Currencies
- The euro (EUR) crashed from 1.2790 to 1.2663 yesterday against the US dollar (USD) as the German Finance Minister Wolfgang Shaeuble had a different opinion from the President of European Central Bank Mario Draghi, about the next steps that the euro-zone have to take if continues to weakening. The International Monetary Fund (IMF) estimated that there is 40 percent chance of risk that Eurozone will fall in to a third recession since 2008.
- The US dollar (USD) is heading for its biggest weekly lose since February 2014 against the Japanese yen (JPY) as Federal Reserve official concern that the weakness of economic growth in Eurozone and china alongside with dollar’s recent appreciation could have negative impact on US exports and leave inflation below 2% for longer period.
Equities
- US equities plunges on concerns that US exports may hurt because of the European weakness with addition to dollar’s recent appreciation The S&P 500 (SPI) fell to 1914, the US 30 (DOW) went to 16527 and the US Tech (NDQ) to 3941.
Commodities
- WTI Crude Oil crashed to a two year low at 83.59 USD per barrel as a US Oil company were potentially sitting on the equivalent of 4.3 million barrels which were almost six times higher than their proved reserves. Brent Oil (BRT) fell to a four-year low at 88.08.
Mover & Shaker with forex options
- The Canadian dollar (CAD) dropped to 1.1190 against US dollar (USD) as the US Unemployment claims where better than expected at 287 thousands, while the expectations were at 291 thousands. The loonie is under pressure as today the Canadian Unemployment Rate will be announced today and is expected to be at 7.0%..
- Option traders may consider buying a Call on the USD/CAD 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
.
Risk Warning: 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.