Economic News Today

Market Overview

The dollar has lost its ground against other major currencies as its weakness is evident across the board. The NFP release is expected later this Friday and investors are on hold to wait for the release to hear FED Chair Powells decision after.

Federal Reserve Chair Jerome Powell told markets this week that the central bank's next move in interest rates would likely be down, and not up as some had feared.

With the companies in the S&P 500 that reported earnings through Thursday morning, according to LSEG data, 77.2% have topped analyst expectations above the 67% beat rate since 1994 but slightly below the 79% over the past four quarters. 

The Dow Jones Industrial Average rose by 0.85%; the S&P 500 gained 0.91%; and the Nasdaq Composite gained 1.51%.

Tech shares and consumer discretionary fronted sector gains, closing up roughly 1.6%, as Qualcomm rose about 10% while Amazon advanced 3.2%.

GOLD -XAU is very positive on the buy as the price got rejected strongly at 2295.536. We expect to see the price break above 2319.398 and beyond 2333.715. A successful break will continue to push the price upward. Otherwise, we may see the price consolidate and gather orders.

SILVER - With silver breaking slightly below 26.267 and retesting at 26.753, we may see the price reach 25.800. However, we must wait and see how the price will play around this area as a range is confirmed to exist from here. Our bullish bias still exists.

DXY -We see a fall in the DXY overnight with the decline of the T-note yields. The stock rally yesterday also played a part in reduced liquidity demand for the dollar. We see the dollar falling below 105.079 if it fails to go back above 105.523.

GBPUSD - The GBP has ranged within the daily range, above 1.25019, and is now expected to break beyond 1.25740. However, for as long as the price stays ranging, the possibility of a break in either direction exists. Our bullish bias still stands.

AUDUSD - The price is ranging between 0.65618 and 0.64801. However, the price did break above the structure and we may see this push-up to continue toward 0.66145. 

NZDUSD - The price is now reaching 0.59796 and a break beyond might mean a continuation toward the next major structure. For as long as it stays under said structure, we cannot call for the chart to go anywhere.

EURUSD -The market is looking comfortable with its support on 1.06988 and is now reaching beyond 1.07240 and toward 1.07549. We can expect to see the price test the daily trendline. 

USDJPY - The USDJPY has formed an M pattern and the Yen is being strengthened by the BoJ. We expect to see the price continue its downward trend as the Dollar is also seen to lose ground against its peers. 

USDCHF - The upward channel has been broken below after a price has been rejected on 0.92248. We should watch this price closely as there may be a strong move coming in soon with this rejection and breakout of the channel. 

USDCAD - USDCAD has now fallen greatly and is carried through with good momentum. The higher timeframe of this market is also seen to form an M pattern. This break below 1.33612 may carry the price aggressively and beyond 1.35762.