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    German IFO Business Climate Beats With 112.9 – EUR/USD Ticks Higher

    Business confidence is rising in Germany: 112.9 in the IFO Business Climate. The Expectations component is a bit lower with 105.2. Is this due to the fear of the French elections ahead of the vote? The survey was held before yesterday’s vote. In any case, the current situation is positive with 121.1 points. There were also some minor upwards revisions. The results extend the trend of gains. EUR/USD is marginally higher around 1.0860. Resistance awaits at 1.0905, followed by 1.0960. Germany’s No. 1 Think-tank was expected to show a minuscule advance in business confidence: 112.5 points in April after 112.3 in March. The Expectations comp...
    On April 24, 2017 / By
  • Finance 0

    Sensex Trades Strong; ACC Cement Surges 7%

    After opening the day on a positive note, share markets in India have continued the momentum and are trading comfortably above the dotted line. All sectoral indices are trading on a positive note. Stocks in the power sector and stocks in the PSU sector are leading the gains. The BSE Sensex is trading up by 222 points (up 0.8%), and the NSE Nifty is trading up by 75 points (up 0.8%). Meanwhile, the BSE Mid Cap index is trading up by 0.6%, while the BSE Small Cap index is trading up by 0.9%. The rupee is trading at 64.47 to the US$. In news from stocks in the banking sector. HDFC Bank share price continued its upward march as t...
    On April 24, 2017 / By
  • Finance 0

    The S&P 500 In Week 3 Of April 2017 (Really!)

    There’s an old saying among coders, the polite phrasing of which goes as follows: “To err is human; To really foul things up requires a computer.” We definitely had a mischievous daemon do a number on us last week, where we managed to repeatedly refer to Week 2 of April 2017 as being Week 3 of April 2017, with all references to the week being consistent with a week further ahead in time than the week we were describing (So if your last contact with us was that post, and you’ve now come across this one, that’s why it seems like we’re talking about the third week of April 2017 again, when in reality, we r...
    On April 24, 2017 / By
  • Finance 0

    The Rise Of New French Gaullism

    After the first round of the French presidential election, “center-right” Macron and “radical right” Le Pen are positioned for a face-off. However, the real story of the election is that Le Pen’s agenda has shifted the political landscape toward new French Gaullism. At the eve of the French election, A gunman opened fire on the Champs-Élysées, killing a police officer and wounding others, while the Islamic State claimed responsibility. Meanwhile, US observers explain the rise of Le Pen on the basis of the French industrial decline, while German observers see France sandwiched between extremists on the Left and the Right. What ...
    On April 24, 2017 / By
  • Finance 0

    Yen May Fall Further As French Election Stokes Risk Appetite

    The first round of the French presidential election defined price action at the start of the trading week. The Euro outperformed after centrist Emmanuel Macron emerged in the lead, putting to rest concerns about a runoff between two eurosceptics (Marine Le Pen from the right and Jean-Luc Melechon from the left). The election outcome brightened spirits across the financial markets. Most Asian shares advanced and the perennially anti-risk Japanese Yen suffered deep losses. The Australian Dollar led the way higher among the non-Euro majors as investors’ chipper mood bolstered demand for higher-yielding currencies. Optimism has spill...
    On April 24, 2017 / By
  • Finance 0

    FX Week Ahead: US GDP, ECB & BoJ Meetings

    The week ahead will open in the backdrop of the French elections which will be the main overriding theme. Monday is a bank holiday in Australia and New Zealand. Traders will be focusing on the ECB and the BoJ’s meetings this week. No changes are expected from both these meetings this week with the respective central bank chiefs likely to reiterate that monetary policy will remain accommodative and appropriate to the current conditions. The U.S. advance GDP report will be coming out this week for the first quarter of 2017, while Australia will be reporting on the quarterly inflation numbers. Here’s a brief preview of this week’s economic...
    On April 24, 2017 / By
  • Finance 0

    Key Events In The Coming Busy Week: US GDP; ECB & BOJ Meetings, And Lots Of Earnings

    The key economic releases this week are the durable goods report on Thursday and Q1 GDP on Friday. This week is the busiest week of earnings season, with 40%of S&P 500 equity cap reporting. In addition, there are a few scheduled speaking engagements by Fed officials this week.  Further, as SocGen notes, this week, markets will digest the French election results, with data releases focusing on the strength of the euro area recovery. The ECB may signal upside risks to near-term growth ahead of higher core inflation on Friday. EU leaders will meet to adopt Brexit negotiation guidelines. In the US, softer 1Q GDP data will be scrutinized, whi...
    On April 24, 2017 / By
  • Finance 0

    EUR/USD In Hangover Mode After The French Elections

    EUR/USD is trading at 1.08037 in the morning after Macron topped the first round of the French elections. The mainstream candidate is expected to beat extreme-right Le Pen in the second round by a wide margin. Opinion polls for the second round have already been released and they project Macron to win 60% of the vote. More polls are expected today. The polls in France have been remarkably accurate. The initial reaction was a leap in EUR/USD, which reached a 5-month high and traded around 1.0930 at one point. We are now some 100 pips below those highs, but still over 100 pips above the close on Friday. The weekend gap is far from being ...
    On April 24, 2017 / By
  • Finance 0

    Oil Prices Rise While Chinese Stocks Plummet

    Oil prices headed higher on Monday morning on hopes that OPEC will continue its production cuts past its original May deadline. Brent crude futures were up 30 cents per barrel to $52.26 per barrel, a 0.6 percent increase. U.S. WTI crude oil futures gained 26 cents to $49.88 per barrel, but remained notably below the important $50 mark. U.S. drillers added oil rigs for the 14th consecutive week last week, and the increase is expected to continue into May, a fear that sent prices sharply lower last week. Both Brent and WTI prices are down nearly 7.5 percent since the start of the year. China Stocks Plunge Despite oil’s improving picture, the ...
    On April 24, 2017 / By
  • Finance 0

    Gold Weekly Forecast – Monday, April 24

    Gold ended the week down by 0.58% at $1284.29, suffering the first weekly loss in six, as investors cashed in recent gains driven by a range of geopolitical tensions. After hitting a fresh five-month highs on Monday, XAU/USD retreated to the $1277.35-1276 support area before recovering to the current level. The major event on everyone’s radar is the first round of French presidential election. It is unlikely one of anti-EU candidates, such as right-wing National Front Leader Marine Le Pen, will end up becoming the next president, but if the unexpected happens, it could push prices higher. On the other hand, if the geopolitical tensions ease...
    On April 24, 2017 / By