Yesterday we saw some negativity ran rampant throughout the markets following some negative data that was released out of Europe and the US as German ZEW Economic Sentiment came out lower than the forecast, coming in at 63.3 causing a selloff in the Dax, later the afternoon the US released their ISM Services PMI figures which came in lower than the forecast, coming in at 60.1 giving us some insight to next week’s CPI figures. The result being that we saw some strong selloffs during the first couple of hours of the US Open, the Dow was affected the most making a daily low of 34 366 down from its daily high of 34 576, the Nasdaq sold off aggressively as well, however, recovered substantially to close the day out near its daily high.
The commodity markets followed suit as we saw dollar strength come into the market following the PMI data that was released. Gold, Silver and Brent came down substantially following recent rallies with FOMC Meeting minutes due this evening it would be beneficial to keep an eye on the precious metals post announcement.
The crypto market benefitted from the selloff that we saw in gold as we saw Bitcoin and Ethereum edge higher as investors shifted assets classes to manage risk.
As we’re waiting for the European market to open the current strongest currencies during the Asian session where the Australian and New Zealand Dollar while the Yen, Canadian and US Dollar were the weakest of the major currencies.
Keep an eye out for EU Economic Forecast and FOMC Meeting Minutes that are due today, the FOMC Meeting Minutes should be the highest impact news event for the week as they go more into detail following last month’s hawkish statements released by the Fed.
11:00 am - EU Economic Forecast (EUR)
4:00 pm - JOLTS Job Openings (USD)
8:00 pm - FOMC Meeting Min (USD)