Dollar At Six-Month Highs Ahead Of New Data
The dollar settled in its 6-month highs as investors await key data from the world’s two biggest economies to determine whether global growth is running out of steam. Worries about the economic hit to China’s exports, after a slap of stiff tariffs on Chinese imported goods by the U.S., sent the yuan crashing against the dollar last week. The CNY is currently wallowing near yearly lows while the USD is trading at 6 month highs against its major rivals.
This week, prices will largely be determined by the strength of each nation’s economic releases, as traders will now looking to second-quarter gross domestic product (GDP) data from China and June retail sales from the United States. Federal Reserve chief Jerome Powell will also make a semiannual appearance before Congress later this week. Ahead of the meeting, the central bank released its accompanying policy report which showed U.S. economic growth and the Fed expecting to keep raising rates gradually.*
Oil Prices Lower On Potential Supply Hikes
Oil prices dipped on Monday as concerns over supply disruptions eased and Libyan ports resumed export activities, while traders also feared potential supply increases by Russia and other oil producers. Specifically, crude WTI (USDOIL) dropped 1.04% at $69.25 this morning, while Brent was last seen trading 0.8 percent lower, at $74.72 as of 7:00 GMT. It is important to note that supply outages in Libya and strike action in Norway and Iraq pushed oil prices higher late last week, but this week crude oil prices fell as soon fears of supply disruptions eased. News that Libya’s state oil producer had restarted output from a major oil field is believed to have ignited this morning’s selloff!**
Netflix Slips After Deutsche Bank Warnings
Netflix shares slipped after Deutsche Bank warned that the streaming giant may miss second-quarter subscriber expectations. Netflix (NFLX -4.3%) ended up with its worst day in weeks after Deutsche Bank sounded some cautions ahead of Monday’s afternoon earnings release. Netflix’s stunning rally so far this year may be due for a breather, according to Deutsche Bank. Deutsche analyst Bryan Kraft predicted Netflix’s second-quarter global net subscriber additions will be within a range of 1 million below to 500,000 above the Wall Street consensus. He estimates US net member additions will either match analyst’s expectations or miss by up to 500,000 subscribers for the same quarter.***
You can find and trade all of the above mentioned assets on BDSwiss Forex/CFD platforms.
*Source: Reuters JULY 16, 2018 / 4:18 AM
**Source: Reuters JULY 16, 2018 / 4:07 AM
***Source: Seeking Alpha, Jul. 13, 2018 5:36 PM ET
Upcoming Earnings Reports This Week:
16/7/2018 – Bank of America Corporation (#BAC) to report pre-market
16/7/2018 – Netflix, Inc. (#NFLX) to report post-market
17/7/2018 – Goldman Sachs Group Inc. (#GS) to report pre-market
17/7/2018 – Johnson & Johnson. (#JNJ) to report pre-market
17/7/2018 – UnitedHealth Group Inc. (#UNH) to report pre-market
17/7/2018 – UBHP Billiton Limited (#BHP) to report prost-market
18/7/2018 – American Express Company (#AXP) to report post-market
18/7/2018 – eBay Inc. (#EBAY) to report post-market
18/7/2018 – American Express Company (#AXP) to report post-market
18/7/2018 – International Business Machines Corporation (#IBM) to report post-market
19/7/2018 – The Bank of New York Mellon Corporation (#BK) to report pre-market
19/7/2018 – Unilever Plc (#UL) to report pre-market
19/7/2018 – Microsoft Corporation (#MSFT) to report post-market
20/7/2018 – General Electric (#GE) to report pre-market
