Morning News – 17.10.2019

By 17/10/2019News
Morning Stock News

Gold   1488,32
(– 0,11%)

EURUSD   1,1076
(+0,03)

DJIA   26914,50
(– 0,06)

OIL.WTI  52,89
(– 0,11%)

DAX   12666,26
(+ 0,03%)

The dollar keeps falling for the 5th day in a row — for the first time in several months. The speculators pursuing a carry trade strategy are starting to get nervous and closing their positions. The pound has set a new 5-month high.

DAX30 Daily-Chart

EURUSD

A growing wave of rumors claim that the UK and the EU have reached the final stage in Brexit talks. However, today the UK Secretary of State for Exiting the EU Stephen Barclay told the Mps that Boris Johnson may start looking at options for delaying the Brexit as early as this weekend if an agreement isn’t signed. The pound has grown to 1.288, and the 1.30 mark isn’t far away.
As we pointed out yesterday, euro powerfully broke through the 50-day MA after testing it for the past 3 days. 1.11 and 1.12 are the next lines of resistance for EUR/USD.

GOLD

Gold is up, but still not out of the narrow channel of the past few days. This absence of directed movement shows that both the bulls and the bears are somewhat confused. On the one hand, this year’s uptrend is still there; on the other hand, the precious metal has been closing below the key level of $1500 per ounce for five days in a row.

INDICES

For the stock markets, Wednesday turned out to be the least volatile day since the beginning of October. Speculators and investors are taking a pause waiting for news about the US-China tariff talks.

What’s next?

The EU summit on Brexit is about to begin
10:30 am – UK retail sales data for September
2:30 pm – US initial claims for UI benefits
8 pm – A statement from the Federal Reserve Governor Michelle Bowman

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