Daily Video Review - 27/05
- Donald Herison
- English
- MARKETS NEWS
- Hits: 1395
Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:
1. Stock market overview
U.S. stock futures are holding steady following a Tuesday pullback. Investors seem to have been concerned about an upcoming interest rate hike from the Federal Reserve.
On Tuesday, the Dow Jones industrial average, S&P 500 and Nasdaq all declined by about 1%. Still, stocks are not far from their all-time highs.
In Europe, all the main indexes are pushing up in early trading. Asian markets ended with mixed results.
2. Currency focus
The International Monetary Fund has declared the Chinese yuan is "no longer undervalued," after spending years criticizing China for keeping its currency from strengthening too much against the U.S. dollar.
China's yuan, also called the renminbi, has risen about 0.5% against the U.S. dollar in the last year.
The dollar is a bit weaker Wednesday versus a range of other currencies. The euro is strengthening.
3. Smokin' stocks
Shares in Imperial Tobacco Group (ITYBY) are edging up by about 1.5% in London after the company announced it had received regulatory approval to acquire some cigarette and e-cigarette brands from Reynolds American (RAI) and Lorillard (LO).
"The announcement puts an end to over 10 months of uncertainty about whether the deal would be signed off," said Mike van Dulken, head of research at Accendo Markets in the U.K.
This comes as BrandZ publishes an annual ranking showing that the Marlboro cigarette brand remains one of the most valuable in the world, worth more even than the Facebook (FB, Tech30) brand. Marlboro cigarettes are sold by Altria (MO) in the U.S. and Philip Morris International (PM) overseas.
4. Potent politics
Investors will be watching political moves in Europe as G7 finance ministers begin a three-day meeting in Dresden, Germany.
"Greece is likely to feature prominently in the discussions, and traders will keep a close eye on headlines emerging from the sit-down for direction cues," said Ilya Spivak, a currency analyst at DailyFX.
Investors in the U.K. have also been watching "The Queen's Speech," where Queen Elizabeth II outlines the new government's legislative agenda.
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What is it? It checks the change in the total inflation-adjusted value of new capital expenditures made by private businesses.
It's a leading indicator of economic health - businesses are quickly affected by market conditions, and changes in their investment levels can be an early signal of future economic activity such as hiring, spending, and earnings.
When? May 27th at 9:30pm Eastern Time.
Trading Tip: If the actual number is higher than the forecast, you can expect the AUD to rise.
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What is it? It checks the change in the total value of sales at the retail level.
It's the primary gauge of consumer spending, which accounts for the majority of overall economic activity.
When? May 27th at 7:50pm Eastern Time.
Trading Tip: If the actual number is higher than the forecast, you can expect the JPY to rise.
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What is it? It checks the interest rate at which major financial institutions borrow and lend overnight funds between themselves.
Short term interest rates are the paramount factor in currency valuation - traders look at most other indicators merely to predict how rates will change in the future.
When? May 27th at 10:00am Eastern Time.
Trading Tip: If the actual number is higher than the forecast, you can expect the CAD to rise.
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What is it? It's the primary tool the BOC uses to communicate with investors about monetary policy. It contains the outcome of their decision on interest rates and commentary about the economic conditions that influenced their decision. Most importantly, it discusses the economic outlook and offers clues on the outcome of future decisions.
When? May 27th at 10:00am Eastern Time.
Trading Tip: If the announcement will hint towards higher interest rates, you can expect the CAD to rise.
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This analysis was written by Guy Young an expert in stocks trading
LONG WEEKEND this is how called a trading day after Memorial Day. Due to lack of trading yesterday 25/05 the reaction of stock market is crazy. Imagine as if you have been relaxing for 3 days, what do you do on the 4th day you have the energy to make things. That’s exactly how the trading world reacts after long vacation. The history shows it’s one of the most profitable days once a year. The Companies, the brokers the traders their self are waiting to get started to make things happen.
What does it for binary options trading and why it’s a profitable trading day?
You will see spikes in every stock that you will encounter, in binary options you need only 1 pip to profit, in this day the analysis says the spikes will be high, the same way if you had relaxing ocean without no ways for a while and then a storm came. Talk to signalsbinary specialists on the chat they will explain you how to get started and enjoy todays trading sensation.
What is it? It checks the difference in value between imported and exported goods during the reported month.
Export demand and currency demand are directly linked because foreigners must buy the domestic currency to pay for the nation's exports. Export demand also impacts production and prices at domestic manufacturers.
When? May 25th at 6:45pm Eastern Time.
Trading Tip: If the actual number is higher than the forecast, you can expect the NZD to rise.
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What is it? FOMC Member Fischer is due to deliver a speech titled "The Federal Reserve and the World Economy," in Israel.
Federal Reserve FOMC members vote on where to set the nation's key interest rates and their public engagements are often used to drop subtle clues regarding future monetary policy.
When? May 25th at 11:00am Eastern Time.
Trading Tip: If the announcement will hint towards higher interest rates, you can expect the USD to rise.
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Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:
1. Taking stock
U.S. stock futures are holding steady.
On Thursday, the S&P 500 inched up by 0.2% and closed at a fresh record high. The Dow Jones industrial average ended unchanged, while the Nasdaq moved up by 0.4%.
In Europe, stock markets are muddling along in early trading, with no clear direction. The FTSE 100 is moving up a bit, but most other indexes are declining.
Investors are watching as the top central banker in Europe -- Mario Draghi -- gives a speech in Portugal about inflation and unemployment. And Fed chair Janet Yellen is due to give a speech about inflation at 1 p.m. ET.
2. Asia overview
Nearly all Asian markets ended Friday with gains.
Chinese indexes closed out the week after a stunning rise. The Shanghai Composite and Shenzhen indexes are up a whopping 8.1% and 12%, respectively.
Calm is returning to Hong Kong after a roller coaster ride. Hanergy's (HNGSF) market capitalization dropped by $19 billion in one hour on Wednesday, and trading in its shares remain suspended.. The company has yet to provide an explanation for the collapse in its value.
In Japan, the central bank said it would maintain its monetary stimulus program at the same pace and predicted the moderate economic recovery would continue.
Analysts don't expect an increase in stimulus anytime soon.
3. Earnings
Campbell Soup (CPB), Foot Locker (FL) and Deere (DE) are reporting ahead of the open.
4. Economics
The U.S. government will provide an update about monthly consumer inflation at 8:30 a.m. ET.
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What is it? Fed Chair Yellen is due to speak about the US economic outlook at the Greater Providence Chamber of Commerce Economic Outlook, in Rhode Island.
As head of the central bank, which controls short term interest rates, she has more influence over the nation's currency value than any other person. Traders scrutinize her public engagements as they are often used to drop subtle clues regarding future monetary policy.
When? May 22nd at 1:00pm Eastern Time.
Trading Tip: If the announcement will hint towards higher interest rates, you can expect the USD to rise.
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What is it? President Draghi is due to participate in a panel discussion at the ECB Forum on Central Banking titled "Inflation and Unemployment in Europe," in Portugal.
As head of the ECB, which controls short term interest rates, he has more influence over the euro's value than any other person. Traders scrutinize his public engagements as they are often used to drop subtle clues regarding future monetary policy.
When? May 22nd at 9:30am Eastern Time.
Trading Tip: If the announcement will hint towards higher interest rates, you can expect the EUR to rise.
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What is it? It checks the change in the total value of sales at the retail level, excluding automobiles.
Automobile sales account for about 20% of Retail Sales, but they tend to be very volatile and distort the underlying trend. The Core data is therefore thought to be a better gauge of spending trends.
When? May 22nd at 8:30pm Eastern Time.
Trading Tip: If the actual number is higher than the forecast, you can expect the CAD to rise.
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What is it? It checks the change in the price of goods and services purchased by consumers, excluding the 8 most volatile items.
Consumer prices account for a majority of overall inflation. Inflation is important to currency valuation because rising prices lead the central bank to raise interest rates out of respect for their inflation containment mandate.
When? May 22nd at 8:30pm Eastern Time.
Trading Tip: If the actual number is higher than the forecast, you can expect the CAD to rise.
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What is it? Governor Carney is due to participate in a panel discussion titled "Current perspectives on inflation and unemployment in the euro area and advanced economies" at the ECB Forum on Central Banking titled "Inflation and Unemployment in Europe," in Portugal.
As head of the central bank, which controls short term interest rates, he has more influence over the nation's currency value than any other person. Traders scrutinize his public engagements as they are often used to drop subtle clues regarding future monetary policy.
When? May 22nd at 7:00pm Eastern Time.
Trading Tip: If the announcement will hint towards higher interest rates, you can expect the GBP to rise.
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Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:
1. Stock market overview
U.S. stock futures are looking soft ahead of the open.
European markets are mostly lower in early trading.
Asian markets ended with mixed results.
2. Earnings
Best Buy (BBY)and Dollar Tree (DLTR) are reporting ahead of the open.
Hewlett-Packard (HPQ, Tech30) and The Gap (GPS) will report after the close.
3. Economics
The U.S. government will post weekly jobless claims at 8:30 a.m. ET.
The National Association of Realtors will report existing home sales data at 10 a.m. ET.
4. Wednesday market recap
The Dow Jones industrial average fell 27 points on Wednesday, dipping back after hitting a record closing high earlier in the week. The S&P 500 slid 0.1% and the Nasdaq was unchanged.
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