1. Dollar Stabilizes As U.S. Government Shutdown Continues
The dollar regained some footing on Monday after slipping to multi-year lows last week on a U.S. government shutdown. The U.S. government shutdown took effect at midnight on Friday after Democrats and Republicans failed to agree on a deal to fund government operations. Republicans and Democrats in Congress are currently pointing fingers at one another for a spending impasse as the U.S. government shutdown enters a second day! It should be noted that historically, broader markets have recorded modest dips during shutdowns, with major indices such as the S&P500 (SPX500) dropping over the period of closure.*
2. Euro On Watch Ahead Of German Vote And ECB Meeting
Germany’s Social Democrats have decided on Sunday to start formal coalition talks with Chancellor Angela Merkel’s conservatives after more than four months of political uncertainty. The EUR traded slightly higher against the dollar on the news, while the success of the coalition talks is expected to push the EU currency higher. The EUR will also be affected by the European Central Bank Interest Rate Decision due later within the week. The ECB is expected to stand pat on Thursday, while ECB chief, Mario Draghi, will likely warn of the negative impact of inflation. Any hawkish comments regarding future interest rates however, could push the EUR higher against its rivals.**
3. Oil Prices Continue To Rise
Oil prices continued to rise on Monday morning, after Saudi Arabia commented that the cooperation between oil producers who are currently withholding supplies would continue beyond 2018. Strong global economic growth and a drop in U.S. drilling also supported crude prices. Specifically U.S. West Texas Intermediate (USOIL) crude futures rose to as high as $63.76 a barrel as of 6:00 GMT this morning, up 0.4 percent from their last settlement.*
Upcoming Earnings Reports This Week:
22/01/2018 – UBS Group AG. (#UBS) to report pre-market
22/01/2018 – Netflix Inc. (#NFLX) to report post-market
23/01/2018 – Johnson & Johnson (#JNJ) to report pre-market
23/01/2018 – The Procter & Gamble Company (#PG) to report pre-market
23/01/2018 – Verizon Communications (#VZ) to report pre-market
24/01/2018 – General Electric Company (#GE) to report pre-market
24/01/2018 – United Technologies Corporation (#UTX) to report pre-market
25/01/2018 – Caterpillar Inc. (#CAT)to report pre-market
25/01/2018 – 3M Company (#MMM) to report pre-market
25/01/2018 – Intel Corporation (#INTC) to report post-market
25/01/2018 – Starbucks Corporation(#SBUX) to report post-market
You can find and trade all of the above mentioned equities and commodities on BDSwiss Forex/CFD platforms.
*Source: CNBC
**Source: Seeking Alpha
