Wall Street advances to new records

Chris Beauchamp IG

Heading into the close, the FTSE 100 is flat, but US markets are advancing once again.

US equities are pushing higher after a shaky start, with equities having weathered options expiry in positive fashion. Kudlow’s trade comments have provided the foundation for the bounce, and a solid bounce in US retail sales compared to a month ago has added fuel to the fire. Even the lacklustre FTSE 100, which has spent the week diverging from the US in impressive fashion, is managing to stage a late rally. The positive read on US retail sales is a welcome development, sending a signal about the confidence of US consumers, and with earnings season having pointed towards a nascent recovery for US corporations, the stage is set for a continuation of this bull market. Adding to this, cash
balances at fund managers are falling once again, putting more power behind the broader move higher. Talk of Dow 30,000 by Christmas might not be so far-fetched as previously thought.

The end of the week sees the pound pushing back to $1.29, building on the rally from Monday. After some indecision mid-week, sterling traders are taking a more bullish view as fresh polls point to the persistence of a wide Conservative lead over Labour. There is still a long way to go, and manifestos have not yet been presented, but so far the campaign is going Boris’ way.

Author

Chris Beauchamp

EUR/USD looks offered below 1.1900

EUR/USD keeps its bearish tone unchanged ahead of the opening bell in Asia, returning to the sub-1.1900 region following a firmer tone in the US Dollar. Indeed, the pair reverses two consecutive daily gains amid steady caution ahead of Wednesday’s key US Nonfarm Payrolls release.

GBP/USD slips back to daily lows near 1.3640

GBP/USD drops to daily lows near 1.3640 as sellers push harder and the Greenback extends its rebound in the latter part of Tuesday’s session. Looking ahead, the combination of key US releases, including NFP and CPI, alongside important UK data, should keep the pound firmly in focus over the coming days.

Gold the battle of wills continues with bulls not ready to give up

Gold remains on the defensive and approaches the key $5,000 region per troy ounce on Tuesday, giving back part of its recent two day. The precious metal’s pullback unfolds against a firmer tone in the US Dollar, declining US Treasury yields and steady caution ahead of upcoming key US data releases.

Bitcoin's downtrend caused by ETF redemptions and AI rotation: Wintermute

Bitcoin's (BTC) fall from grace since the October 10 leverage flush has been spearheaded by sustained ETF outflows and a rotation into the AI narrative, according to Wintermute.

Dollar drops and stocks rally: The week of reckoning for US economic data

Following a sizeable move lower in US technology Stocks last week, we have witnessed a meaningful recovery unfold. The USD Index is in a concerning position; the monthly price continues to hold the south channel support.

XRP holds $1.40 amid ETF inflows and stable derivatives market

Ripple trades under pressure, with immediate support at $1.40 holding at the time of writing on Tuesday. A recovery attempt from last week’s sell-off to $1.12 stalled at $1.54 on Friday, leading to limited price action between the current support and the resistance.