Forex:Stocks pause on Fed’s warning

There is a cloud of wariness hanging over global equity markets today, after Fed officials forecasted no interest rate hike until at least 2022, perhaps slightly denting some of the optimism over a rapid recovery in the US economy. Asian stocks and US futures are lower, after the S&P 500 and Dow Jones index declined by 0.5 and one percent respectively.

Federal Reserve Chairman Jerome Powell, as expected, stuck to his message that the central bank will keep rolling out support measures until the American job market has recovered sufficiently. Powell also said that the Fed is “not even thinking about thinking about raising rates”. Despite the profit-taking seen overnight, equity bulls should be able to draw plenty of comfort from the Fed’s reassurance that its support measures will be around for as long as needed. Such an environment, coupled with the calls for more fiscal stimulus, should create conducive conditions for stocks to reach greater heights in the interim.

With firming expectations over lower-for-longer US interest rates, no surprise then that the Dollar index (DXY) is now testing the 96.0 support level to trade around its weakest levels since March.

The weaker Dollar and the Fed’s dour outlook combined to send Gold surging past the $1730. Gold bulls have been seemingly relentless, bringing Bullion prices back from sub-$1700 territory to notch a gain of nearly three percent so far this week.

 


MyFxtops 邁投 (www.myfxtops.com) -Reliable Forex Copy Trade community, follow the master for free to trade!

Disclaimer: This article is reproduced from the Internet. If there is any infringement, please contact us to delete it immediately. In addition: This article only represents the personal opinion of the author and has nothing to do with Mato Finance The originality and the text and content stated in this article have not been confirmed by this site. The authenticity, completeness and timeliness of this article and all or part of the content and text are not guaranteed or promised. Please refer to it for reference only Verify the content yourself.

Copyright belongs to the author.
For commercial reprints, please contact the author for authorization. For non-commercial reprints, please indicate the source.

風險提示

MyFxtops邁投所列信息僅供參考,不構成投資建議,也不代表任何形式的推薦或者誘導行為。MyFxtops邁投非外匯經紀商,不接觸妳的任何資金。 MYFXTOPS不保證客戶盈利,不承擔任何責任。從事外彙和差價合約等金融產品的槓桿交易具有高風險,損失有可能超過本金,請量力而行,入市前需充分了解潛在的風險。過去的交易成績並不代表以後的交易成績。依據各地區法律法規,MyFxtops邁投不向中國大陸、美國、加拿大、朝鮮居民提供服務。

邁投公眾號

聯繫我們

客服QQ:981617007
Email: service@myfxtop.com

MyFxtops 邁投