HFMarkets (hfm.com): Market analysis services.

[HFblogNews]

Date: 30th October 2023.

Market Update – October 30.


Trading Leveraged Products is risky

Stock markets struggled overnight. Mainland China bourses found buyers, but JPN225 and ASX declined, as markets watched developments in the Middle East. Risk sentiment improved during the start of the week as Israel seemed to be moving with more caution than anticipated, which helped to dampen concern about a widening of the conflict. Stock futures are higher across Europe and the US and the 10-year treasury yield has lifted 2.6 bp to 4.86%, with oil and gold also declining as haven flows ease. Treasuries were boosted also after the slowing in the PCE deflators underpinned expectations the FOMC is on hold. Short covering and a flight to safety extended the more bullish tone as Israel began its ground assault on Gaza.



*Stock markets slightly higher today after Wall Street saw the US30 drop -1.12% with a hefty -6.7% plunge in the energy complex. The US500 declined another -0.48%, with the latter now in correction territory, -10.3% below the July 31 peak. The US100 bounced 0.38%. For the 5 days, the US30, US500, and US100 are down -2.14%, -2.53%, and -2.62%, respectively.
*Morgan Stanley’s Wilson: ‘‘Chances of a fourth-quarter rally have fallen considerably”,“Narrowing breadth, cautious factor leadership, falling earnings revisions and fading consumer and business confidence tell a different story than the consensus, which sees a rally into year-end.”
*Amazon’s pop by 6.8% and Intel’s jump by 9.3% helped soften the blows from big drops in Alphabet, Meta, and Tesla. Ford stumbled 12.2%.
*JGB yields climbed to fresh 10-year peaks today & USDJPY corrected to 149.22, as investors weighed the chances of a possible policy tweak in the BOJ’s monetary policy decision tomorrow. BOJ is widely expected to keep its short-term rate target at -0.1% and that target for long-term rates around 0% as set under its YCC policy.
*USDIndex is at 106.50, down on Friday’s close, but within the previous day’s range.
*GOLD spiked to $2006.40 on the escalation of the war. Currently settled lower at $1990. It’s likely to continue benefiting should tensions increase, alongside the Swiss franc and short-dated US government bonds.
*USOIL lower at $83.70.

Today: Central bank meetings: FED, BOE and BOJ. Earnings: Apple, Airbnb, McDonald’s, Moderna and Eli Lilly & Co among the many reporting this week.

Interesting Mover: USDCHF broke descending channel and extends higher for a 4th day in a row.



Always trade with strict risk management. Your capital is the single most important aspect of your trading business.

Please note that times displayed based on local time zone and are from time of writing this report.

Click HERE to access the full HFM Economic calendar.

Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!

Click HERE to READ more Market news.

Andria Pichidi
Market Analyst
HFMarkets

Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.

[HFblogNews]

Date: 31st October 2023.

Market Update – October 31 – Stocks Down & Yen plummets.


Trading Leveraged Products is risky

Asian stock markets traded mixed, with China bourses underperforming after weaker than expected PMI reports that signal ongoing weakness, especially in the manufacturing sector. Treasuries meanwhile found buyers and the US 10-year rate is down -5.7 bp at 4.84%, while the 10-year Bund yield has dropped -3.3 bp to 2.79%. Stock futures are higher across Europe, but down in the US.



*China October PMIs missed expectations as factory orders contracts – CSI300 at -0.31%.
*USDJPY jumped to 150.24, after the Yen fell to 2-month lows as the BOJ made only minor changes to its policy settings, disappointing some in the market who had expected more. The central bank is keeping its cap on long-term yields at 1%, leaving its negative interest rate untouched and adding flexibility to its yield curve control.
*Financial stocks were the biggest winners, insurance and banking indexes rallying more than 2% each to lead gains among the 33 industry sectors. Higher long-term yields and a steeper yield curve improve the outlook for returns from lending and investing.
*Earnings beats from McDonald’s and SoFi provided support ahead of Apple and other key earnings this week.
*USDIndex dipped to 105.85 from a peak of 106.704 after the Nikkei report. Currently settled at 106.10.
**Antipodeans, which are often used as a liquid proxy for the Yuan, were further pressured by Chinese data, i.e. AUDUSD dipped initially to 0.6340.
*GOLD & USOIL: Unwinding of some of Friday’s haven demand saw gold fall about -0.5% to $1990 per oz, with a USOIL slide to $81.50 (Trendline & 200-DMA).

Today: Canadian GDP, EU preliminary GDP and CPI and NZ labor data- Earnings: AMC, BP and Pfizer.



Interesting Mover: EURJPY (+1.05%) returns 5-day losses and keeps rising with attention turning to 162-162.40 (1998 highs & 2007-2008 highs).

Always trade with strict risk management. Your capital is the single most important aspect of your trading business.

Please note that times displayed based on local time zone and are from time of writing this report.

Click HERE to access the full HFM Economic calendar.

Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!

Click HERE to READ more Market news.

Andria Pichidi
Market Analyst
HFMarkets

Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.

[HFblogNews]

Date: 6th November 2023.

Market Update – November 06 – The aftermaths of cooler jobs continue.


Trading Leveraged Products is risky

Last week’s market reactions underscore the risks associated with central banks discussing data dependence without clarifying their medium-term framework or how they expect policy to impact the real economy.

Both stocks and bonds experienced rallies, boosted by the Treasury’s smaller-than-anticipated increase in longer-term debt auctions. However, Treasury yields dove with an eye-popping speed. The move underpinned a massive rally. The spectacular drop in rates last week saw the 2- and 10-year maturities recover a lot of their losses in October. The catalysts for the reversal were the FOMC’s less than hawkish stance, the cooler jobs report, and the moderation in Treasury supply increases. Geopolitical risks added a haven bid too.



*FT reported: The markets are wrong to assume an economic slowdown and the peak of interest rates. “Higher for longer” for interest rates was always more of a media catchphrase than policy analysis. However, the Powell Federal Reserve may not start to reverse policy errors with rate cuts before the middle of next year, and reacting forcefully to every single data release between now and then is going to be exhausting.
*USDIndex tanked, however, falling to a low of 104.84 from the early high of 106.95.
*USDJPY at 149.50. BOJ Ueda indicated that policymakers might not have sufficient data by year-end to end negative interest rates, as they continue to monitor the possibility of a wage-inflation cycle.
*Stocks: Wall Street exploded higher on the drop in rates. For the week, the US100 was up 6.6%, with the US500 having its best week since November 2022. The US30 posted a 5.85%, gain, its best week since October 2022. The VIX was off -4.8% to 14.91. Asian equities rose today after weaker than expected US jobs data released last week eased concerns over rising interest rates.
*Ryanair sees record annual profit, first regular dividend as fares soar
*Shares in Chinese brokerages jumped after state media reported that the country’s securities regulator would support buyouts and mergers in the financial sector to help create investment banks.
*Gold and Oil were scuttled too. Gold fell to $ 1992.5 per oz, down from $2004.10, but was as soft as $1983.31. USOIL dropped to $80.10 per barrel, but finished with a -1.95% loss at $80.85 after trading as high as $83.6 overnight. Currently settled at $80.85.

Today: EU, France, Germany, Japan: S&P Global October services PMI, UK October construction PMI. Earnings: BioNTech Q3, Itochu H1, Ryanair H1.



Interesting Mover: ETHUSD (+3%) jumped this morning breaking 2-week range and extending to $1910 area.

Always trade with strict risk management. Your capital is the single most important aspect of your trading business.

Please note that times displayed based on local time zone and are from time of writing this report.

Click HERE to access the full HFM Economic calendar.

Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!

Click HERE to READ more Market news.

Andria Pichidi
Market Analyst
HFMarkets

Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.

[HFblogNews]

Date: 9th November 2023.

Market Update – November 09.


Trading Leveraged Products is risky

It was another mixed day in the markets as players awaited fresh directional signals, including comments from Chair Powell later today. However, a new narrative is starting to build, one of slowing growth, with a recessionary tilt in Europe. The ongoing chant from the FOMC and ECB and BoE officials that more tightening might be necessary is adding to the angst over economic growth, alongside an effort to push back against speculation of early rate cuts, although it is increasingly clear that in the central scenario rates have peaked.

Concurrently, investors have been encouraged by this week’s auctions, that they have found buyers. And demand for higher yields have helped underscore a curve flattening trade with longer dated Treasuries outperforming. Falling Treasury yields helped launch an explosive rebound in stocks and lifted US government bonds from 16-year lows!



*Asian stock markets lower on mixed signals of peak US rates and weak Chinese economy.
*China slipped back into consumer price index deflation in October, as data released showed persistently weak demand in the economy. The inflation data is likely to reinforce the weaker-than-expected PMI figures last week.
*10-year Treasury yield falls below 4.5%.
*USDIndex holds gains above 105. EURUSD under pressure as Eurozone retail sales declined.
*Stocks: The US100 and US500 benefited further from the drop in yields. The US100 posted a marginal 0.08% gain, with the US500 up 0.10%. But those were sufficient to give the US100 a 9th straight winning session, and an 8th straight for the S&P. The Dow dipped -0.12%.
*SoftBank adds to shareholder pain with unexpected $6bn loss.
*UK chip designer Arm’s shares fall after disappointing revenue forecast.
*Disney tops profit estimates.
*AstraZeneca raises yearly guidance amid strong sales of oncology treatments.
*Oil slipped to $74.88, but is currently in correction mode. Further pressure was added after the EIA issued the new outlook after Saudi Arabia and Russia extended voluntary production cuts of 1.3 million barrels per day through December as demand concerns weigh. US total petroleum consumption is now expected to fall by 300,000 bpd to 20.1 million bpd this year, compared with an estimated gain of 100,000 bpd in the October forecast.
*Gold at $1949.
*Bitcoin trades past $36,500 on possible ETF investment approval.
*Today: BOE chief economist Huw Pill, Fed Chair Jerome Powell & Fed President Raphael Bostic and Richmond speeches & US initial jobless claims.



Always trade with strict risk management. Your capital is the single most important aspect of your trading business.

Please note that times displayed based on local time zone and are from time of writing this report.

Click HERE to access the full HFM Economic calendar.

Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!

Click HERE to READ more Market news.

Andria Pichidi
Market Analyst
HFMarkets

Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.

[HFblogNews]

Date: 10th November 2023.

Market Update – November 10 – Multi-day Win Streak Came To An End.


Trading Leveraged Products is risky

Wall Street’s multi-day win streak came to an abrupt end Thursday after one of the worst bond auctions on record sparked a sharp selloff in Treasuries, led by the long end, and reignited concerns over who will be buyers of US debt. Also weighing on the front end were comments from Fed Chair Powell and others who pushed back against expectations for rate cuts by June.



UK: GDP stagnated in the third quarter of the year. Data for the whole quarter flagged a -4.2% contraction in business activity, and a -2.0% q/q decline in gross fixed capital formation. On top of this, while September numbers look positive, with manufacturing and construction output, survey data suggest that this bounce is not going to last, and as the BoE has admitted as well, the short term outlook is negative.

Fed: Chair Powell stressed that the FOMC will not hesitate to tighten rates further if appropriate. The same message has been sent by every other policymaker in recent sessions. That has been a very consistent message from the Fed and the Chair, whether the markets want to believe it or not. But Powell also reiterated the Fed will continue to move “carefully.” He is not confident yet that the policy is restrictive enough to hit the 2% goal.

*USDIndex stabilised and nudged up to 105.70 as Treasury yields move higher. EURUSD has corrected to 1.0660 from highs over 1.07 and Cable corrected to 1.2227. USDJPY has continued to move higher and is currently at 151.35, as markets test intervention threats.
*Stocks: Stocks tumbled into the close to finish at lows. This broke the 9-day win streak on the US100 and the 8-day streak on the US500. Stock markets remained under water during the Asian hours as well. *European futures are also in the red however US futures are already showing signs of stabilisation, as investors settle for signals that in the central scenario rates have peaked not just in the US.
*Oil slightly higher to 76 area but it is headed for a 3rd weekly drop.
*Gold reverted to 1955 after a recent rally yesterday to the 1970 area as bears have taken a swing to test the resistance at 1964. Central bank officials have been pushing back against expectations of early rate cuts and yields have lifted from recent lows. This is coupled with a stabilisation in the Dollar that has undermined the appeal of non-interest bearing bullion – at least for now.
*Today: ECB Lagarde & Michigan sentiment.



Interesting Mover: GBPNZD – Down channel identified at 09-Nov-21:30. This pattern is still in the process of forming. Possible bullish price movement towards the resistance 2.0777 within the next 20 hours.

Always trade with strict risk management. Your capital is the single most important aspect of your trading business.

Please note that times displayed based on local time zone and are from time of writing this report.

Click HERE to access the full HFM Economic calendar.

Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!

Click HERE to READ more Market news.

Andria Pichidi
Market Analyst
HFMarkets

Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.

[HFblogNews]

Date: 13th November 2023.

Market Update – November 13 – Pivotal week ahead.


Trading Leveraged Products is risky

It’s the day before a possible Government shutdown again, and a pretty pivotal week ahead for company reports and a round of significant inflation data. Asian stock markets traded mixed overnight. Wall Street closed with a strong rally last week, but with investors waiting for key US inflation numbers, sentiment was mixed.



Late Friday, Moody’s trimmed the outlook on the US credit rating to negative from stable. The factors behind the change included the view that downside risks to the country’s fiscal strength have increased and may no longer be fully offset by the sovereign’s unique credit strengths. It did not help that Congress is again battling to prevent a partial government shutdown. Meanwhile, Moody’s also affirmed the AAA rating, noting it expects the US to “retain its exceptional economic strength” and it suggested “further positive growth surprises over the medium term could at least slow the deterioration in debt affordability.”

*USDIndex held at 2-day bottom, at 105.60.
*USDJPY: Hit new 1 year high, at 151.80 amid wider weakness in the Yen.
*Japanese wholesale inflation slowed below 1% for the first time in just over 2-1/2-years in October, a sign that cost push pressures that had been driving up prices for a wide range of goods were starting to fade. The slowdown in commodity-led inflation is in line with the Bank of Japan’s projections, and puts the spotlight on whether wages and household spending would increase enough to generate a demand-driven rise in consumer prices.
*Stocks: The Hang Seng outperformed, and European futures are also making headway, while US futures are in the red. Bonds declined across Asia, but Treasuries have pared overnight losses, and the US 10-year rate is down -1.2 bp at 4.64%, while the German 10-year yield is up 0.4 bp, and the Gilt yield down -0.1 bp.
*Oil gapped down on the open, reversing partial gains from Friday’s rally, but holds above $76. Any further renewed concerns over waning demand in the United States and China could dent market sentiment.
*Gold remains below $1,950 an ounce but is seeing a positive start to the week as investors react to Moody’s negative outlook on US debt but also as focus turns on US inflation for more cues on the Fed outlook.
*Palladium hovering near 5-year lows.



Interesting Mover: CADJPY – Rising Wedge identified. This pattern is still in the process of forming. Possible bullish price movement towards the resistance 110.5324 within the next 3 days. Supported by Upward sloping Moving Average.

Always trade with strict risk management. Your capital is the single most important aspect of your trading business.

Please note that times displayed based on local time zone and are from time of writing this report.

Click HERE to access the full HFM Economic calendar.

Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!

Click HERE to READ more Market news.

Andria Pichidi
Market Analyst
HFMarkets

Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.

[HFblogNews]

Date: 14th November 2023.

Market Update – November 14.


Trading Leveraged Products is risky

Stock markets are treading water in Europe, after a largely higher close across Asia. The ASX gained 0.8%, the Nikkei 0.3%, while China bourses traded mixed. In Europe GER40 and UK100 are up 0.1% and down -0.1% respectively, while US futures are posting slight gains, as markets wait for the key US inflation report later today.The DXY dollar index has traded in a relatively narrow range so far and is at 105.674.



Late Friday, Moody’s trimmed the outlook on the US credit rating to negative from stable. The factors behind the change included the view that downside risks to the country’s fiscal strength have increased and may no longer be fully offset by the sovereign’s unique credit strengths. It did not help that Congress is again battling to prevent a partial government shutdown. Meanwhile, Moody’s also affirmed the AAA rating, noting it expects the US to “retain its exceptional economic strength” and it suggested “further positive growth surprises over the medium term could at least slow the deterioration in debt affordability.”

*Yen’s quick recovery from 151.91 on Monday probably reflected positioning in the options market
*UK wage growth remains high. Hopes that an easing labour market will limit upward pressure on wages were one of the reasons the BoE has stopped the tightening cycle, but today’s round of data will give those who voted for another hike something to argue with.
*USDJPY – 151.60 – Yen traders brace for risk of deeper drop on US Inflation – 33-year high?
*Treasury Yellen ”Beijing’s heavy financial support for certain industries could pose a threat to other nations” – ” downside risk to the chinese economic outlook that could affect . . . many Apec economies”
*Stocks have recovered from opening losses, with small gains registered on the US500 and US30. The former broke 4-month down channel to the upside.
*Asian & EU equities crept higher – GER40 +0.14%, JPN225 +0.34%.
*Treasuries have found a bid with yields a couple of basis points
*USOIL pick to 78.35 post an OPEC report stating Demand is robust, and “overblown negative sentiment” – The American Automobile Association said the US Thanksgiving travel period will be the busiest since 2019.
*Gold steady at 1945 after yesterday’s rally
*TODAY: German ZEW, IEA report, US CPI. Earnings: Home Depot today, Cisco Systems, Target on Wednesday, then Alibaba Group Holding
BABA and Walmart report on Thursday.
*US CPI preview: Headline inflation fell to 3.3% in October, down from 3.7 % in September.



Biggest Mover: GBPUSD breached 1.2300 – GBP responded strongly post UK jobs data – impressive figures – employment rose (+54K), average weekly earnings up and revised higher.

Always trade with strict risk management. Your capital is the single most important aspect of your trading business.

Please note that times displayed based on local time zone and are from time of writing this report.

Click HERE to access the full HFM Economic calendar.

Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!

Click HERE to READ more Market news.

Andria Pichidi
Market Analyst
HFMarkets

Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.

[HFblogNews]

Date: 15th November 2023.

Market Update - November 15 - Technicals & FOMO adding to the moves.


Trading Leveraged Products is risky

A strong close on Wall Street was followed by a broad rally across Asian markets. An unexpected slowdown in US inflation boosted bets that the Fed’s tightening cycle is over, which brought down yields and benefited equity markets. UK inflation numbers this morning also came in a tad below market consensus, which put pressure on the Pound as investors upped bets that the BoE is also done hiking rates. The markets also brought forward the timing of rate cuts with an 88% probability of a 25 bp easing in May, and 50 bps priced in by July with 100 bps in cuts in 2024. Short covering, FOMO, and the break of technicals added to the gains. The belly of the Treasury curve outperformed on the Fed implications.



*US House voted for a short term funding bill, probably averting a partial government shutdown on Saturday (336 to 95).
*UK: CPI fell to 4.6% y/y from 6.7% y/y in the previous month. It was the lowest since October 2021 and less than half the recent peak of 11.1% y/y in October 2022. Output as well as input prices are already creeping up again and headline numbers for consumer prices remain far too high for the BoE’s liking.
*China: Data was mixed but mostly disappointing, reflecting ongoing sluggish to weak activity heading into the end of the year. Fixed property investment dropped to a -9.3% y/y rate, extending the -9.1% pace of contraction in September. It is disappointing but not surprising given the deepening troubles in that sector. It is the fastest pace of contraction since the -10.0% y/y in December. Residential property sales fell, new property construction & fixed asset investment were down.
*PBoC left its 1-year median lending rate unchanged at 2.50% for a fourth consecutive meeting. The Bank offered 1.45 tln yuan ($200 bln) in cash, the largest net injection since December 2016 as officials try to counter the weakness from the beleaguered property sector.
*EURUSD has soared 2 figures to 1.088, the best since August. It was helped earlier by a better than expected German ZEW investor confidence report.
*USDJPY slumped to 150.25 from the day’s peak of 151.78. It’s been above 150.00 since November 6 and may be able to hold the line there as the BoJ still shows little inclination of normalizing policy this year.
*Stocks surged with the US100 jumping 2.37%, while the US500 climbed 1.9 and the US30 surged 1.43%. Strength was broad based with every S&P sector closing in the green.
*USoil steadied and Gold edged higher to $1971.
*TODAY: US Retail Sales & PPI.



Interesting Mover: USDIndex plunged the most in a year, dropping 2 big figures intraday to a low of 103.81 before closing at 104.05. Next support is at 102.7-103. area.

Always trade with strict risk management. Your capital is the single most important aspect of your trading business.

Please note that times displayed based on local time zone and are from time of writing this report.

Click HERE to access the full HFM Economic calendar.

Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!

Click HERE to READ more Market news.

Andria Pichidi
Market Analyst
HFMarkets

Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.

[HFblogNews]

Date: 17th November 2023.

Market Update – November 17.


Trading Leveraged Products is risky

Stock markets struggled, and the Hang Seng in particular remained under pressure amid lingering concern over China’s growth outlook and a slump in Alibaba Group Hlds. as the company scrapped a spinoff of its cloud business due to US chip export restrictions.



European futures as well as most US futures are also finding buyers amid growing conviction that central bank rates have peaked in the US as well as Europe, which leaves markets looking for the timing of the first rate cut. Bonds are benefiting and yields continue to trend lower. European futures as well as most US futures are also finding buyers amid growing conviction that central bank rates have peaked in the US as well as Europe, which leaves markets looking for the timing of the first rate cut.

*US data once again, helped treasuries and add to the bullish sentiment that has prevailed most of the month.
*US Dollar slid higher to 104.36, up from recent lows, but still heading for a weekly loss, while Yields down as markets price in that Fed done with hiking.
*Euro strengthens after Tuesday’s significant 1.69% surge. Sterling (-0.23%) dive to 1.2375 post an unexpected decline in UK retail sales.
*AUDUSD & NZDUSD down for a 2nd consecutive day.
*Stocks: The JPN225 managed to dodge the trend and the wider MSCI Asia Pacific Index is still heading for a solid weekly gain. The US500 up +0.15%, US30 slipped -0.13% and the US100 0.07% higher.
*Alibaba Group Holding Ltd.’s (-9%) market value has slumped to only about half that of rival Tencent Holdings Ltd , as company had cancelled plans to spin off its cloud computing unit and paused a push to list its grocery chain.
*Walmart (-8% ) plunging, even after in-line earnings, as more cautionary outlook with D-word (deflation) rattling investors.
*Energy: USOil drop nearly 5% s below key $73 support level, leaving oil on course for a fourth weekly correction.
*Metals: XAUUSD spiked to 1988, set for a strong weekly close.



Interesting Mover: USDIndex plunged the most in a year, dropping 2 big figures intraday to a low of 103.81 before closing at 104.05. Next support is at 102.7-103. area.

Always trade with strict risk management. Your capital is the single most important aspect of your trading business.

Please note that times displayed based on local time zone and are from time of writing this report.

Click HERE to access the full HFM Economic calendar.

Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!

Click HERE to READ more Market news.

Andria Pichidi
Market Analyst
HFMarkets

Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.

[HFblogNews]

Date: 21st November 2023.

NASDAQ: Upcoming NVIDIA Earnings


Trading Leveraged Products is risky

The US100 declined during this morning’s futures market and also ended Friday’s session lower. However, the instrument is not witnessing any significant downward pressure or momentum, but continues to honor the established price range. According to the Chicago Exchange the possibilities of another rate hike over the next year are virtually zero and 30% of experts believe the Federal Reserve will cut the Federal Fund Rate by 25 basis points in the first quarter of 2024. With the hiking cycle at an end, the market could experience ideal market conditions for a bullish market.

Another positive factor for the US100 and the stocks market in general is the decline in the Dollar and Bond yields. The US Dollar Index has declined by 3.20% this month and continued to decline further this morning. In addition to this, the US 10-Year Bond yield has dropped to its lowest since September 2023. If the Dollar and Bond yields continue to decline throughout the day, the possibility of investor sentiment increasing grows. As a result, the US100 could potentially rise and break the $15,871 resistance level.

Both Asian and European stocks traded higher at the futures market open. Again, if European and Asian investors show a high-risk appetite, something similar may be witnessed in the US.



Over the next two days, the price of the US100 is likely to be influenced by two major events: the Federal Reserve Meeting Minutes and NVIDIA’s third quarterly earnings report of 2023. NVIDIA is the 5th most influential stock within the US100 and holds a weight of 4.58%. The company is again expected to make higher earnings and revenue compared to the previous quarters. The US100 will find significant support, if the earnings per share and revenue is higher than expected.

NVIDIA stocks have increased by 19% over the past month and 2% in the past week. The price movement indicates shareholders are confident ahead of the quarterly earnings release.

Currently the US100 remains above major trend lines and the Volume-Weighted Average Price. However, the instrument is trading within a retracement. Therefore, investors will be keen to see it reach $15,831 which will be enough momentum to obtain a potential buy signal on short-term charts.

GBPUSD

The Bank of England Deputy Governor Dave Ramsden advised markets that the central bank will keep interest rates high for at least 6 months to bring inflation back to its 2.0% target over the medium term. Analysts predict that the central bank will begin reducing borrowing costs in May or June 2024, with three 25 basis point adjustments planned by the end of next year, but for now its pressure on mortgage holders will continue. Currently, it is believed the Fed will cut before the BOE, which could support the Cable. According to a survey by consulting company Savanta, 58% of respondents have late payments now versus 49% the same month last year.



The latest wave on the GBPUSD is a correcting wave aiming for the previous high at 1.24638. However, investors will be monitoring if the exchange rate finds support at this level similar to previous price action patterns.

Always trade with strict risk management. Your capital is the single most important aspect of your trading business.

Please note that times displayed based on local time zone and are from time of writing this report.

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Michalis Efthymiou
Market Analyst
HFMarkets

Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.