Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:
1. Stocks rallying on Tuesday
1. Stocks rallying on Tuesday
U.S. stock futures are pointing up and European markets are jumping in early trading.
A negative mood in the market evaporated after new data showed Germany's economy grew by 1.3% in the first quarter compared to the same time last year.
"The German GDP data matched the forecast level and this has changed sentiment among traders," explained Naeem Aslam, chief market analyst at ThinkForex.
Asian markets ended the day with small losses.
The last few trading days have been relatively uneventful and volatility is low. The CBOE Volatility Index is currently half the level it was in late January when markets were extremely volatile.
On Monday, the Dow Jones industrial average and Nasdaq dipped 0.1% while the S&P 500 declined 0.2%.
2. GBP jumps after poll shows ‘Remain’ campaign leading
2. GBP jumps after poll shows ‘Remain’ campaign leading
The pound rose for the first time in three days on Tuesday after a new opinion poll showed the ‘Remain’ campaign with a big lead with one month to go until the referendum on Britain’s European Union membership.
The latest ORB poll, published in Tuesday's Telegraph newspaper, showed that the “Remain’ campaign has a 13-point lead over the ‘Leave’ campaign. Support for remaining in the EU stood at 55%, while support for Brexit was at 42%.
GBP/USD was up 0.79% at 1.4599, rebounding from Monday’s lows of 1.4441, while EUR/GBP dropped 1.02% to 0.7668.
3. Gold drops
3. Gold drops
Gold sank to a session low of $1,242.00 a troy ounce on Tuesday, a level not seen since April 28, as comments from Federal Reserve officials added to expectations that a rate hike could come as soon as June.
The latest signal came from Philadelphia Federal Reserve Bank President Patrick Harker who said Monday that two to three rate hikes are possible this year if the economy continues to grow as projected.
4. Eurogroup meets to discuss Greece debt
4. Eurogroup meets to discuss Greece debt
Eurozone finance ministers are meeting in Brussels on Tuesday to discuss how to conclude Greece’s bailout review. After a six month delay, the euro zone is likely to say that Greece has passed the reforms needed to unblock 10 billion euros ($11.2 billion) in new loans, but Athens won't get debt relief because of differences between the bloc and the International Monetary Fund.
