Daily market overview – 24/08/2016
On Tuesday, EURUSD had a quiet and thin volatile day as the pair fell slightly and it
traded lower in U k sessions trading after a strong start.
Fundamentals released on Tuesday were also not in favor of Euro and it tumbled the
single currency. Flash Manufacturing and Services PMIs came out from all over Europe
yesterday with a slightly negative overall bias, especially in the German Services
segment. The Eurozone Consumer Confidence Index came in also worse than
expected and the slightly bearish U.S. numbers were not enough to change the
afternoon trend in the Dollar that pushed the value of the Greenback higher.
Gold was trading in a narrow range on Wednesday as investors waited for clues on
whether the U.S. Federal Reserve would hike interest rates this year. At the end of the
week, Fed Chair Janet Yellen is scheduled to address the public until then markets are
going to be quiet.
The European Oil and Gas index is off 0.9% as Brent crude loses 1.5 % to $49.22 a
barrel after the American Petroleum Institute late on Tuesday said oil inventories in the
week to August 19 rose more than market forecasts. Brent had jumped above $50 in
the previous session following unconfirmed reports Iran was sending positive signals
about supporting a coordinated effort among major producers to freeze output and
restore some balance to the market.