Dollar strengthened after Fed minutes

US stock market stepped back on Wednesday with weak retailer reports providing little support. The S&P 500 slid 0.3% to 2856.27. The Dow Jones industrial average slipped 0.4% to 25776.61. Nasdaq composite index fell 0.5% to 7750.84. The dollar strengthening continued as minutes of Federal Reserve last meeting revealed officials felt there were no data supporting a rate cut need currently: 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, added 0.1% to 98.094 and is higher currently. Futures on US stock indexes point to lower openings today.


DAX 30 outperforms European indexes

European stocks slipped on Wednesday with Berxit and global trade prospect uncertainty undermining market sentiment . Both the EUR/USD and GBP/USD accelerated their slide and are lower currently. The Stoxx Europe 600 slipped 0.1% led by bank shares. Germany’s DAX 30 however added 0.2% to 12168.74. France’s CAC 40 slid 0.1% while UK’s FTSE 100 edged up 0.1% to 7334.19 amid reports of rising pressure on UK Prime Minister Theresa May to resign after lawmakers in her own party rejected her compromise deal on exiting the EU.


Hang Seng leads Asian indexes losses

Asian stock indices are mostly falling today after news overnight the United States was considering curbs on Chinese video surveillance firms including Hikvision. Nikkei turned 0.6% lower to 21151.14 as yen climb against the dollar continued despite the Markit flash purchasing managers’ index’s decline to 49.6 in May from 50.2 in the previous month indicated manufacturing contracted in May. Chinese stocks are falling: the Shanghai Composite Index is down 1.4% and Hong Kong’s Hang Seng Index is 1.6% lower. Australia’s All Ordinaries Index lost 0.3% despte Australian dollar continued sliding against the greenback at a previous session’s pace.

HK50 falls below MA(200)  05/23/2019 Market Overview IFC Markets chart


Brent falls on US crude inventories build

Brent futures prices are extending losses today. Prices fell yesterday after the report US crude stockpiles rose 4.7 million barrels while gasoline stocks increased by 3.7 million last week. July Brent crude lost 1.7% to $70.99 a barrel on Wednesday.



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

This overview has an informative character and is not financial advice or a recommendation. IFCMarkets. Corp. under any circumstances is not liable for any action taken by someone else after reading this article.

Feed news

Latest Forex Analysis

Editors’ Picks

EUR/USD drops to mid-1.13s on Bullard's hawkish remarks

St. Louis Fed President Bullard dismissed the idea of a 50 basis points rate cut in July and helped the greenback start recovering its losses. Meanwhile, FOMC Chairman Powell reiterated FOMC saw a stronger case for more accomodation.


GBP/USD eases further, holds above 1.2700

GBP/USD hit 1.2783 before changing direction, now closing to the 1.2700 figure. Broad dollar's weakness keeps the downside limited, despite subdued demand for Sterling.


USD/JPY slumps below 107 on dismal US data, risk aversion

The USD/JPY pair came under a renewed selling pressure in the American session and dropped below the 107 mark amid the ongoing broad USD weakness and the stronger demand for safe havens.


All that glitters is gold ahead of G-20 summit

Investors sought shelter in safe haven assets with gold prices surging above six-year high level and the yen strengthening due to ongoing geopolitical uncertainties, as well as investor caution ahead of today’s Fed Chairman speech and the Trump-Xi meeting on the sidelines of G-20 summit this Saturday.

Read more

Gold consolidates recent upsurge to multi-year tops, comfortable above $1400 mark

Gold adds to the post-FOMC upsurge amid escalating geopolitical tensions. A modest USD uptick/stability in equity markets prompts some profit-taking. The downside remains limited ahead of Powell’s speech later this Tuesday.

Gold News