Subscribe to RSS

Markets rise on cautious optimism ahead of Federal Reserve decision

US stock markets advanced on Wednesday helped by rising oil prices. The dollar weakened, the ICE dollar index, a measure of dollar’s strength against a basket of six rival currencies, closed down 0.27%. The S&P 500 rose 0.9% to 1,995.31, led by energy stocks, utilities and consumer staples. Stocks traded in a range as investors were reluctant to make major bets ahead of Federal Reserve’s interest rate decision. Inflation data revealed consumer price index fell 0.1% in August after rising 0.1% in July. The monthly inflation fell for the first time since the start of the year, mainly due to 2% drop in energy prices. The inflation rose 0.2% year-over-year, below Fed’s target of 2%, with core consumer prices rising 1.8%. Market reaction to weak inflation data was consistent with “bad news is good news” pattern as low inflation performance may prevent the Fed from raising rates. At the same time short term Treasury yields closed slightly higher Wednesday after reaching record highs on Tuesday, indicating expectations for interest rate hike. Trading was thin with the trading volume at 6.03 billion shares on US exchanges, about 24% below the 20 day average. Trading today is expected to be volatile as the Federal Open Market Committee will announce its interest rate decision at 19:00 CET. According to CME Group’s FedWatch traders of fed funds futures are pricing in a 23% chance of rate hike. At 13:30 CET August current account balance, building permits and housing starts will be published in US. At the same time initial jobless claims and unemployment claims will be released. And at 15:00 CET Philadelphia Fed manufacturing index for September will be published. The tentative outlook is negative.

European stocks rallied on Wednesday propelled by pick up in merger and acquisition activity in beer industry. The euro strengthened against the dollar. The Stoxx Europe 600 rose 1.5%, recording the biggest gain in about two weeks. DAX 30 closed up 0.4%. SABMiller PLC jumped 19.9% in London after the British brewer of Miller Genuine Draft was approached about potential acquisition by rival Anheuser-Busch InBev, whose shares finished up 6.4%. In economic news inflation in the euro-zone unexpectedly fell in August as the final estimate of the annual rate of inflation was revised downward to 0.1% from an initial estimate of 0.2%. Today at 9:00 CET European Central Bank publishes its Economic Bulletin. At 10:00 CET euro-zone construction output for July will be released. And at 9:30 CET August retail sales will be published in UK. The tentative outlook is positive for the Pound.

Nikkei rose 1.4% today as yen weakened against the dollar and market sentiment was bolstered by continued gains on Wall Street and China’s markets. Tomorrow at 00:50 CET Bank of Japan monetary policy meeting minutes will be published.

Chinese stocks fell today with the Shanghai Composite Index closing down 2.1%.

Oil prices are rising today after rallying more than 4% on Wednesday following US Energy Information Administration report of 2.1 million barrels fall in crude supplies in the past week. Data also showed that total domestic oil production fell by 18,000 barrels last week to 9.12 million barrels a day.

Gold futures are rising today after recording the biggest gain in nearly a month on Wednesday as weak inflation data suggested that the Federal Reserve may refrain from hiking interest rates.

More Details

0 commentsback to post

Add your comment

Nickname:
E-mail:
Website:
Comment:

Other articlesgo to homepage

100% Withdrawable Bonus on your First Deposit – NordFX

100% Withdrawable Bonus on your First Deposit – NordFX(0)

Up to 150% Bonus for a First Time to binary options Account. For a perfect start, we offer you a 150% bonus for a first-time $5,000 deposit. Link:  Up to 150% Bonus for a First Time Link:  100% Withdrawable Deposit Bonus Link:  55% Deposit Bonus Promotion Link:  DemoCup contest  prize fund is $42000 Available to:

$10 Free Credited into your account – Champion FX

$10 Free Credited into your account – Champion FX(0)

$10 Free Welcome Credited Bonus into your account. Sign up for a ChampionFX Cent live trading account today and get a Free Welcome Forex Credited Bonus worth USD 10 Link:  $10 Free Credited Available to: New and Existing Traders. Ending Date: 31 December 2018 Bonus Offer: $10 Free Welcome Credited into your account to All

Monthly Live Forex Trading Competition – Tickmill Ltd.

Monthly Live Forex Trading Competition – Tickmill Ltd.(0)

Forex Monthly Live Trading Competition. Put your forex trading skills to test and win up to $1000 every Month! Forex Live Trading Competition is only available for clients of Tickmill Ltd.(FSA Regulated) Link:  Weekly Demo Race Trading Contest Link:  $30 Free Welcome Bonus Offer Link:  Forex Monthly Live Trading Contest Available to: All new traders

Get $1500 Forex No Deposit Welcome Bonus – InstaForex

Get $1500 Forex No Deposit Welcome Bonus – InstaForex(0)

Get $1500 No Deposit Forex Bonus from InstaForex no need to risk your own money if you have already got funds to earn more money. The $1500 No Deposit Free Bonus from InstaForex is an exciting opportunity to start Forex live trading. Link:  $500 Forex No Deposit Free Bonus Link:  $1000 Forex No Deposit Free

Up to 50% Welcome Bonus on Each Deposit – Fort Financial

Up to 50% Welcome Bonus on Each Deposit – Fort Financial(0)

Up to 50% Welcome 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: $888 Extra Bonus Amount Promotions Link:  $5 Forex No Deposit Welcome Bonus Link:  Up to 50% Bonus of Every Deposit

300 USD No Deposit Forex Welcome Bonus – CARRAX

300 USD No Deposit Forex Welcome Bonus – CARRAX(0)

300 USD No Deposit Forex Welcome Bonus for 30 calendar days for real trade in the forex market. Only Carrax verified users may participate in the 300 USD No Deposit Forex Welcome Bonus Promotion. Link:  300 USD Forex No Deposit Bonus Withdrawal: Only profits can be withdrawn after 30 days of having the account active.

FX Zone Currency Capital Forex Trading Contest – FXTM

FX Zone Currency Capital Forex Trading Contest – FXTM(0)

FX Zone Currency Capital Trading Contest final Bid Central. Sharpen your forex trading skills completely RISK-FREE as you enter ForexTime Broker simulated forex world of 2017 the FX Zone Currency Capital Contest. Link:  FX Zone Currency Capital Contest Link:  $25 Per Referral Earn up to $10000 Link:  Receive $30 Tradeable Credit Bonus Link:  Loyalty Cashback

$123 Free No Deposit Welcome Bonus – FBS Broker

$123 Free No Deposit Welcome Bonus – FBS Broker(0)

$123 Free No Deposit Forex Bonus of FBS Broker all new members to get a Free bonus of $123 without initial deposits and start a risk-free forex liveForex Trading. Link:  $123 Free Forex Bonus Promotion Link:  100% Deposit Bonus Promotion Link:  $88.8 Lucky No Deposit Bonus (for Malaysian traders) Available to: All new traders Ending

$50 Free No Deposit Bitcoin Bonus Special Promo – UFX

$50 Free No Deposit Bitcoin Bonus Special Promo – UFX(0)

$50 Forex No Deposit Bitcoin Bonus Special Promotion to all new trading account holder. Start Forex Trading Bitcoin with UFX and  Get a $50 No Deposit Bonus Link:  $50 Forex No Deposit Special Bonus Link:  $50 Free No Deposit Bitcoin Bonus Link:  100% Real Money CashBack Promo Link:  $5000 BitCoin Rewards Bonus Promo Available to:

Forex Special Promo FREE Forex Trading Signals – CMSTrader

Forex Special Promo FREE Forex Trading Signals – CMSTrader(0)

Forex Special Promotion for our new clients. Open account and get our FREE Forex Trading Signals with high success claim them Now 91% Success! Link:  Top Social Copy Trading Platforms Link:  FREE trading signals Special Promotion Ending Date:  31 December 2018 Available to:   New Clients only Bonus Offer: Get FREE forex trading signals Special promotion

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