If we were to evaluate the broad performance of ‘the market’ this past week without reference to what had preceded it, the scales are impressive.
Author: John Kicklighter
The Bank of England delivered a surprise to FX traders when it suggested a rate hike could come earlier with more moves over time
The selling pressure that was so intense to start the week for equities and other risk-sensitive assets was revived this past session.
As risk trends continue to hold center stage, traders should also consider the Dollar’s rebound, Pound’s BoE influence and Oil break.
The RBNZ held its benchmark rate unchanged at 1.75% as the market broadly anticipated. However, the field of peers shifting towards normalizing is starting to undermine the Kiwi’s appeal.
While EUR/USD has not quite epitomized the persistance reflected in US indices over the last nine years, its climb over the past year is undoubtedly remarkable.
If you only looked at closing prices for you market updates, this past session seemed remarkably robust.
Markets were already carrying forward the pain from the past week with global indices awash in red while other assets higher up the risk curve suffered different degrees of retreat.
Where last week’s losses for US equities looked like concern, a severe Monday selloff looks more the part of panic. Are benchmarks like the S&P 500 flashing a lasting change to 9 years of bull trend?
The S&P 500 and Dow 30 suffered their worst single-day drop since September 2016 Friday and the worst week in 2 years