USD, EUR, GBP Evaluation & Information
- US Greenback on a Agency Footing After Worst Month-to-month Drop in a Decade
- Australian Greenback Struggling Forward of RBA Determination
- Equities Bounce Regardless of US Fiscal Issues
Currencies: After the biggest month-to-month drop in a decade, the US Greenback is beginning the month on the entrance foot in what’s a seasonally beneficial month. The buck’s main counterparts has posted key rejections from massive resistance areas, most notably, this has been seen within the Euro and Sterling. As we highlighted within the newest CFTC speculative positioning knowledge, US Greenback shorts is a crowded commerce and thus dangers are for a bout of quick masking. Elsewhere, the Australian Greenback is among the many notable underperformers forward of the RBA price choice as second wave COVID considerations immediate Australia to tighten lockdown measures.
GBP/USD Fell Wanting 1.32
Supply: Refinitiv
EUR/USD Rejects Trendline Stemming From GFC
Supply: Refinitiv
Equities: Regardless of US lawmakers failing to agree on a COVID assist package deal, fairness markets are exhibiting a modest bounce with European shares firmly within the inexperienced and being led by the tech sector. Equally, the optimistic threat tone has spilled into the US with each the S&P and Dow Jones futures rising 0.5-0.7%. That mentioned, traders will stay cautious all through August, which is usually a extra unstable month.
Commodities: Treasured metals are barely weaker as a stronger buck halts the advance in each gold and silver costs. That mentioned, the psychological 2000 stage stays in sight for gold. Nonetheless, with actual yields persevering with to pattern decrease, upside is more likely to persist for the dear metals advanced.
Wanting forward: Whereas market focus shall be on the US fiscal aspect and USD dynamics. On the info entrance, ISM Manufacturing PMI is more likely to garner consideration. Expectations are for a slight uptick from the prior month.
Supply: Refinitiv, DailyFX
WHAT’S DRIVING MARKETS TODAY
- “British Pound (GBP) Newest: GBP/USD Pulls Again From Multi-Month Excessive” by Nick Cawley, Strategist
- “US Greenback Shorts Turning into Excessive, EUR/USD at Danger of Reversal – COT Report” by Justin McQueen, Analyst
- “USD/CAD Technical Evaluation: Greenback Making an attempt to Flip the Nook vs CAD” by Paul Robinson, Strategist