Daily Markets Broadcast 2019-02-13

Daily Markets Broadcast

2019-02-13

Wall Street rallies as another shutdown avoided

Wall Street cheered news that a tentative deal on border security funding may have been reached thus avoiding a possible government shutdown again. Other positives came from President Trump’s comments that he may let the March 1 deadline for trade tariffs slide. Fed’s Powell described the US economy as “strong”.

 

US30USD Daily Chart

Source: OANDA fxTrade

 

  • The US30 index snapped a four-day losing streak yesterday, advancing the most since January 18. The index has extended yesterday’s rally in early trading this morning to reach the highest since December 4
  • The index is rising toward the 78.6% Fibonacci retracement of the October-December drop at 25,768
  • US CPI is seen easing to +1.5% y/y in January from +1.9% the previous month, latest polls of economists suggest. Speeches from Fed’s Bostic and Mester are also due.

 

DE30EUR Daily Chart

Source: OANDA fxTrade

  • The Germany30 index rose for a second day yesterday and looks poised to extend gains into today as Wall Street sentiment buoys prices
  • Support at 10,836, the 50% retracement level of the run-up which lasted from December 27 to February 5, has held and the index is now pushing toward the 100-day moving average at 11,316
  • Euro-zone industrial production is expected to show contraction for the second straight month in December, adding to the list of weak data that has come out of the area recently.

 

AU200AUD Daily Chart

Source: OANDA fxTrade

  • The Australia200 index touched the highest in four months earlier this morning, buoyed by hopes that progress is being made in US-China trade negotiations, with the March 1 deadline possibly being pushed back
  • The index is rising toward the 78.6% Fibonacci retracement of the August-December drop at 6,180. The index has traded above the 200-day moving average for seven days now
  • Tomorrow we get to see consumer inflation expectations for February. January’s reading was +3.5%.

 

 

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Andrew Robinson

Andrew Robinson

Senior Market Analyst at MarketPulse
A seasoned professional with more than 30 years’ experience in foreign exchange, interest rates and commodities, Andrew Robinson is a senior market analyst with OANDA, responsible for providing timely and relevant market commentary and live market analysis throughout the Asia-Pacific region. Having previously worked in Europe, since moving to Singapore he worked with several leading institutions including Bloomberg, Saxo Capital Markets and Informa Global Markets, proving FX strategies based on a combination of technical and fundamental analysis as well as market flow information. Andrew began his career as an FX dealer with NatWest and the Royal Bank of Scotland in the UK.