One of the main events of Wednesday morning, the first debate of US presidential candidates, took place under the banner of chaos and uncertainty. Out of ninety minutes of fighting between Trump and Biden, market participants understood only one thing, Trump will not leave the presidency so easily.
The debate turned out to be very strange. Trump interrupted Biden 73 times, according to CBS calculations. It was difficult to make out what these guys had to say in such a fight. During the performance no one showed their views, plans or positions.
There is a tough month ahead of the elections. There will be debates, statements, meetings and various presentations by the candidates. Investors will listen to every word, and a period of increased volatility may arise. At this time, it is worth refraining from trading in large volumes so as not to lose a deposit on strong movements.
Still, good news has come from the USA. The number of people employed in the non-agricultural sector was better than predicted, and this data has always been an indicator before unemployment data. Against this background, the US markets have grown quite well. The S&P500 index rose 1% to 3363 and the Dow Jones index rose by more than 1.5% to 27890.
The European indexes closed with a decrease. The DAX fell 0.51% to close at 12760, while the British FTSE also lost 0.5% to close at 5866.
The situation in Britain looks very interesting. On the one hand, the pound supported the cash flows that came to buy GBP/USD at the end of the month, and on the other hand, good data from the ADP report on US employment and positive talks on Brexit. On the third, the US dollar is still weakening. The pound has almost taken the level of 1,2900, which opens the way up to 1,3000.
No changes are expected for gold yet. The growth forecast is still valid. Today’s bull race in the stock markets made the metal shelter roll back in price, but nothing terrible happened. Gold is still traded near the level of $1900 per ounce and has lost about 0.5% of its price, which is not significant at all. In the long term, only growth is considered.
What awaits us today?
9.55 Manufacturing sector business activity index for September in Germany
10.30 Manufacturing Index for September in the UK
14.30 Number of initial applications for unemployment benefits in the USA
16.30 Manufacturing Index for September in the USA
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