Gold 1896,45
|
EURUSD 1,1832
|
DJIA 28010
|
OIL.WTI 39,035
|
DAX 12663,12
|
|---|
Over the past week, global stock exchanges have shown positive dynamics. The focus was on the debate between Trump and Biden, which went more smoothly than in the past.
S&P500
The next couple of weeks will be important for the entire financial sector. Many different events will directly affect the future of the economy. These are the presidential election in the USA, the Brexit negotiations, as well as the fight against the Coronavirus.
You can now see that investor sentiment is rising and appetite for risk is improving. One positive development is the full approval by the FDA of Remdesivir, a drug used to treat COVID-19.
Most central banks will be meeting this week and Europe and the US will be giving preliminary estimates of GDP. It should also be noted that the agreement package to stimulate the American economy is almost ready. The adoption of the package before the elections will give additional impetus to market growth.
On Friday, the S&P500 index showed a slight increase of 0.11% and the DAX index rose 0.8% to 12645.
Euro
The ECB and the Fed have published statistics on their balance sheet changes. As expected, the balances have continued to grow. Countries actively continue to print money to support their economies. It is worth noting that the growth rate of the ECB balance sheet is lower than that of the US Federal Reserve, which is already affecting the euro. So far, there are no prerequisites for its fall. The coronavirus situation in Europe is being controlled, but otherwise the European economy is feeling good. The euro rose 0.39% on Friday to 1,1860. Attempts to grow to a key level of 1.20 are likely to continue.
ALUMINIUM
As long as gold and oil remain unclear due to a large number of external factors, the aluminium market situation is worth considering. China’s economic recovery has led to increased demand for this metal. The price has broken through the resistance level of 1828 and is now trying to gain a foothold above it. This dynamic gives us an opportunity to assume that the movement will not stop and that active growth will continue. Aluminium may now take a short respite from its strong growth, but the $2000 level is becoming a new target for a large number of traders.
What awaits us today?
10.00 Unemployment rate in Spain
16.00 Sale of new housing in the USA for September
16.30 Manufacturing Index from Dallas FRS
Important Notes on This Publication:
The content of this publication is for general information purposes only. In this context, it is neither an individual investment recommendation or advice nor an offer to purchase or sell securities or other financial products. The content in question and all the information contained therein do not in any way replace individual investor- or investment-oriented advice. No reliable forecast or indication for the future is possible with respect to any presentation or information on the present or past performance of the relevant underlying assets. All information and data presented in this publication are based on reliable sources. However, Bernstein Bank does not guarantee that the information and data contained in this publication is up-to-date, correct and complete. Securities traded on the financial markets are subject to price fluctuations. A contract for difference (CFD) is also a financial instrument with leverage effect. Against this backdrop, CFD trading involves a high risk up to the point of total loss and may not be suitable for all investors. Therefore, make sure that you have fully understood all the correlating risks. If necessary, ask for independent advice.