Forex Trading Library

Biden’s Job Numbers Improve

0 982

Greenback Continues to Surprise

The dollar index closed 0.45% yesterday as is headed for its best weekly gain in three months.

Democrats in the US Senate expect a marathon voting process, with Republicans set to oppose Biden’s $1.9tn relief bid.

Adding to the sentiment, new claims for jobless benefits came in a bit less than expected last week.

We now await today’s NFP numbers, with traders pointing to a similar tone to the jobless claims.

Retail Rebounds

The euro plunged further on Thursday, closing 0.60% lower and falling through the 1.20 handle in the process.

This comes despite eurozone retail sales rebounding more than expected in December.

However, economists were quick to state that this upsurge was purely due to the holiday season, and expects that a slump is expected to continue into Q1.

Pound Climbs After BoE Decision

Sterling closed 0.20% higher on Thursday after the Bank of England gave an optimistic outlook for 2021.

The BoE stated that while it is appropriate to get ready for negative rates if needed, they do not intend to signal that this policy tool will be coming in the foreseeable future.

In addition, the bank also stated that the UK’s rapid Covid-19 vaccination program will help the economy bounce back strongly this year, adding to the bullish sentiment.

S&P Hits Further Records

Stocks had a day to remember yesterday as the S&P500 climbed to another record.

The Nasdaq rose by 0.56% as it fell slightly short of clinching an all-time high.

Netflix propelled after raising the price of its online service in Japan, whereas Ford Motor turned an unexpected Q4 profit, sending the stock 2.6% higher.

Gold Breaks $1800

Gold had a day to forget as it plunged over 2% on Thursday.

This signaled its largest drop since early January as the rally on the greenback continues to weigh in on the yellow metal.

In addition, with equity markets and crude oil being on the front foot all week, risk appetite continues to shift.

WTI Keeps on Giving

Crude oil climbed almost 1% higher yesterday as it maintained its accent for the fourth consecutive session.

Continuous headlines regarding imminent stimulus from the Senate, plus the optimism over supply and demand for the black gold into 2021, keeps the bullish sentiment prevailing.

Have you been testing your strategy on a Demo Account? Sign up now and begin practicing!

Leave A Reply

Your email address will not be published.