News and analysis
Nasdaq, S&P 500 turn down after early rally on better inflation news
Equity markets erased early morning gains, notably the Nasdaq being unchanged by lunchtime after a 0.6% rally. Traders cheered better than expected inflation data and less weakness than expected in a consumer sentiment survey. Bond yields fell marginally. The dollar was unchanged. Oil saw continued profit-taking. Bottom-line: risk-off.
DAX outlook: Stocks not out of the woods yet
At the time of writing, the stock markets were starting to come off their best levels. With this being the month- and quarter-end, there will be lots of repositioning today, which may mean lower stock prices later, given that we have been in a risk off market environment for much of September. In any event, volatility is here to stay.
Earnings This Week: Tesla deliveries, Tesco and Boohoo
Wall Street is fearful that Tesla deliveries could fall short of expectations, Tesco keeps showing why it’s the leading UK grocer, and Boohoo needs to show it can still complete a major turnaround before the end of the year.
Q4 Crypto Market Outlook: Bitcoin and Ethereum Consolidation Continues
Bitcoin and Ethereum market internals show the market is poised for a new bullish cycle IF a catalyst emerges...
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S&P500 Forecast: Stocks rise after PCE data
US stocks are heading higher after US core PCE, the Fed's preferred gauge for inflation cooled to 3.9% from 4.2%. Meanwhile headline PCE ticked higher showing that inflationary rises are rising modestly. US stocks have fallen across the month, booking the worst monthly performance so far this year and the first quarterly decline in 2023 amid concerns that the Fed will keep interest rates higher for longer.
Reddit Stocks: What meme stocks are trending today? – September 28, 2023
What stocks are being discussed and traded today, and which ones are experiencing the sharpest moves before the bell?
Euro to Dollar Analysis: EUR/USD could suffer from rising oil prices - Forex Friday
Despite softer Eurozone inflation and German retail sales data, the EUR/USD climbed for the second day in the first half of Friday’s session. It was supported because of firmer risk tone across financial markets, driven by a weakness in US dollar and global bond yields. But rising oil prices are among reasons that could prevent the EUR/USD from rising much further.
GBP/USD, EUR/USD Forecast: Two trades to watch
GBP/USD rises as the UK economy grew fast than expected in 2022, US inflation data is up next. EUR/USD rises ahead of inflation data.
Can US PMI surveys and employment reports sway bonds? The Week Ahead
Last week we noted that bond yields could trump economic data this week, and for the most part they did. We can also extend that comment into next week, especially if they continue to retreat and loosen their grip on bearish sentiment and allow risk assets to rebound. Highlights in next week’s calendar include the NFP and ISM PMI reports, RBA and RBNZ monetary policy meetings, the quarterly Tankan survey for Japan and Canada’s employment report.
Bonds bounce hard following bloodbath: did we just see the highs for yields this cycle?
Whatever the catalyst, something strange happened in US Treasuries on Thursday: bond yields actually fell, sparking speculation of an impending reversal.
AUD/USD rebounds as USD reversal gives sentiment a breather: Asian Open
Bond markets loosened their grip on sentiment on Thursday, with the US yield curve lower and dragging the USD lower with it. USD/CHF snapped its 12-day winning streak and pulled back from the 0.92 handle, AUD/USD recouped all of Wednesday's losses and closed above 64c Wall Street bounced from cycle lows in an apparent short squeeze. The question now is whether it was a 1-day reprieve, or there is more juice in the risk-off tank. Today’s US PCE inflation report could answer that question.
Bond yields fall back, Nasdaq rallies
Rising bond yields threaten equity market valuations, notably tech stocks, but benefit the US dollar’s attractiveness – themes which continue to play out in markets. Lower bond yields benefited the equity market today, notably the Nasdaq, but for how long? Housing sales data was very weak, unsurprisingly given record high mortgage rates. Bottom-line: risk-on.
S&P 500 Analysis: Stocks buoyed by soft data
After heavy selling pressure comes a big bounce. Ironically, today’s bounce in stocks appears to be triggered by softer-than-expected US data. The rationale is that weaker data will discourage the Fed from tightening its belt further, and simultaneously increases the chances of a sooner-than-expected rate cuts.
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