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Market Review | July 4, 2024
William Dudley, the President of the Federal Reserve Bank of New York, stated at the European Central Bank Forum that the neutral interest rate in the United States and the Eurozone has not changed significantly due to the COVID-19 pandemic, while warning that monetary policy should not overly rely on the uncertain estimates of the neutral interest rate. At the same time, recent employment growth in the United States has slowed down, the service industry has contracted, inflation has cooled, and
European trading is subdued due to the U.S. holiday, with the euro benefiting from weak U.S. data. The pound rises ahead of the UK election, supported by market sentiment. ECB President Christine Lagarde's comments on interest rates support the euro. Overall, mixed sentiment prevails with cautious trading expected. Key economic events include Eurozone retail sales, Germany's industrial production, and UK services PMI.
Wall Street saw a notable rally with the Nasdaq and S&P 500 reaching all-time highs, while the Dow Jones lagged.
Recent developments include President Biden's potential re-election reconsideration, Asia-Pacific market highs, PwC's auditing issues in China, potential acquisitions in the energy and retail sectors, geopolitical tensions, and regulatory actions impacting markets. Key impacts include fluctuations in USD, CNY, CAD, TWD, EUR, GBP, and AUD, with significant effects on stock markets across the US, Asia, and Europe.
Recent developments include President Biden's potential re-election reconsideration, Asia-Pacific market highs, PwC's auditing issues in China, potential acquisitions in the energy and retail sectors, geopolitical tensions, and regulatory actions impacting markets. Key impacts include fluctuations in USD, CNY, CAD, TWD, EUR, GBP, and AUD, with significant effects on stock markets across the US, Asia, and Europe.
Market Review | July 4, 2024
On Tuesday (July 2nd), the US dollar index rebounded to the 106 level and resumed its decline.
The Japanese economy is currently facing the challenge of slowing growth, with the first quarter GDP data being downwardly revised to an annualized contraction of 2.9%, while the yen's exchange rate has hit a new low. Although the central bank adjusted the policy interest rate in March and plans to reduce the purchase of government bonds, the economic outlook remains uncertain. Furthermore, officials from the Bank of Japan and the Ministry of Finance have emphasized the importance of cash and in
The Japanese yen recently hit a 38-year low against the US dollar, driven by economic and geopolitical factors. Despite Japan's authorities remaining inactive, the yen weakens due to monetary policy divergence. Bearish sentiment prevails with key support levels at USD/JPY 158.30, EUR/JPY 170.79, and GBP/JPY 201.10. Analysts set USD/JPY targets around 163.75. Economic data, manufacturing sentiment, and geopolitical factors influence potential yen movement.
Geopolitical tensions rise as Chinese and Russian firms develop attack drones, potentially aiding Russia. Trump’s fundraising outpaces Biden, increasing political uncertainty. New Japanese banknotes may boost investment and spending. Changes in China’s financial sector align with "common prosperity" policies. Asian stocks rise with easing U.S. inflation concerns, while oil prices surge on reduced U.S. inventories. Slow services growth in China and strong retail sales in Australia affect respecti
Geopolitical tensions rise as Chinese and Russian firms develop attack drones, potentially aiding Russia. Trump’s fundraising outpaces Biden, increasing political uncertainty. New Japanese banknotes may boost investment and spending. Changes in China’s financial sector align with "common prosperity" policies. Asian stocks rise with easing U.S. inflation concerns, while oil prices surge on reduced U.S. inventories. Slow services growth in China and strong retail sales in Australia affect respecti
Vonway, a leading figure in the financial services industry for South East Asia Region, has clinched the coveted "Best Online Global Broker" award at the Money Exhibition Asia 2024. This prestigious recognition highlights Vonway's exceptional performance, innovative services, and unwavering commitment to customer satisfaction in the fiercely competitive online brokerage sector.
Federal Reserve Chair Jerome Powell indicated that recent U.S. economic data suggest inflation is returning to a downward trajectory. However, he emphasised the need for more evidence before the Fed considers shifting its current monetary policy. Consequently, the dollar eased from its recent highs, while U.S. equity markets, buoyed by the dovish tone, saw the Nasdaq and S&P 500 reaching all-time highs.
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Market Review | July 3, 2024
Market Review | July 3, 2024
Although the U.S. stock market is typically stable in the summer, this year it may face volatility, maintaining an optimistic outlook for the S&P 500 index's year-end target of 5,600 points. At the same time, financial giants are assessing the potential impact of a Trump election victory on the bond market, advising clients to prepare for inflation and rising bond yields. Despite uncertainties, earnings growth is seen as key to supporting the rise in the stock market. Investors need to pay atten
Market Review | July 3, 2024
Market Review | July 3, 2024