Dollar weakening continues as FED says will start purchasing Treasury bulls
US stocks rebound broadened on Friday after president Trump said US reached a "substantial" phase one trade deal with China including Chinese promises to buy $40 - $50 billion more US agricultural products in exchange for eliminating a planned increase in tariffs that had been set to go into effect October 15. The S&P 500 gained 1.4% to 2952.01, rebounding 0.6% for the week. Dow Jones industrial advanced 1.2% to 26816.59. The Nasdaq rose 1.3% to 8057.04. The dollar weakening continued at steady pace as Federal Reserve revealed plans to purchase $60 billion of short-term Treasury debt each month: 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, fell 0.4% to 98.29 but is higher currently. Stock index futures point to lower openings today.
European indexes rally on Brexit deal hopes
European stocks gains accelerated on Friday on market sentiment boost as UK Prime Minister Boris Johnson and his Irish counterpart announced they had found a possible deal over Britain’s departure from the European Union. Both the EUR/USD and GBP/USD continued their climb Friday with both pairs lower currently. The Stoxx Europe 600 Index gained 2.3%. The DAX 30 rallied 2.9% Friday to 12511.65. France’s CAC 40 rose 1.7% and UK’s FTSE 100 advanced 0.8% to 7247.08.
Shanghai Composite leads Asian Indexes gains
Asian stock indices are solidly higher today after the partial trade deal between the US and China Friday. Stock market in Japan is closed for a holiday with yen resuming its climb against the dollar. China’s markets are rising despite report China's exports slipped again in September: the Shanghai Composite Index is up 1.2% while Hong Kong’s Hang Seng Index is 0.8% higher. Australia’s All Ordinaries Index added 0.5% as the Australian dollar paired its Friday gain against the greenback.
Brent down
Brent futures prices are edging lower today. Prices rose on Friday despite Baker Hughes report the number of active US oil rigs rose by 2 to 712 last week: Brent for December settlement ended 2.4% higher at $60.51 a barrel Friday, posting 3.7% gain for the week.
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.
Recommended Content
Editors’ Picks
EUR/USD holds above 1.0700 ahead of key US data
EUR/USD trades in a tight range above 1.0700 in the early European session on Friday. The US Dollar struggles to gather strength ahead of key PCE Price Index data, the Fed's preferred gauge of inflation, and helps the pair hold its ground.
USD/JPY stays above 156.00 after BoJ Governor Ueda's comments
USD/JPY holds above 156.00 after surging above this level with the initial reaction to the Bank of Japan's decision to leave the policy settings unchanged. BoJ Governor said weak Yen was not impacting prices but added that they will watch FX developments closely.
Gold price oscillates in a range as the focus remains glued to the US PCE Price Index
Gold price struggles to attract any meaningful buyers amid the emergence of fresh USD buying. Bets that the Fed will keep rates higher for longer amid sticky inflation help revive the USD demand.
Sei Price Prediction: SEI is in the zone of interest after a 10% leap
Sei price has been in recovery mode for almost ten days now, following a fall of almost 65% beginning in mid-March. While the SEI bulls continue to show strength, the uptrend could prove premature as massive bearish sentiment hovers above the altcoin’s price.
US core PCE inflation set to signal firm price pressures as markets delay Federal Reserve rate cut bets
The core PCE Price Index, which excludes volatile food and energy prices, is seen as the more influential measure of inflation in terms of Fed positioning. The index is forecast to rise 0.3% on a monthly basis in March, matching February’s increase.