Emerging Market Turmoil Returns

Morning Report: 08.45 London

• This morning, financial markets are making good some of last night’s losses, but the damage still remains.

• While stock markets stage a rally of sorts, commodities and commodity related currencies are still under pressure after disappointing Chinese Manufacturing PMI data. Silver is off by 1.82%, while Gold is off by 0.86%.

• The NZD/USD is down by 0.68% after a downbeat RBNZ statement, while the Aussie dollar is holding up relatively well after large falls yesterday.

 • Dollar pairs are under pressure with the dollar index pushing higher.



Coming up today:

• Coming up today, we have German unemployment change at 08.55.

• UK net lending to individuals follows as 09.30.

• At 13.30, we have Advance GDP, alongside unemployment claims, followed by pending home sales at 15.00.

Trade Idea:

• The AUD/JPY dropped heavily yesterday, but as we enter Friday we bring in the turn of the month effect – a positive bias that could underpin an upside move.

A good way to play this is a HIGHER trade predicting that the AUD/JPY closes above 90.00 at Friday’s close. This could return 252% if successful.

This Daily Market Report is written by Dave Evans, Professional Trader. This is presented as an idea to stimulate binary option trading ideas and is not a financial advice.

Summary: