Currencies
- The euro (EUR) skyrocketed from 1.2291 to 1.2447 against the US dollar (USD) yesterday as German Trade Balance came out to be better than expected at 20.6B, while the French Trade Balance was as expected at -4.6B. The drop in most European equities boosted the single currency. Today the French monthly Industrial Production will be announced and is expected to rise by 0.2%..
- The US dollar (USD) dropped from 120.99 to 117.93 yesterday as the decline in shares worldwide and the slowdown of China’s economy, boosted yen. Today the Japanese monthly Core Machinery Orders and monthly Tertiary Industry Activity will be announced and they are expected to drop by -2.1% and -0.1% respectively.
Equities
- European equities crashed on elections called in Greece. The Prime Minister Antonis Samaras opened the door for the anti-austerity party in Greek politics. Greek equities fell by 13% which is the worst record since 1987. The German 30 (DAX) fell to 9787, the France 40 (CAC) went to 4344 and the EUStocks 50 (ESX) to 3157.
Commodities
- WTI Crude (Crude Oil) remained range bounded near its lowest level at 63.20 USD per barrel as Iran sees the price to fall further at 40 USD per barrel if OPEC’s members conflict.
Mover And Shaker With Forex Options
- Gold (XAU) rose by 3.25% yesterday, while it reached as high as 1238, as sell off on equities worldwide on concerns that growth in China may slow down and on election that called by Greece, boosting the demand for the safe haven.
- Option traders may consider buying a Call on the XAU/USD and gain if the pair moves higher, while the risk is limited to the premium paid.
3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or
remove ads
.
Disclaimer: Forex, Commodities, Options and CFDs (OTC Trading) are leveraged products that carry a substantial risk of loss up to your invested capital and may not be suitable for everyone. Please ensure that you fully understand the risks involved and do not invest money you cannot afford to lose. Please refer to our full risk disclaimer.