HomeContributorsFundamental AnalysisMARKET WRAP: Bonds Yields Drop While Stocks Pop; Trade Talk In Focus

MARKET WRAP: Bonds Yields Drop While Stocks Pop; Trade Talk In Focus

*Equites moved higher as US and China are likely to return on the negotiation table by October. *The battle for safe havens eased off

Stocks

  • The S&P 500 Index crossed above its 50-day SMA on a daily time frame ahead of the US NFP data. The index gained over 1.36% of 15:20 London time.
  • The Stoxx Europe 600 Index jumped 0.63% despite a major slump in German factory order data: Act -2.7% forecast -1.5%.
  • The UK FTSE continued to move higher as investors became less concerned about no-deal Brexit. The index increased by 0.01%

Currencies

  • The Dollar Spot Index dropped 0.29% for the second consecutive day. Investors remain anxious ahead of US NFP data
  • The Euro moved higher by 0.26% due to the weakness of the dollar and some hawkish monetary policy stance from the ECB policy makers.
  • The British pound soared for the second day and gained another 0.94% today.
  • The Japanese yen moved lower by 0.75% to 107.10.

Bonds

  • The Yield on 10-year Treasuries soared by eleven basis points to 1.5772%.
  • Britain’s 10-year yield jumped to 0.636%.

Commodities

  • West Texas Intermediate crude moved back in green and continued its huge surge from yesterday on the back of more supporting inventory data. The price ranged from $57.05 to $55.75.
  • Gold saw some serious sell off today and dropped over 1.69%.
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