U.S stocks dropped for a fifth day. Falling oil prices continued to knock sentiment pushing investors to less risky assets. Negative data was also released. The S&P 500 lost 0.89%, closing at 2,002.61. The Dow Jones closed 0.74% lower at 17,371.61. Asian markets climbed across the region. The Nikkei added 0.01% as the Dollar climbed against the Yen. The Hang Seng added 0.83% due to a possible technical rebound after falling a day earlier. European markets are higher today due to hopes of increased stimulus. The yearly CPI declined by 0.2% and such a weak figure hasn’t been seen since September 2009. This places more pressure on Mario Draghi, the President of the European Central Bank, to make changes at the next meeting taking place on January 22. Currently, the CAC 40 is up 1.28% while London’s FTSE 100 is up 1.14% and Germany’s DAX is up 1.13%.
WTI Crude dropped to a fresh 6 year low of 46.8/barrel. The pressure of increasing supplies and lower demand is having a big impact on the market. A slight rebound was seen after the EIA released that inventories declined by 3million barrels over the past week but the price is still trading below $50/barrel. Gold climbed as a safe haven asset. The stock market also declined as investors ditched riskier assets. The price declined slightly on the back of positive U.S data but it seems as though the market is awaiting the FOMC meeting minutes. Traders are looking for clues regarding an interest rate hike which seems more and more likely. If hawkish comments are made, the metal becomes more undesirable and we could see it drop back down.
Today’s Main Events:
09.00 GMT: EUR – German Unemployment Changtre – measures the change in the number of unemployed people during the previous month.
10.00 GMT: EUR – CPI – measures the change in the price of goods and services from the perspective of the consumer.
13.15 GMT: USD – ADP Nonfarm Employment Change – a measure of the monthly change in non-farm, private employment, based on the payroll data of approximately 400,000 U.S. business clients.
19.00 GMT: USD – FOMC Meeting Minutes – a detailed record of the committee’s policy-setting meeting held about two weeks earlier.
January 7, 2015 – Daily Market News
Today’s Hot Assets: USD, Gold, Yen, Oil
U.S stocks dropped for a fifth day. Falling oil prices continued to knock sentiment pushing investors to less risky assets. Negative data was also released. The S&P 500 lost 0.89%, closing at 2,002.61. The Dow Jones closed 0.74% lower at 17,371.61. Asian markets climbed across the region. The Nikkei added 0.01% as the Dollar climbed against the Yen. The Hang Seng added 0.83% due to a possible technical rebound after falling a day earlier. European markets are higher today due to hopes of increased stimulus. The yearly CPI declined by 0.2% and such a weak figure hasn’t been seen since September 2009. This places more pressure on Mario Draghi, the President of the European Central Bank, to make changes at the next meeting taking place on January 22. Currently, the CAC 40 is up 1.28% while London’s FTSE 100 is up 1.14% and Germany’s DAX is up 1.13%.
WTI Crude dropped to a fresh 6 year low of 46.8/barrel. The pressure of increasing supplies and lower demand is having a big impact on the market. A slight rebound was seen after the EIA released that inventories declined by 3million barrels over the past week but the price is still trading below $50/barrel. Gold climbed as a safe haven asset. The stock market also declined as investors ditched riskier assets. The price declined slightly on the back of positive U.S data but it seems as though the market is awaiting the FOMC meeting minutes. Traders are looking for clues regarding an interest rate hike which seems more and more likely. If hawkish comments are made, the metal becomes more undesirable and we could see it drop back down.
Today’s Main Events:
09.00 GMT: EUR – German Unemployment Changtre – measures the change in the number of unemployed people during the previous month.
10.00 GMT: EUR – CPI – measures the change in the price of goods and services from the perspective of the consumer.
13.15 GMT: USD – ADP Nonfarm Employment Change – a measure of the monthly change in non-farm, private employment, based on the payroll data of approximately 400,000 U.S. business clients.
19.00 GMT: USD – FOMC Meeting Minutes – a detailed record of the committee’s policy-setting meeting held about two weeks earlier.
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