Overview of the world’s major financial markets from November 11, 2014

Stock markets, for the most part, continued to show positive momentum and Tuesday under the influence of the same positive news from the corporate fields. Japan’s Nikkei gained 1.9% in the trading day, and the Hang Seng closed trading on almost zeros. Meanwhile, Britain’s FTSE rose by 0.24%, German DAX — by 0.18%, while the NASDAQ and DJIA showed almost neutral position in the middle of the US session.

Despite the initial strengthening of the US dollar on the comments of aggressive Fed Fisher hinted at tightening monetary policy before the summer of 2015, the US currency had to hand over the position to the end of trading day. Provoked a new wave of such movements conversations that Mario Draghi unquestioning leader in the ECB. It maintained an interest in the euro, and then led to a sell-USD to other pairs. EUR / USD opened at 1.2419 bids, slipped to 1.2394, but the closure reached 1.2480. GBP / USD has grown up to a maximum of 1.5943, trading began in rayone1,5840. Meanwhile, USD / JPY initially responded to rumors of early elections in Japan, which led to a pair of 7-year high of 116.09, but still fell back to close to the area of 115.36. USD / RUB opened bids for 45.78, reached 46.98, but then did not go rolling back to the area of 46.60 at the close.

Prices for Brent crude updated 4-year low in recent days due to the fact that market participants laid in wait for the next quotes growth of commercial stocks of crude oil and petroleum products in the US underground storage. In addition, a major factor in the pressure remains the fact that the main suppliers of oil only increase volumes: the US production is at thirty highs in Russia reached a record for the entire post-Soviet era levels, and OPEC countries, still give about 30 million barrels per day. In such circumstances, it is logical that Brent opened at 82.63, has updated the next 4-year-old record at 81.26, recovering slightly above 82.00 to the close of trading.

Meanwhile, precious metals initially continued to fall, observed from the beginning of the week, but by the end of trading were able to recover the loss. As a result, starting the day at 1151,12, XAU / USD touched a minimum 1146.09, and then turned around to the end of the trading day after returning to the area of 1168. Meanwhile, XAG / USD from the opening level of 15.57 to 15.44 weakened but recovered in the area of 15.80 at the close.

Forecast for Wednesday, November 12

Stock market

Today the attention of market dynamics can attract British FTSE, as the United Kingdom publishes a number of interesting reports. Releases really are important for investors to understand how to help with the time during which we can expect from the Bank of England any action. Ultrasoft policy for the stock market played a good service — the FTSE demonstrated impressive growth from March 2009 until February of this. However, in March, he stalled, as investors began to price the probability of a speedy transition to the regime of tightening by the regulator. If today’s report on the labor market, as well as the quarterly inflation report will convince traders that the first rate hike will not happen until the second half of next year, it will support the FTSE with the immediate goal at the level of 6700.

Commodities

Gold prices are acting in the scenario we have described, showing the restoration to the upper limit of this range, located at around $ 1,200 per ounce. Observed yesterday weakening US dollar may partly support the further strengthening of the precious metal. However, on the way up can be pretty strong barrier $ 1180, which is XAU / USD tried several times to break in November, but has failed. It is possible that after reaching this particular border asset resume again fall down.

Foreign exchange market

Today, the star of the market may become the British currency, as we are waiting for the publication of data on employment in the UK, as well as the quarterly inflation report. Both releases can have a significant impact on the GBP / USD, since the indicators used by the Bank of England when deciding on monetary policy. So, a report on the labor market for a long time pleases us good levels of employment and low unemployment. However, this will not be enough to trigger a demand for British currency, as the special interest rate will cause inflation, salary, and he recently held at fairly low levels, forcing investors to price the low probability of a quick transition to higher rates regulator. There is a possibility that the rate will slightly above forecasts, and it can sustain interest in GBP / USD and push the pair to 1.5980.

However, an hour later the inflation report will be published, and that it will focus all the attention of the market. Very good chance to see the revised forecasts for a fall in the rate of growth and restrained inflation expectations, which can recline standby mode transition tightening the Bank of England at the end of 2015. And then the couple will have no choice but to resume a drop below 1.5780 yearly low.

USD / RUB grew slightly during yesterday’s trading, but further strengthening may not be so easy, especially given the approaching annual repo auction, scheduled for November 17 the central bank. In addition, although the ruble pressured talk about what the West considers new sanctions package, Merkel yesterday dispelled fears confirmed that the probability of sectoral sanctions at this stage is not considered, but the expansion of the list of persons «non grata» is quite possible. Thus, the only factor of pressure on the ruble are falling prices for Brent Brent, who updated the 4-year low amid growing volume of world production.

Твой выбор

Search

The best broker

Link to Us



Overview of the world's major financial markets from November 11, 2014 | Web Trade For All - Forex trading, analytical reviews of the market and help for beginners