Market Overview 2018.03.29

29-03-2018 10:35:59
Back to Market News

Facebooktwitter

EUR/USD

The US dollar gained on Wednesday against the Euro currency. The consumer confidence report in Germany has shown remarkable progress, but this has fallen to the fore in view of the positive GDP report in the United States. The US dollar remained near the highest levels in the session against other world currencies due to optimistic economic data pointing to the fundamental strength of the US economy. Annually, GDP grew by 2.9% between October and December, the Commerce Department said, after the latest reading showed a higher growth, as compared to the previous reading of 2.5%, and in relation to expectations from 2.7%. According to CIBC, data on economic growth above expectations are the result of an increase in consumer spending from 3.8% to 4.0%, as well as reduced inventory consumption. Sales of pre-owned homes in the United States in February rose for the first time in three months, but a reduced bid could continue to put pressure on the momentum of growth in the coming months.

EUR/USD by SGT Markets Forex Broker and CFD | March 29, 2018 EUR/USD indicators by SGT Markets Forex Broker and CFD | March 29, 2018

GBP/USD

GBP / USD withdrew after the pair recorded the new highest levels earlier in the week. The British pound failed to maintain its position due to the strengthening of the US dollar after a positive GDP report in the US. On an annual basis, GDP grew by 2.9% between October and December, the Commerce Department said, after the last reading showed a higher growth, as compared to the previous reading of 2.5%, and in relation to expectations from 2.7%. According to CIBC, data on economic growth above expectations are the result of an increase in consumer spending from 3.8% to 4.0%, as well as reduced inventory consumption. Sales of pre-owned homes in the United States in February rose for the first time in three months, but a reduced bid could continue to put pressure on the momentum of growth in the coming months.

GBP/USD by SGT Markets Forex Broker and CFD | March 29, 2018 GBP/USD indicators by SGT Markets Forex Broker and CFD | March 29, 2018

USD/JPY

In Asia, the dollar recorded a decline in Thursday morning despite a positive GDP report, because the non-risk Japanese yen was growing as a result of rising geopolitical tensions. Given that Japan is a nation that gives net loans, the yen as a financial instrument is considered a safe haven for investors in the period of uncertainty. On an annual basis, GDP grew by 2.9% between October and December, the Commerce Department said, after the last reading showed a higher growth, as compared to the previous reading of 2.5%, and in relation to expectations from 2.7%. Sales of pre-owned homes in the United States in February rose for the first time in three months, but a reduced bid could continue to put pressure on the momentum of growth in the coming months.

USD/JPY by SGT Markets Forex Broker and CFD | March 29, 2018 USD/JPY indicators by SGT Markets Forex Broker and CFD | March 29, 2018

GOLD

The gold price on Wednesday saw a sharp decline as investors left the precious metal due to the strengthening of the US dollar and strong economic growth in the United States, while easing geopolitical uncertainty reduced demand for instruments considered safe sanctuary. On an annual basis, GDP grew by 2.9% in the fourth quarter, according to the Commerce Department, after the latest reading showed higher growth compared to the previous reading of 2.5%, and against the expectations of 2.7%. The drop in geopolitical uncertainty meanwhile diminished the appetite of gold investors due to reports that North Korea’s leader Kim Jong Un, while negotiating with China’s Secretary General Xi Jinping, promised to devote to denuclearization. US President Donald Trump greeted the news of the progress of negotiations between the two leaders in Beijing.

GOLD by SGT Markets Forex Broker and CFD | March 29, 2018 GOLD indicators by SGT Markets Forex Broker and CFD | March 29, 2018

OIL

The price of crude oil declined because US production continued to expand, endangering the efforts of OPEC members and their allies to reduce overcapacity. Oil reserves in the United States rose by 1.643 million barrels last week, despite expectations that a decline of 287,000 barrels will be recorded. Inventories of gasoline fell by 3.472 million barrels, which is a higher decline than expected in the amount of 1.954 million barrels, while stocks of distillates – which include diesel and heating oil – fell by 2.090 million barrels, more than expected 1.618 million barrels .

OIL by SGT Markets Forex Broker and CFD | March 29, 2018 OIL indicators by SGT Markets Forex Broker and CFD | March 29, 2018