Having witnessed a heavy selling pressure the previous day, mainly led by Fed Chair Powell’s comments, the US dollar stabilizes amid mixed concerns and anxiety ahead of BOE.
Even so, the commodities and Antipodeans keep post-Fed gains as headlines concerning Russia and China, coupled with Aussie data, favored markets ahead of another raft of key data/events.
Cryptocurrencies, however, trim the biggest daily gains since March while equities print mild gains tracking the rally of Wall Street.
Following is the list of major assets’ latest performances:
The US Federal Reserve (Fed) delivered the widely anticipated 50 basis points (bps) of a rate hike and announced plans for Quantitative Tightening (QT) starting from June. However, Powell’s rejection of 75 bps of increase in rates seemed to have gained major attention, which in turn triggered the USD’s biggest fall in two months.
The result propelled Wall Street benchmarks and allowed AUDUSD to witness the heaviest rally since 2011, which in turn gained support from Aussie trade numbers to prevail on early Thursday.
The risk-on mood, though, faded amid the initial European session as the bloc’s readiness for an oil embargo on Russian imports and China’s covid concerns join the Sino-American tussles. The same helped oil prices to gain the extra mile and refresh the two-week high. Further, Gold prices also cheered softer USD but struggle to extend the rebound amid the pre-NFP anxiety.
Elsewhere, BTCUSD and ETHUSD fail to extend the relief rally that marked heavy daily gains, mainly due to the market’s anxiety amid mixed concerns.
⏫ 🟢 Strong buy: USDJPY, GBPUSD
⏬ 🔴 Strong sell: Nasdaq, silver, AUDUSD
⬆️ 🟢 Buy: USD Index, DOW JONES, S&P 500
⬇️ 🔴 Sell: DAX, FTSE 100, brent oil, gold, ETH/USD, BTC/USD, USD Index
Although the BOE is less likely to offer the Fed-like moves, neither does the US second-tier data relating to jobs, global markets may extend the FOMC-inspired moves during the rest of the Thursday. The same can help commodities and equities to stay firmer while keeping cryptos under pressure.
Benefit from the trends with the Best broker in Asia-Pacific. We offer excellent trading terms, top-quality Copy Trade service and multi-awarded IB referral program.
Trade safely and enjoy the most favorable trading conditions with MTrading!
May the trading luck be with you!