During today’s early trading session, Asian markets were mixed after weak data out of China. The yearly CPI, monthly CPI and yearly PPI all showed lower than expected figures. Following the release of the positive Australian House price index, the AUD strengthened against the Dollar during early trade.
European stocks are trading higher after Greece has today offered a compromise in regards to the existing bailout agreement. Finance Minister Yanis Varoufakis said Greece will “implement about 70 percent of reforms already included in the current bailout accord”.
During early US trade, the Dollar continued to trade higher against a basket of major currencies as concerns about Greece’s future in the EU remained. Traders are keeping a close eye on the negotiations over the country’s debt and bailout. Later today, the US is to release the JOLTs Job openings, a higher than expected figure could strengthen the Dollar further.
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What is it? It checks the change in the total inflation-adjusted value of output produced by manufacturers.
It's a leading indicator of economic health - production reacts quickly to ups and downs in the business cycle and is correlated with consumer conditions such as employment levels and earnings.
When? February 10th at 4:30am Eastern Time.
Trading Tip: If the actual number is higher than the forecast, you can expect the GBP to rise.
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What is it? It checks the change in the total inflation-adjusted value of output produced by manufacturers, mines, and utilities.
It's a leading indicator of economic health - production reacts quickly to ups and downs in the business cycle and is correlated with consumer conditions such as employment levels and earnings.
When? February 10th at 2:45am Eastern Time.
Trading Tip: If the actual number is higher than the forecast, you can expect the EUR to rise.
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During today’s early trading session, Asian markets were slightly higher after a stronger Dollar weakened the Yen, however, gains were limited as Chinese data showed a decline in imports and exports during the month of January. Following the speech by Reserve Bank of Australia Governor Glenn Stevens, The AUD strengthened against a basket of major currencies after he spoke about growing trade and closer ties with China.
European stocks traded lower today as concerns over Greece continue to weigh down on sentiment. On Sunday the Greek Prime Minister Alexis Tsipras stated that the nation would not settle with the terms of its old bailout agreement.
During early US trade, the Dollar remained supported after US jobs data on Friday showed that the number of people employed during the previous month had risen by 257,000, above the expected figure of 234,000. The positive NFP result could influence the US Federal Reserve to raise interest rates sooner than expected. Later today, FOMC member Powell will be speaking, traders will listen very closely for clues regarding future monetary policy.
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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) Greek Drama Continues
Greek Prime Minister Alexis Tsipras reaffirmed his rejection of the terms of an international bailout, putting the country on course for a showdown with its European creditors at an emergency meeting on Wednesday.
The benchmark index in Athens was down 5%, and Greek 10-year bond yields widened sharply to 11% as investors prepared for a lengthy standoff.
Adding to the drama, former Fed chairman Alan Greenspan told the BBC that Greece's exit from the Eurozone was just a matter of time.
2) World Markets Sink
All European markets started the week lower, pulled down by fears about the clash with Greece over its debt. Asia was a more mixed picture.
3) Investors like European QE
Europe's losses came despite a new survey by Sentix research showing investors have become increasingly bullish about the Eurozone in February following the European Central Bank's decision to pump billions into the system through a QE program.
4) Stocks to Watch
Toymaker Hasbro (HAS) will report earnings before the opening bell, as will Masco Corporation (MAS).
HSBC (HSBC) came under fire in Europe following accusations that it had helped clients hide $100 billion in Swiss bank accounts. Its shares were trading 1.5% down in London Monday morning.
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What is it? It checks the change in the price of goods and services purchased by consumers.
Consumer prices account for a majority of overall inflation. Inflation is important to currency valuation because rising prices lead the central bank to respond by raising interest rates.
When? February 9th at 8:30pm Eastern Time.
Trading Tip: If the actual number is higher than the forecast, you can expect the CNY to rise.
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What is it? It checks the level of a diffusion index based on surveyed businesses, excluding the farming industry.
It's a leading indicator of economic health - businesses react quickly to market conditions, and changes in their sentiment can be an early signal of future economic activity such as spending, hiring, and investment.
When? February 9th at 7:30pm Eastern Time.
Trading Tip: If the actual number is higher than the forecast, you can expect the AUD to rise.
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During today’s early trading session, Asian markets traded higher after the price of oil rebounded. Following the Reserve Bank of Australia’s Monetary Policy statement, the AUD rose after officials signaled the economy will continue to grow at a moderate pace.
European stocks traded lower today after Germany released negative data showing the Industrial Production rose just 0.1%, below the expected figure of 0.4%. European markets continued to fall after the US released the Non-farm Payrolls showing the number of people employed had risen to 257,000, higher than the expected figure of 234,000.
During early American trade the US released the higher than expected Non-farm Payrolls, this data strengthened the Dollar against a basket of major currencies and pushed down the price of precious metals. The positive NFP results could influence the US Federal Reserve to raise interest rates sooner than expected. Gold is currently trading below $1,245/ounce.
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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) It's All About The Jobs
Hiring continues to be strong in the US The unemployment rate ticked up in January to 5.7%, but for the right reasons -- more people are looking for work as they see others getting jobs.
Markets are keeping an eye on wage growth figures since salaries aren't increasing as quickly as expected. In December, wages grew by 1.7% on the year. That picked up to 2.2% growth in January, a positive sign.
2) Market Overview
US stock futures are solidly higher. Major European markets are dipping in early trading.
Asian markets ended the week with mixed results. The Shanghai Composite index, which ran up by about 52% last year, dropped by nearly 2% Friday. The index has declined by about 5% since the start of 2015.
In commodities, crude futures are rising by about 3% to trade around $52 per barrel. This marks a big comeback since oil was trading below $44 in late January. Last year, oil averaged about $93 per barrel.
3) Earnings
Moody's (MCO) is among the key companies reporting earnings before the opening bell.
4) Thursday Market Recap
The Dow Jones industrial average gained 212 points yesterday. The index got a boost from rising oil prices and solid earnings.
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What is it? It checks the percentage of the total work force that is unemployed and actively seeking employment during the previous month.
Although it's generally viewed as a lagging indicator, the number of unemployed people is an important signal of overall economic health because consumer spending is highly correlated with labor-market conditions. Unemployment is also a major consideration for those steering the country's monetary policy.
When? February 6th at 8:30am Eastern Time.
Trading Tip: If the actual number is lower than the forecast, you can expect the USD to rise.
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What is it? It checks the percentage of the total work force that is unemployed and actively seeking employment during the previous month.
Although it's generally viewed as a lagging indicator, the number of unemployed people is an important signal of overall economic health because consumer spending is highly correlated with labor-market conditions.
When? February 6th at 8:30am Eastern Time.
Trading Tip: If the actual number is lower than the forecast, you can expect the CAD to rise.
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What is it? It checks the change in the number of employed people during the previous month.
Job creation is an important leading indicator of consumer spending, which accounts for a majority of overall economic activity.
When? February 6th at 8:30am 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 total value of new building permits issued.
It's an excellent gauge of future construction activity because obtaining a permit is among the first steps in constructing a new building.
When? February 6th at 8:30am 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 total value of foreign currency reserves held by the SNB.
It provides insight into the SNB's currency market operations, such as how actively they are defending the franc's exchange rate against the euro.
When? February 6th at 3:00am Eastern Time.
Trading Tip: If the actual number is lower than the forecast, you can expect the CHF to rise.
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During Today’s early trading sessions, Asian markets traded lower despite upbeat earnings reports from Toyota and Sony.
European stocks are trading slightly lower today after concerns over Greece re-emerged. The European Central bank stated it would no longer accept Greek bonds as a means for banks seeking funds.
During early American trade the US released mixed data showing better than expected figures for Initial Jobless claims and Unit Labor costs, however, the Trade balance and Nonfarm Productivity came out negative. US stocks are slightly up as the price of oil gains ground after Chinas central bank said it is to increase liquidity into the economy.
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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) Greek Drama Rattles Europe
The main stock market index in Greece is getting pummeled and the rest of Europe's stock markets are down after the European Central Bank said late Wednesday that it would no longer accept Greek government bonds as collateral.
"In short, the ECB has commenced cutting off Greece's cash lifelines," explained Mike O'Rourke, chief market strategist at JonesTrading.
Greece's new government has been suggesting different ways for it to repay its massive bailout debts to its European partners, but the ECB move shows it faces an uphill battle.
Market watchers continue to warn that a Greece exit from the Eurozone is still in the cards.
2) US Premarket Moves
US stock futures are relatively steady ahead of the open. All the major US indexes took a small tumble in late dealing Wednesday in reaction to the ECB announcement.
3) Earnings and Economics
Dunkin Brands (DNKN) and Michael Kors (KORS) are among the key companies reporting results before the opening bell.
Yum! Brands (YUM) -- the company that owns KFC, Pizza Hut and Taco Bell -- just reported results that showed the firm is still struggling in China after being slammed by a food scandal last year.
Twitter (TWTR, Tech30), LinkedIn (LNKD, Tech30), GoPro (GPRO), and News Corp (NWS) will report after the close.
The US government will post weekly jobless claims at 8:30am ET. December's trade balance will also come out at the same time.
4) Stock Market Movers -- Keurig, Fox, BT, Sony
Shares in Keurig Green Mountain (GMCR) fell in extended trading after the company said it had a weaker than expected holiday season.
Watch trading in 21st Century Fox (FOX), which could be on the move after the company reported earnings late Wednesday. The results impressed Wall Street, but CEO Rupert Murdoch delivered an apology to investors about poor ratings at Fox.
Shares in BT (BT) are jumping in London by about 5% after the company agreed to pay £12.5 billion ($19 billion) to buy mobile operator EE.
Sony's (SNE) stock soared 12% in Tokyo after the company reassured markets that last year's cyberattack would not have a significant impact on earnings.
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What is it? It provides valuable insight into the bank's view of economic conditions and inflation - the key factors that will shape the future of monetary policy and influence their interest rate decisions.
When? February 5th at 7:30pm Eastern Time.
Trading Tip: If the announcement will hint towards higher interest rates, you can expect the AUD to rise.
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What is it? It checks the number of individuals who filed for unemployment insurance for the first time during the past week.
Although it's generally viewed as a lagging indicator, the number of unemployed people is an important signal of overall economic health because consumer spending is highly correlated with labor-market conditions. Unemployment is also a major consideration for those steering the country's monetary policy.
When? February 5th at 8:30am Eastern Time.
Trading Tip: If the actual number is lower than the forecast, you can expect the USD to rise.
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