CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
☰
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
✖

May Day Growth concerns

Article By: ,  Financial Analyst
May 1, 2014 10:38 AM

The majority of the Asian and European bourses are closed today for the Labour Day holiday so the FX markets await NFP data tomorrow following a slew of US data yesterday.

The FOMC had been touted as a non-event, with the June meeting highlighted for fresh economic projections from the Fed along with a press conference from the Chair Janet Yellen. The committee continued to taper asset purchases by $10bn per month – again split evenly between treasuries and MBS’s.

The FOMC statement was mixed as they noted economic activity had picked up recently after having slowed during the winter due to the adverse weather conditions.

US data released yesterday was mixed as the ADP survey hinted at a strong labour market, as did the employment component of ISM survey, with the consensus for tomorrows NFP headline being 220,ooo.

The slowdown evident in US Q1 GDP has been attributed to exports. Analysts have suggested this will be down to our favourite benign data excuse, ‘the weather’.

The markets remain in data watching mode and there’s a possibility that a benign payroll number tomorrow, following on from the weaker Chinese manufacturing PMI data released last night, could be the final catalyst to spook the rosy risk environment.

As mentioned, most of Europe is on holiday today so the data calendar remains bleak, with only mortgage approvals and manufacturing PMI data from the UK this morning and the US session bringing us the weekly jobless claims reading followed by US manufacturing data.

 

 

EUR/USD

Supports 1.3860-1.3830-1.3785 | Resistance 1.3900-1.3915-1.3965

 

 

USD/JPY

Supports 102.10-101.80-101.30 | Resistance 102.50-102.80-103.20

 

 



GBP/USD

Supports 1.6840-1.6800-1.6750 | Resistance 1.6900-1.6940-1.7000

 

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. CFD and Forex Trading are leveraged products and your capital is at risk. They may not be suitable for everyone. Please ensure you fully understand the risks involved by reading our full risk warning.

City Index is a trading name of StoneX Financial Ltd. Head and Registered Office: 1st Floor, Moor House, 120 London Wall, London, EC2Y 5ET. StoneX Financial Ltd is a company registered in England and Wales, number: 05616586. Authorised and regulated by the Financial Conduct Authority. FCA Register Number: 446717.

City Index is a trademark of StoneX Financial Ltd.

The information on this website is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement.

© City Index 2024