Everything causes an impact in the global economy. That is why our traders and specialists are constantly aware of everything that is happening around the globe and this note is meant to keep you up-to-date.
As an extra today, we covert a few important notes that we think is important to this week.
S&P and Nasdaq also both struggled to maintain their early day gains, ending the day both down nearly 3% and Nasdaq dropping below 9,000 points. US 10 year treasury yields reach the all-time low to 1.3055%.
Major sell-off continues for the week as the Dow dropped a further 879 points and recorded their worst two-day losses in history today over the fears of Covid becoming a bigger global pandemic following the news of the spread in South Korea and across Europe.
Here is the weekly Trading Report Activities CashFX – Feb 17th to 21st, 2020.
Here is a list of the main indexes which we can see at the beginning of each week, specifically on Mondays. Each of the indexes offers the general position of the main currency pairs and commodities, and the indices using data from futures and over-the-counter (OTC) markets and attending both long and short open positions.
Main indexes traded:
Monday, February 17th, 2020:
The first day of the week points again to the alarming CoronaVirus (COVID-19), which affects the population in China and extends to other countries including some countries in Europe. Along with that the Reserve Bank of Australia published a detailed record of the most recent monetary policy meeting of its board, two weeks after it took place. It provides a deep study about the economic conditions that influences the central bank’s decision to set interest rates. The board of the Reserve Bank normally meets eleven times in the year, the first Tuesday of each month, except in January. A peaceful statement, open to negotiation, could bring the AUD down over its rivals, while an aggressive statement could strengthen the currency.
Tuesday, February 18th, 2020:
Events in United Kingdom were the reason for this volatile day in the market.
The unemployment evolution in United Kingdom is measured with the change in the claimants account. These number are taking during the month and affects directly the labor market and also the consumer spending, therefore, changing the economic growth. At the same level the Average Income Index measures the change in the average labor price, including bonuses and gives us a good indication of people’s income growth during the month.
At the end of the day, the release of the Economic Sentiment of the German Zentrum für Europäische Wirtschaftsforschung (ZEW) determines the optimism of German institutional investors. he German study was concluded with some 350 institutional investors and analysts.
Wednesday, February 19th, 2020
An extremely busy Wednesday, take a look:
The Consumer Price Index (CPI) measures changes in the price of goods and services from the perspective of the consumer. This is a way of measuring changes in purchasing trends and inflation in the United Kingdom, which is a big deal in the EURO market.
The Producer Price Index (PPI) in the United States is an inflationary indicator that measures the average change in the sale of prices received by domestic producers of goods and services from the seller’s perspective. The PPI looks at three areas of production: industry, goods, and the processing stage of the companies. When producers pay more for goods and services, they pass higher costs to the consumer, so the PPI is considered a leading indicator of consumer inflation. Also a great game changer in the Forex market. Along with it the Building Permits in the United State show the number of permits for new construction projects issued by the government. building permits are the main indicators of the condition of the housing market.
In Canada, the basic Consumer Price Index (CPI) measures changes in the price of goods and services excluding food and energy from the perspective of the consumer. It is a way of measuring changes in purchasing trends and inflation in Canada.
Thursday, February 20th, 2020
Thursday was filled with news of very high impact on the market.
It started with the the change in employment in Australia which measures the change in the number of people employed in Australia in the given month. The Retail Sales in the United Kingdom is a monthly measurement of all goods sold by retailers based on a sample of retail stores of different types and sizes. It is an important indicator of consumer spending and is also related to consumer confidence and is considered as an indicator of the pace of the UK economy. And to end the day the Philadelphia Fed Manufacturing Index which determines the economic health of the manufacturing sector in the Philadelphia district was released. The conclusion was reached with a survey of about 250 manufacturers in the Federal Reserve district of Philadelphia. Some may help in the US forecast. IGS.
Friday, February 21st, 2020
A pretty good day for a regular day.
It begins with the German Purchasing Manufacturing Index (PMI) that measures the level of activity of purchasing managers in the manufacturing sector. Our traders look closely at these studies as purchasing managers often have early access to data on the performance of their company, as it can be an indicator of global economic results.
The Purchasing Managers Index of the Chartered Institute of Purchasing and Supply (CIPS) measures the level of activity of purchasing managers in the service sector in the United Kingdom. Merchants look closely at these surveys because, as purchasing managers, they generally have easy access to data on their company’s performance, which can be an indicator of global economic results.
These is enough material to give you a good perspective of how the world is changing fast and how important it is to be connected to what is happening. If you don’t have the time, we are here for you. Create your account in Cash FX Today