Top 5 Things Happening In The Market Today - Thursday, August 17
This Thursday the USD is trading lower. Gold, oil and US stocks all rose.
1 – USD Trading Lower
The US dollar (USD) weakened last night after the Federal Open Market Committee (FOMC) minutes revealed that some Federal Reserve (Fed) members were very concerned about the low levels of inflation in the US economy. As known, inflation is the number one reason for any Central Bank to raise rates, so a lack of it, increases chanced of the Fed not raising rates anytime soon. The dollar’s index against a basket of six major currencies slipped to 93.39 from Wednesday’s three-week high of 94.145.
2 – Trump Affairs Not Helping the USD
The USD was also under pressure due to domestic turbulence related to Trump’s CEO Business Council and news that it is breaking up. The reason appears to be that Trump failed to blame white supremacists over the violence in Virginia last weekend.
3 – Gold Spikes on FOMC Minutes
Gold was the biggest mover yesterday, climbing from $1268 to $1289 on the lack of indications that the Fed will raise rates this year. Gold is sensitive to moves in US rates, which lift the opportunity cost of holding non-yielding assets such as the yellow metal. Meanwhile, US-North Korea tensions, which had underpinned the rally in gold last week, continued to ease as rhetoric from both sides cooled.
4 – US Stocks Trading Higher
US stocks closed moderately higher Wednesday, restoring the Dow above the psychologically-important 22,000 mark. The market’s gains came after a volatile session, reflecting uncertainty about the strategic path for the central bank and political tensions facing President Donald Trump.
5 – Oil Up on Falling Crude Inventories
Oil prices edged up on Thursday, clawing back some ground after losses in the previous session. Traders said the market was range-bound as falling crude inventories provided price support while high output was capping gains.
Disclaimer: The information found on forex.info are intended only to be educational, is not advice nor a recommendation and thus should not be treated as such. We strongly recommend that you ...
more