Subscribe to RSS

Forex Market Overview:  Dollar dropped on concerns about China

Yesterday American stocks edged lower after 2 days of loss on concerns that Chinese economy slowdown may result in a global crisis. Caixin China PMI industrial index dropped 0.7 points in August to 47.1. This was the steepest monthly fall for 6.5 years. To be noted, it has been moving below 50 for 6 months. This mark is considered to be a separation point between industrial expansion and contraction. S&P 500 retreated to a 6-month low and showed the sharpest daily drop since February. 2014. Disney and Time Warner media stocks lost 6% and 5% respectively as the Bernstine investment company cut their ratings. Apple shares declined 2% because of sales in China dropping for the first time in the second quarter. The American stocks trade volume on Thursday was 18% above the monthly average, making 7.9bln shares. Today at 15:45 CET the Markit agency will release Preliminary Manufacturing PMI (Purchasing Managers Index).


European indices recorded new lows this morning because of negative statistics from China. Now they have been slightly rebounding due to good Manufacturing PMI in Germany and eurozone (August data). Today at 16:00 CET Consumer Confidence index in August will be published in the European Union; the tentative outlook is neutral.

The euro fell to its 2-month lowest against the dollar: investors expect that eurozone economy will grow while China will slow down. US ICE Dollar index recorded a new 8-week minimum. According to market participants, Chinese recession makes Fed hike in September less likely.

Nikkei dropped for 5 consequent days to a six-week low. However, the contraction was not that intense as compared to other global indices. On Wednesday and Thursday Bank of Japan injected liquidity to financial markets, each day buying exchange-traded funds worth 33.7bln. It is worth mentioning that stocks retreated regardless of good macroeconomic data, released this morning. Japanese Manufacturing PMI advanced in August from 51.2 to 51.9. More of that, super market sales increased in July. The yen inched higher third day in a row. It has been used for carry trade operations.


Demand for gold increased due to concerns about world economic growth prospects in the light of Chinese recession. Gold prices reached a new 6-week high. The weekly record may be the best since January. Greek prime minister Alexis Tsipras resigned from office. The country may hold new parliamentary elections September, 20, which may negatively affect European markets. We would like to remind you that gold futures marked a 5.5-year low this July.

Oil prices have been falling for 8 straight weeks. This is the longest constant fall since 1986. To be noted, 29 years ago they plummeted from $30 to $10 per barrel. The USSR launched a reformation program called “Perestroika” which led to its collapse in the end. Then oil had been traded for almost 10 years between $15 and $22 per barrel. It skyrocketed to $40 October, 1990 when the US invaded Kuwait. After the crisis of 1998 in Russia oil prices set a steady uptrend.


In July China increased sugar import 72.7% to 485 thousand tons as compared to July, 2014. In theory, it may drive the prices up from their recently recorded 7-year low. If compared to this June, sugar import by China doubled.

0 commentsback to post

Add your comment

Nickname:
E-mail:
Website:
Comment:

Other articlesgo to homepage

Get 100% Bonus Promo Doubles your Deposit – FBS

Get 100% Bonus Promo Doubles your Deposit – FBS(0)

Get 100% Forex Bonus Doubles your Deposit FBS Broker has prepared something really special for you. Activate 100% Forex Deposit Bonus and make your trading x2 more efficient Link:  $50 Free Will be credited to Your Account Link:  $88.8 Forex No Deposit Bonus Link:  $123 Forex No Deposit Bonus Link:  100% Forex Deposit Bonus Promotion

Free SERENITY Tokens for Forex Trading – Grand Capital

Free SERENITY Tokens for Forex Trading – Grand Capital(0)

Get free SERENITY tokens for forex trading on ECN Prime and/or Standard account. SERENITY Free tokens can be used to pay for Serenity Financial platform services or sold on an exchange after the ICO ends. The nominal price of 1 token is 0.1 ETH. Link:  Free SERENITY Tokens for Trading Link:  444% Profit Receive for

Trading Signals and get your opportunity to succeed – FXTM

Trading Signals and get your opportunity to succeed – FXTM(0)

Take advantage of ForexTime Free Forex Trading Signals and get your opportunity to succeed. Get Free Forex Trading Signals prepared by ForexTime professional analysts Link:  FREE trading signals Special Promo Link:  Start Copy Trading your Perfect Partner Link:  $25 Per Referral Earn up to $10000 Link:  Receive $30 Tradeable Credit Free Bonus Link:  Demo Forex

Get 100% Bonus Trusted and Regulated Broker – AvaTrade

Get 100% Bonus Trusted and Regulated Broker – AvaTrade(0)

Register and forex start trading now and claim your 100% Deposit Bonus minimum fund of $100 for first deposit. Just for new customer we welcome you with some fantastic 100% Bonus Offers Link:  100% Bonus to Your First Deposit Link:  35% New Accounts Bonus Promotion Link:  Advantages of Trading Bitcoin Cash Available to: All new

Win-Win Live Trading Forex Contest – Tickmill Ltd.

Win-Win Live Trading Forex Contest – Tickmill Ltd.(0)

Holiday 2017 season is just around the corner and Tickmill is rewarding you with real Bitcoin prizes and rebates. Win-Win Live Trading Forex Contest ensures there is a prize for everyone! Link:  Win-Win Forex Live Trading Contest Link:  Weekly Demo Race Trading Contest Link:  $30 Free Welcome Bonus Offer Link:  Forex Monthly Live Trading Contest

$3500 Forex No Deposit Bonus, Risk Free Trading‎ – InstaForex

$3500 Forex No Deposit Bonus, Risk Free Trading‎ – InstaForex(0)

Get $3500 No Deposit Free Bonus from InstaForex no need to risk your own money if you have already got funds to earn more money. The $3500 No Deposit Bonus from InstaForex is an exciting opportunity to start live trading. Link:  Up to $5000 No Deposit Free Bonus Link:  $500 Forex No Deposit Free Bonus

444% Profit Receive for a Single Trade – Grand Capital

444% Profit Receive for a Single Trade – Grand Capital(0)

Up to 444% Profit receive with our new Express Options for Grand Capital Binary Option Broker Ltd. Make a correct prediction for 3 assets at the same time Link: Up to 444% Profit Receive for a single trade Link:  $500 Forex No Deposit Welcome Bonus Link:  40% Forex Welcome Deposit Bonus Available to: All new

Receive $30 Credit Bonus for Trusted  Broker- FXTM

Receive $30 Credit Bonus for Trusted Broker- FXTM(0)

Switch to ForexTime and receive $30 Trading Credit Bonus. Join the hundreds of thousands of traders around the world who have already chosen ForexTime as a broker and receive $30 Trading Credit Bonus as a thank you for switching. Link:  Up to $200 Cash Bonus this December Link:  Receive $30 Tradeable Credit Bonus Link:  FX

15% Support Margin Bonus and $50 Free Bonus – FortFS

15% Support Margin Bonus and $50 Free Bonus – FortFS(0)

15% Support Margin Bonus Plus $50 No Deposit Bonus to all New and Existing Traders. For Every Traders who passed the verification process in their traders room can get the $50 Free Bonus Link:  $50 Forex No Deposit Welcome Bonus Link: Up to 50% Bonus of Every Deposit Link: 15% Support Margin Bonus As from

Get $34 Forex No Deposit Bonus Contest – Xtream Forex

Get $34 Forex No Deposit Bonus Contest – Xtream Forex(0)

Sign-Up and Get $34 Forex No Deposit Bonus Contest Enjoy Forex Trading Without Deposit. Grab your $34 Forex No Deposit Bonus and start your live Forex trading to win big cash prize. Link: $34 Forex No Deposit Bonus Contest Available to: All new clients Forex $50 No Deposit Bonus Contest Duration? Registration is open till

read more

Forex Featured BrokerSocial Trading

Contacts and information

ForexDepositNews.com Forex Deposit Bonus, Forex No Deposit Bonus, Forex Live Contest, Forex Demo Contest, Free Forex Bonus Forex Brokers Review and Other All Forex promotions.

ForexDepositNews.com

Social networks

Most popular categories