Spreadex Market Update
Nvidia Earnings & Fed Minutes Coming Up
Equities
On Tuesday, the FTSE 100 index dipped 0.1%, ending a four-day winning streak. Barclays stood out with an impressive 8.6% surge to a 22-week high, following the announcement of its comprehensive business overhaul plans. These plans include significant buybacks, cost reductions, and asset sales aimed at enhancing performance and boosting share value.
Across the Atlantic, the US stock market closed lower, with notable movements among key players. Nvidia, a leading chipmaker, saw its shares fall by 4.35% due to concerns over its high valuation ahead of its earnings report. This anticipation reflects the broader market's scrutiny of Nvidia's role in driving the AI-fuelled surge in tech stocks. Meanwhile, Walmart achieved a record high, buoyed by a positive fiscal outlook and a dividend increase, signalling robust retail sector health.
Discover Financial Services also captured attention with a 12.61% jump after news of its acquisition by Capital One in a substantial $35.3 billion deal, spotlighting significant movements in the financial services sector.
Forex & Commodities
The dollar saw a decline, influenced by a global decrease in bond yields, while markets eagerly anticipated the minutes from the Federal Reserve's latest policy meeting for clues on future interest rate directions. The dollar dropped below 150 yen, providing the Japanese currency some relief after being near a three-month low in previous sessions. This move comes amidst speculation about potential intervention by Japanese authorities to support the yen.
The Canadian dollar showed marginal gains against the US dollar following lower-than-expected Canadian inflation data.
In the UK, sterling appreciated slightly, although comments from the Bank of England Governor, Andrew Bailey, suggesting a comfortable stance towards potential interest rate cuts this year, affected its strength. Bailey's dovish remarks also led to a drop in UK gilt yields.
The commodity markets witnessed gold prices rising for a sixth consecutive session, driven by the weaker dollar and increased safe-haven demand amidst ongoing tensions in the Middle East. Gold reached its highest price since February 9, benefitting from the dollar's decline and concerns over regional stability.
Oil prices, however, settled lower due to concerns over global demand, despite geopolitical tensions that typically support prices. The overarching worry about global oil demand, particularly from China, dominated market sentiment.
It's easy to open an account
- Fill in our simple online application form
- Fund your account
- Start trading the global markets instantly!
SEARCH FOR AN ARTICLE:
Enter a keyword and search for all relevant articlesMARKET ANALYSIS
RECENT POSTS
DISCLAIMER
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 64% of retail investors lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money. For professional clients, spread betting and CFD trading can also result in losses larger than your initial stake or deposit.
Spreadex Ltd is authorised and regulated by the Financial Conduct Authority, provides an execution only service and does not provide advice in any way. Nothing within this update should be deemed to constitute the provision of investment advice, recommendations, any other professional advice in any way, or a record of our trading prices. This update does not constitute or form part of an offer of, or solicitation for a transaction in any financial instrument, nor shall it or the fact of its distribution form the basis of, or be relied on in connection with, any contract therefore. Any persons placing trades based on their interpretation of the comments or information within this update does so entirely at their own risk.
No representation, warranty, or undertaking, express or limited, is given as to the accuracy or completeness of the information or opinions contained within this update by Spreadex Ltd or any of its employees and no liability is accepted by such persons for the accuracy or completeness of any such information or opinions. As such, no reliance may be placed for any purpose on the information and opinions contained within this update.
The information contained within this update is the intellectual property of Spreadex Ltd and is protected by UK and International copyright laws. All rights reserved. Users may however freely download, distribute and reproduce extracts of the contents, subject always to accrediting Spreadex Ltd as the source and providing a hyperlink to www.spreadex.com.
