Bitcoin is in rally mode, apparently. After months in the doldrums, the No. 1 digital currency extends its gains on Wednesday after following a sharp run-up in the previous session.
Investing.com – The dollar was unchanged against its rivals Wednesday as gains on the back of a slump in the pound were offset by soft U.S. economic data showing subdued housing market activity.
A popular U.S. dollar index extends its gains on Wednesday, reflecting a broad advance in the buck against its major rivals.
Gold prices were steady near a one-year low on Wednesday as a higher dollar and comments from Federal Reserve Chair Jerome Powell continued to weigh. Comex gold futures for August delivery decreased 0.29% to $1,223.80 a troy ounce as of 10:46 AM ET (14:46 GMT). Powell reiterated the central bank should gradually increase interest rates at his hearing at Congress on Tuesday.
The pan-European equity index finish at the highest level in more than a month Wednesday, extending gains in the region to a second session amid a weakening euro and a round of well-received corporate results that fostered buying appetite.
The S&P 500 gained a quarter of a point, or 0.01%, to 2,809.79 as of 9:37 AM ET (13:37 GMT), while the Dow decreased 10 points, or 0.04%, to 25,109.01 and the tech-heavy NASDAQ Composite was down four points, or 0.06%, to 7,850.33.
Look at the price action in the Treasury markets for the true assessment of the economy rather than to try to make a financial decision based on politics or what Trump said or did like others. Frankly, I don’t know how anyone can make a trading decision based on the emotions of the President. Some analysts continue to try to make everything the President says or does a trading issue, but I’ve never seen it baked into a trading system.
In case the quote fails to cross the 1.3265 immediate barrier, it can revisit the 1.3220-15 zone, breaking which 1.3160 and an upward slanting TL, at 1.3125, may confine the pair’s following declines. While USDCAD has another resistance to break after clearing an intermediate hurdle, the GBPCAD’s recent break of ascending trend-line can’t be termed as a sign of its plunge unless closing below the 1.7160 TL-mark on a daily basis.
Based on the early trade, the direction of the EUR/USD the rest of the session is likely to be determined by trader reaction to the short-term Fibonacci level at 1.1617. Basically, look for a potential acceleration to the downside under 1.1601 or a labored short-covering rally over 1.1617.
Investing.com - U.S. stock futures were flat Wednesday as investors digested earnings news and waited for the second day of testimony from Federal Reserve Chair Jerome Powell.The S&P 500 futures was flat at 2.811.25 as of 6:56 AM ET ( 10:56 GMT) while Dow futures increased six points or 0.02% to 25,112.0. Meanwhile tech heavy Nasdaq 100 futures lost six points or 0.08% to 7,415.75.Powell is expected to deliver his semiannual testimony to the House Financial Services Committee at 10:00 AM ET (14:00 GMT). ...
Investing.com - The pound fell to the lowest levels in 10 months against the broadly stronger dollar on Wednesday, as unexpectedly weak UK inflation data diminished chances for an August rate hike by the Bank of England.
Powell’s speech with the semiannual report in the U.S. Congress contained an optimistic view on the economic outlook. Such a tone has reduced fears that trade wars will negatively affect economic valuations.
U.K. stocks rose for a second straight day on Wednesday, boosted by a slide in the pound after a disappointing reading on British inflation raised doubts about an August rate rise.
Investing.com - The broadly stronger dollar hit six month highs against the yen on Wednesday as optimistic comments from the head of the U.S. Federal Reserve reinforced expectations that the central bank is on track to keep gradually raising interest rates.
The reaction by bearish traders in the gold market to Powell’s testimony indicates that they are happy with the economy and the Fed’s “gradual” pace of interest rate hikes. The charts indicate that resistance is the old tops at $1228.20 and $1230.70. On the downside, the next target is the February 2017 bottom at $1217.20. This price is the trigger point for a steep sell-off with $1158.40 the next major downside target.
Worse CPI in the UK sends the GBP lower. On the GBPCAD it helps to break the long-term up trendline and the lower line of the rectangle. That is a strong sell.
On Wednesday, gold prices held steady near a one-year low hit in the previous session, as the dollar firmed after Federal Reserve Chairman Jerome Powell’s U.S. economic outlook reinforced views that the central bank is on track to steadily hike interest rates.
The gold market has broken down significantly during the yesterday’s session, slicing through the $1230 level. The market has a significant support at the $1225 level and if it breaks this level, then the gold prices are likely to break down towards the $1200 level. The silver prices broke down significantly during the yesterday’s session reaching down to the $15.50 level.
The British Pound continues its fall on Wednesday morning, trading at 1.3087, down 0.18%. The pound falls on reports that Theresa May could face a defeat on the latest Brexit Vote.
The market in the present scenario is going to be extremely noisy as the Brexit negotiations and strength in USD will keep the market under pressure. The market will remain under pressure as the Brexit negotiations gathered pace and fall in Tuesday’s session is likely due to an indication that the UK is going to leave EU customs union without a deal.
The pair has finally yielded to the pressure due to the uncertainty in the Brexit process and this has led to the breach of the 1.32 region
Though the pair has fallen, it is likely to continue to be in range as the fundamentals are not strong enough to push for a break of the range
The European Union and Japan signed a historic deal on Tuesday that will remove any tariffs on products they exchange.