I’m Brad Alexander and in this week’s Market Blast Fundamentals let’s take a look at EURJPY, EURGBP; NZDUSD, Gold (XAUUSD), EURUSD, the NASDAQ (US100), and the S&P 500 (US500).
Last Friday Jerome Powell stated that the Fed may pause its pattern of Interest Rate rises in the June meeting.
US corporations always like the sound of this and the S&P 500 rose up trying to break resistance.
The NASDAQ rose as well with price action passing a point from last July.
Last Thursday’s US Unemployment Claims were lower than expected making the dollar slightly weaker which foreshadowed Chair Powell’s vision.
This has driven price action against the trend and we will look at this from the technical side tomorrow.
Gold has been falling for a couple of weeks now and may fall further if Joe Biden’s positive words yesterday about US/China relationships were to be believed.
XAUUSD has been trying to break this key level of support but keep an eye out for negative news on the US debt ceiling which could weaken the USD and cause turmoil driving price action higher.
The NZD had a strong pullback in the middle of the month but the strong trend continues today.
However, watch out for this Wednesday’s Interest Rate decision where the market is expecting a 0.25% increase.
The market will be watching the press conference by the Reserve Bank of New Zealand for hints on future decisions.
We will hear from Christine Lagarde and see some key German data this week as well.
We also see several speeches by Andrew Bailey and UK Retail Sales on the calendar this week.
GBP is weak against some major counterparts and strong against others and we will look at some technical opportunities tomorrow.
I mentioned Christine Lagarde of the ECB earlier so watch the charts as she may hint at an Interest rate rise.
The Euro is generally weak against everything except JPY.
While we may offer market commentary based on fundamental or technical analysis, we do not offer trading advice and cannot be held liable for any decisions taken by viewers and readers of our material.
Recommended Content
Editors’ Picks
AUD/USD rises to two-day high ahead of Aussie CPI
The Aussie Dollar recorded back-to-back positive days against the US Dollar and climbed more than 0.59% on Tuesday, as the US April S&P PMIs were weaker than expected. That spurred speculations that the Federal Reserve could put rate cuts back on the table. The AUD/USD trades at 0.6488 as Wednesday’s Asian session begins.
EUR/USD now refocuses on the 200-day SMA
EUR/USD extended its positive momentum and rose above the 1.0700 yardstick, driven by the intense PMI-led retracement in the US Dollar as well as a prevailing risk-friendly environment in the FX universe.
Gold price on the defensive, amid soft US Dollar
Gold retreats modestly after failing to sustain gains despite fall in US Treasury yields, weaker US Dollar. XAU/USD struggles to capitalize following release of weaker-than-expected S&P Global PMIs, fueling speculation about potential Fed rate cuts.
Ethereum continues hinting at rally following reduced long liquidations
Ethereum has continued showing signs of a potential rally on Tuesday as most coins in the crypto market are also posting gains. This comes amid speculation of a potential decline following FTX ETH sales and normalizing ETH risk reversals.
Australia CPI Preview: Inflation set to remain above target as hopes of early interest-rate cuts fade
An Australian inflation update takes the spotlight this week ahead of critical United States macroeconomic data. The Australian Bureau of Statistics will release two different inflation gauges on Wednesday.