October 2: Overnight Market Wrap

October 2: Overnight Market Wrap

Key Points:

Pelosi and Mnuchin fail to agree on US fiscal stimulus yet again

UK/EU negotiations send Cable on a round trip

Oil down 3.7% on the day

Another choppy session for both stocks and FX but within fairly tight ranges with the exception of GBP. All major US indices closed up on the day for the 5th time in 6 days with the tech sector boosting the Nasdaq 1.42%. The key driver once again was the US fiscal stimulus story which seems to have a daily update of going nowhere with Mnuchin and Pelosi struggling to agree. Data wise we saw the weekly jobless claims a slight beat but still showing almost 12 million people claiming and US ISM weaker than expectations, however neither impacted price. Brexit was the main event once again during the European session with ups and downs around statements and comments from both sides. Cable fell from 1.2950 in Asia to touch 1.2820 before round tripping back to 1.2980 and settling 100 pips lower with day traders struggling to stay in their positions. EUR also jumped around a bit on the back of Brexit but closed mid-range at 1.1740 having failed to break through 1.1770. AUD pushed higher to 0.7210 key resistance before falling back and Gold also tested key resistance at 1910 from 1885 yesterday. With the US election a month way Biden remains ahead in the polls which should give equities a boost and point to a weaker USD as it’s likely a larger stimulus package will get pushed through than if Trump wins. However the next few weeks are likely to be the most volatile time around predicting the election result and expect markets to reflect that. Australian final retail sales for August are due at 1130AEST today after the preliminary showed a strong number last week. China will observe another public holiday and the focus turns to US payrolls and further stimulus expectations tonight.

Trade the global markets with a broker that has integrity, honesty and transparency at its core


Market Wrap: 24 August 2023

Stocks Rally on Tech Optimism, Fed Rate Outlook:  Lackluster US, Europe economic data opens door for rate pause Nvidia’s bullish sales outlook prompts after-hours stock

Read More »

Market Wrap: 15 August 2023

Yuan Falls on PBOC Rate Cuts; Asian Stocks Mixed:  Japan’s economy shows resilience as growth beats estimates Economic woes mount in China as post-pandemic recovery

Read More »

Market Wrap: 11 August 2023

China Tech Pulls Asian Stocks Lower; Dollar Steady:  US core CPI posts smallest back-to-back increases in two years Daly says Fed has ‘more work to

Read More »

Market Wrap: 31 July 2023

Asian Stocks Echo US Rally on Soft Landing Hopes:  Yen declines after unscheduled Bank of Japan bond buying China manufacturing PMI data shows contraction in

Read More »

Market Wrap: 27 July 2023

Stocks Rise, Dollar Slips as Rates Peak in Sight:  ECB will raise rates by another quarter-point, survey shows US data Thursday include GDP, initial jobless

Read More »

This website is owned and operated by the Ox Securities group of companies, which include:
Ox Securities Pty Ltd registered address Level 37, 1 Macquarie Place, Sydney NSW 2000 Australia. AFSL 438402 ACN 163 551 602
Ox Securities Limited (SV) registered address Suite 305, Griffith Corporate Centre, Beachmont, Kingstown, St Vincent and the Grenadines
Risk Warning: The information contained on this website is general in nature and does not constitute advice or a recommendation to act upon the information or an offer. The information on this website does not take into account your personal objectives, circumstances, financial situations or needs. You are strongly recommended to seek independent professional advice before opening an account with us and/or acquiring our services/products. Ox Securities Limited (SV) do not accept applications from residents of the United States of America and Australia
Before you decide whether or not to invest any products referred to on this website, being over the counter (OTC) derivatives, it is important for you to read and consider our Financial Services Guide (FSG), Product Disclosure Statement (PDS), and Terms and Conditions (T&C), and ensure that you fully understand the risks involved. Fees, charges and commissions apply. OTC derivatives, including margin foreign exchange contracts and contract for differences, are leveraged products that carry a high level of risk to your capital. Trading is not suitable for everyone. You may incur losses that are substantially greater than your initial investment. You do not own, or have any rights to, the underlying assets which the OTC derivative is referring to. You should only trade with money you can afford to lose. There are also risks associated with online trading including, but not limited to, hardware and/or software failures, and disruptions to communication systems and internet connectivity.

Copyright © OxSecurities 2020. All rights reserved