12310.32. France’s CAC 40 advanced 1.4% and UK’s FTSE 100 gained 0.8% to 7353.51.

Shanghai Composite plunges on harsh Beijing rhetoric

Asian stock indices are mixed after vows by Beijing officials and media to never bow to US pressure as the trade war with the United States will only make China stronger. Nikkei recovered 0.9% to 21250.09 despite resumed yen climb against the dollar notwithstanding Bank of Japan governor Kuroda’s comment the BOJ may keep low rates well over year. Chinese shares are falling as Beijing vowed to promptly introduce countermeasures to US moves as needed to ensure that the economy operates within a reasonable range: the Shanghai Composite Index is down 2.5% and Hong Kong’s Hang Seng Index is 1.3% lower. Australia’s All Ordinaries Index extended gains 0.6% as Australian dollar slowed its decline against the greenback.

HK50 falls below MA(50) 05/17/2019 Market Overview IFC Markets chart

Brent steady

Brent futures prices are little changed today. Prices extended gains yesterday on rising Middle East tensions: July Brent crude added 1.2% to $72.62 a barrel on Thursday.

Want to get more free analytics? Open Demo Account now to get daily news and analytical materials.

Author

Dmitry Lukashov

IFC Markets

Dimtry Lukashov is the senior analyst of IFC Markets. He started his professional career in the financial market as a trader interested in stocks and obligations.

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.