Subscribe to RSS

Market Overview:  Dollar weakens with Black Monday market selloff

US stocks suffered the biggest drop in four years on Monday as investors sold off equities on concerns slowing economy of China will drag down global economic growth. The dollar weakened as market participants revised further downward expectations of interest rate hike in September given the dimmer outlook for world economy and selloff in US markets. The ICE US Dollar index, a measure of the dollar’s strength against a basket of six currencies, closed down 1.7%. The S&P 500 Index opened down as much as 5.3%, and closed with a decline of 3.9% to 1,893.21, the lowest level since October 2014. Nearly all 500 members of the index closed with a loss. Trading was heavy as nearly 14 billion shares changed hands on Monday, the largest volume since August 10, 2011. The course of US stock market will largely depend on incoming US economic data and further performance of China’s economy. Analysts now estimate second-quarter earnings will be 1.3% higher, sharply above the 3% decline expected at the start of last month. Stock futures are rising today, pointing to possibility of market recovery. Today at 14:00 CET June Case-Shiller price index will be released. The tentative outlook is positive. At 14:00 CET July new home sales, Conference Board’s consumer confidence index and Richmond Fed’s manufacturing index for August will be published. The tentative outlook is positive.

European stocks plunged on Monday in a global selloff prompted by worries about China’s slowing economy. The euro gained about 1.7% against the dollar. Stoxx Europe 600 sank 5.3%, suffering the biggest one-day percentage loss since December 2008. Germany’s DAX 30 fell 4.7% to end below 10,000 at 9,648.43 for the first time since January. UBS cut its 2015 and 2016 growth forecasts for euro-zone gross domestic product on Monday after growth in the first two quarters of this year was slower than it had anticipated. UBS now expects 2015 growth of 1.4% compared with an earlier projection of 1.6%, and forecasts GDP expansion in 2016 of 1.9% versus its previous outlook of 2%. European stock futures are rising today, reflecting market expectations of a rebound. Today Goldman Sachs downgraded their outlook on equities due to the impact of the drop in China by reducing their 3-month recommended asset allocation in equities to ‘neutral’ from ‘overweight’. Ifo institute’s report today showed German business confidence unexpectedly rebounded as business climate index climbed to 108.3 in August from 108 in July.

Nikkei fell 4% today in a choppy session as investors sold off shares with exposure to China. Today head of the ruling Liberal Democratic Party’s decision-making General Council and a close aide of Premier Shinzo Abe said Japan’s government must make a supplementary budget for fiscal spending to support the economy, but finance minister Taro Aso said the government had no immediate plans to devise a new fiscal package.

Chinese stocks plunged today as Shanghai Composite Index tumbled 7.6 % despite the injection of $23.4 billion into the financial system by the central bank.

Oil is edging higher today after October Brent crude dropped 6.1% on Monday to $42.69 a barrel, dipping below $43 for the first time since March 2009.

Gold is extending losses today as dollar is rebounding and Asian equities recovered from three year lows after yesterday’s selloff. Gold futures lost 0.5% on Monday.

Copper is edging higher today after falling 1.9% to the lowest level in more than six years on Monday.

More Details

0 commentsback to post

Add your comment

Nickname:
E-mail:
Website:
Comment:

Other articlesgo to homepage

Live Trading Competition & 20% Deposit Bonus – FirewoodFX

Live Trading Competition & 20% Deposit Bonus – FirewoodFX(0)

Forex Live Account Trading Competition and 20% Forex Deposit Bonus . FirewoodFX presents the forex live account Trading Competition 1 with cash prize more than $1000! Be the winner by achieving the highest profit! Link: Live Account Trading Competition Link: 20% Bonus Make $100 Deposit or More Available to: All new and existing Ending Date:

$50 Free Bonus Without a Deposit – Adamant Finance

$50 Free Bonus Without a Deposit – Adamant Finance(0)

Free $50 Forex No Deposit Welcome Bonus to all new Traders. Receive $50 for Forex Free Bonus Without a Deposit and test the terms on a real account, without transfering any money. Link:  $50 No Deposit Free Welcome Bonus Ending Date: 31 December 2018 Available to: All new Traders Bonus Offer: Free $50 Forex No

Binary Options Free Demo Trading Tournament – CBFinvest

Binary Options Free Demo Trading Tournament – CBFinvest(0)

Binary Options Free Demo Trading Tournament total 2000$ cash prizes. Any Spotoption brand can start offering immediately binary options Tournaments, without spending a fortune on programming and without waiting for months Link:  Binary Options Free Demo Tournament Available to: All Customers AMAZING FEATURES Rebuys – for Tournaments based on demo, the feature of Rebuys allows

Risk Free Trading plus Free Forex Signals – MarketsYes

Risk Free Trading plus Free Forex Signals – MarketsYes(0)

300% Forex Deposit Bonus Promotion and Forex Risk Free Trade plus Forex Free Signals All New and existing clients. MarketsYes is offering all prospective clients deposit for up to 3000 USD/EUR/GBP a 300% Tradable Bonus. Link:  300% Tradable Bonus Promotion Link:  Risk Free Trade plus Forex Free Signals Available to: All New and existing clients

50% Bonus of Every Deposit – Fort Financial Services

50% Bonus of Every Deposit – Fort Financial Services(0)

Up to 50% Bonus of Every Deposit to All New and Existing Traders. You Deposited $1000 on your account, chose a 50% bonus and got 500 extra dollars to the initial deposit amount. Link: Up to 50% Bonus of Every Deposit Link: $5 Forex No Deposit Welcome Bonus Link: 15% Support Margin Bonus Link:  Profit

123% Tradable Deposit Bonus Promotion – FreshForex

123% Tradable Deposit Bonus Promotion – FreshForex(0)

Get 123% Tradable Deposit Bonus Promotion gives a real chance to start Forex trading with low investment and double return. Start efficient Forex trading with Tradable Bonus 123% Campaign. Link:  123% Tradable Deposit Bonus Promotion Link:  $5 Forex No Bonus Promotion Ending Date:  31 December 2017 Available to:   New Clients only Bonus Offer: Get 123%

500 Cent Forex No Deposit Welcome Bonus – FortFs

500 Cent Forex No Deposit Welcome Bonus – FortFs(0)

Get 500 Cent Forex No Deposit Welcome Bonus 2017-2018 to All New Traders. Open a forex real trading account, pass the personal data verification procedure and get the 500 Cent Free Forex Welcome Bonus! Link:  Up to 50% Bonus of Every Deposit Link:  500 Cent Forex No Deposit Bonus Link:  15% Support Margin Bonus Available

$10000 Monthly Challenge Live Trading Contest – FXCM

$10000 Monthly Challenge Live Trading Contest – FXCM(0)

$10,000 Monthly Challenge Live Trading Contest Compete to Win Cash Prizes. The Contest only available to FXCM Mini Account clients Join the monthly Live Trading Contest by opening an FXCM Mini Account with as little as $50. Link:  $10000 Monthly Challenge Contest Available to: All Mini Account clients Contest offer: $10,000 Monthly Challenge Live Trading

$1000 Free No Deposit Forex Bonus – Grand Capital

$1000 Free No Deposit Forex Bonus – Grand Capital(0)

Contests for Forex trader Main Prize $1000 Free No Deposit Forex Bonus. The Contests main prize is $1000 Free No Deposit Forex Bonus with fully withdraw able profit Link:  $1000 Free Bonus‎ Trader Contest Link:  $500 Forex No Deposit Welcome Bonus Link:  Up to 444% Profit Receive for a single trade Link:  40% Forex Deposit

Up to $5000 Trading Credits Bonus Promo – HYCM

Up to $5000 Trading Credits Bonus Promo – HYCM(0)

25% Forex Credit Bonus Promo available on your Deposits. Experience Some of HYCM New Features, Services and Offers Receive 25% Forex trading credit bonus Link:  25% Trading Bonus on your Deposits Ending Date:  31 December 2017 Available to:   New Clients only Bonus Offer: 25% Forex Trading Bonus Promo Available on your deposits to New Clients only.

read more

Forex Featured Broker

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