You are here: Home > articles > Forex > US Open Preview – Euro, pound resume bullish mood as trade risks intensify
US Open Preview – Euro, pound resume bullish mood as trade risks intensify
September 17, 2018 12:26 pmVideo
Latest News
- Forecast for EUR/USD on April 18, 2024 April 18, 2024
- Forecast for GBP/USD on April 18, 2024 April 18, 2024
- Forecast for AUD/USD on April 18, 2024 April 18, 2024
- Outlook for GBP/USD on April 18. Pound was not impressed by the inflation data April 18, 2024
- Outlook for EUR/USD on April 18. Euro has fallen into a new flat April 18, 2024
- GBP/USD. Correction or trend reversal? April 18, 2024
- The FOMC will not lower rates in 2024 April 18, 2024
- Powell made a bold point, and Bailey did not report anything important April 18, 2024
- Will the euro take a risk? April 18, 2024
- Trading Signals for GOLD (XAU/USD) for April 17-19, 2024: sell below $2,400 (21 SMA – double top) April 17, 2024
- Technical Analysis – GBPCAD hits a wall but bulls not ready to give up April 17, 2024
- Trading Signals for Ethereum (ETH/USD) for April 17-19, 2024: sell below $3,125 (21 SMA – 2/8 Murray) April 17, 2024
- Analysis for the EUR/USD pair on April 17th. Jerome Powell didn’t help the dollar much April 17, 2024
- Analysis for GBP/USD pair on April 17th. British inflation overtakes American inflation April 17, 2024
- USD/JPY: Simple Trading tips for novice traders on April 17th (US session) April 17, 2024
- GBP/USD: Simple trading tips for novice traders on April 17th (US session) April 17, 2024
- EUR/USD: Simple trading tips for novice traders on April 17th (US session) April 17, 2024
- GBP/USD: trading plan for the US session on April 17th (analysis of morning deals) April 17, 2024
- Technical Analysis – EURUSD takes a breather after sharp tumble April 17, 2024
- Market continues to price in a plethora of rate cuts for 2024 – Special Report April 17, 2024
Here are the latest developments in global markets:
Day ahead: Trade fears to weigh on sentiment; RBA meeting minutes awaited
In the remainder of the day, investors will be eagerly waiting for further updates regarding the US-Sino trade war as worries about tensions tightening even more between the nations resurfaced on Sunday. Particularly the Wall Street Journal reported on Sunday that Washington will activate import tariffs on Chinese goods as soon as today, though the size of the tariffs might be around 10% compared to 25% considered earlier. China is ready to take countermeasures in case Washington proceeds with its protectionist plans, with the Chinese foreign ministry also claiming today that talks between the countries on September 20 “should take place in on an equal footing”. The latter could be a signal that China will not hesitate to cancel talks if the US refuses to back down from additional frictions.
Brexit will be another topic in focus following negative comments by the IMF chief Christine Langarde today. The IMF chairwoman argued that the Institute is finalizing its forecasts for a reduction of UK economic growth in case of a no-deal Brexit while expecting many adverse effects as a result of the divorce. Moreover, she stressed that fiscal stimulus will not be helpful after the exit from the EU. Meanwhile, the Times newspaper stated that the EU Brexit negotiator is working on plans aiming to use technology to limit checks in the Irish border.
In terms of data releases, the New York Empire State Manufacturing Index published by the New York Federal Reserve Bank will be the main highlight in the calendar later in the day. Forecasts hint that manufacturing business conditions in the state have slowed down in September, with the index projected to drop by 2.4 points to 23.20.
Early on Tuesday at 0130 GMT, the Reserve Bank of Australia will publish minutes from its latest policy meeting on September 4 to give a detailed explanation about its decision to keep interest rates unchanged at a record low of 1.5% for the 24th consecutive month. Investors will be carefully reading the records of the meeting to identify any changes in the language that could indicate adjustments in policymakers’ appetite for further rate hikes in the future. Although the central bank reiterated that growth in the Australian economy will average a bit above 3.0% in 2018 and 2019, it maintained a cautious stance against US trade policy, characterizing it as a risk to the global growth outlook. Subdued household income remained a concern as well.
As for public appearances, at 1200 GMT, ECB Executive Board Member Yves Mersch will step up to the rostrum for the unveiling of the new €100 and €200 banknote at the ECB headquarters in Frankfurt.
Related Posts: