Forex Analysis & Reviews: Tesla Benefits as Giants Slip, Shares Rise 12% After Quarterly Results
Wall Street Closes in the Red: Bond Yields Pressure Stocks On Wednesday, trading on Wall Street ended with a decline in the indices, amid rising Treasury bond yields, which negatively affected large-cap companies. Investors lost confidence in a rapid rate cut by the Federal Reserve, while corporate news added tension, hitting McDonald's and Coca-Cola stock prices. Bond Pressure and Fed Doubts The yield on 10-year U.S. Treasury bonds reached its highest point in three months. Investors are reconsidering their expectations for future Fed decisions, given steady economic indicators and the upcoming presidential elections. "The market is struggling to digest this latest rise in yields," noted Adam Turnquist, chief technical analyst at LPL Financial, emphasizing that higher rates are putting additional pressure on stocks. Mega Caps Under Fire Shares of large-cap companies sensitive to interest rate changes were in decline: Nvidia dropped 2.81%, Apple lost 2.16%, Meta Platforms (an organization banned in Russia) fell by 3.15%, and Amazon saw a decrease of 2.63%. These tech giants dragged down the tech-heavy Nasdaq index. Market Leaders and Laggards Among the 11 sectors in the S&P 500 index, only utilities and real estate showed positive momentum. All other sectors finished the day in negative territory.
News are provided by InstaForex.
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Instaforex Analysis
Re: Instaforex Analysis
by IFX Bella » Thu Oct 24, 2024 8:02 am
- IFX Bella
- Posts: 274
- Joined: Sat Dec 08, 2012 12:39 am
Re: Instaforex Analysis
by IFX Bella » Fri Oct 25, 2024 3:27 am
Forex Analysis & Reviews: Hot Forecast for EUR/USD on October 25, 2024
The excessive overbought condition of the dollar has indeed impacted the market, as the single European currency managed to show some growth despite the preliminary estimates of business activity indexes. The composite business activity index in the Eurozone rose from 49.6 to 49.7 points, although the forecast was for 50.1 points. This outcome was due to the services activity index, which fell from 51.4 to 51.2 points, whereas an increase to 51.7 points was expected. However, some support came from the manufacturing activity index, which increased from 45.0 to 45.9 points, exceeding the anticipated rise to 45.2 points. More notable is that the single currency demonstrated slight but consistent growth, even in the face of similar data from the United States, which exceeded forecasts. Specifically, the manufacturing activity index in the U.S. rose from 47.3 to 47.8 points instead of the expected increase of 47.6 points. The services activity index, expected to decline from 55.2 to 55.0 points, actually grew to 55.3 points. As a result, the composite activity index climbed from 54.0 to 54.3 points despite predictions that it would remain unchanged. Thus, market behavior indicates that the potential for dollar growth is exhausted, at least for now. The dollar's overbought condition has remained, so expecting a sustained rise in the euro seems reasonable.
Analysis are provided by InstaForex.
Read more: https://ifxpr.com/3Un9Uho
The excessive overbought condition of the dollar has indeed impacted the market, as the single European currency managed to show some growth despite the preliminary estimates of business activity indexes. The composite business activity index in the Eurozone rose from 49.6 to 49.7 points, although the forecast was for 50.1 points. This outcome was due to the services activity index, which fell from 51.4 to 51.2 points, whereas an increase to 51.7 points was expected. However, some support came from the manufacturing activity index, which increased from 45.0 to 45.9 points, exceeding the anticipated rise to 45.2 points. More notable is that the single currency demonstrated slight but consistent growth, even in the face of similar data from the United States, which exceeded forecasts. Specifically, the manufacturing activity index in the U.S. rose from 47.3 to 47.8 points instead of the expected increase of 47.6 points. The services activity index, expected to decline from 55.2 to 55.0 points, actually grew to 55.3 points. As a result, the composite activity index climbed from 54.0 to 54.3 points despite predictions that it would remain unchanged. Thus, market behavior indicates that the potential for dollar growth is exhausted, at least for now. The dollar's overbought condition has remained, so expecting a sustained rise in the euro seems reasonable.
Analysis are provided by InstaForex.
Read more: https://ifxpr.com/3Un9Uho
- IFX Bella
- Posts: 274
- Joined: Sat Dec 08, 2012 12:39 am