E.U. Markets Higher
Oil Steady After Drop in Stocks
Gold Lower Ahead of ECB Meeting
Market Recap – This week in a nutshell:
The dollar fell to a 10-month low on Tuesday on news of a healthcare reform setback to U.S. President Donald Trump’s agenda and dovish comments by the Federal Reserve. On Wednesday, Netflix Inc. (NFLX) shares added more than $25 to peak at $186.97 after the streaming giant added more subscribers than expected both domestically and internationally in the second quarter.*
Thu, July 20: In Today’s Markets…
1. European Markets Open Higher Ahead of ECB meeting
European markets started the day on a bullish note on Thursday, boosted by a surge in global stocks. Investors are also looking closely at the latest key interest rate decision by the European Central Bank (ECB), due later today. It should be noted that the euro had spiked to 14-month highs this week after some hawkish comments by ECB President Mario Draghi, while today it was seen trading flat against the USD at 1.1515 as of 7:00 GMT. The ECB is not expected to adjust interest rates today but it is seen signaling plans to slow down some of its asset purchases over the upcoming months. Meanwhile, the second round of formal Brexit talks will continue today. Britain’s Brexit Secretary David Davis is expected to speak at a press conference later within the day.**
2. Oil Steady After Big Drop in U.S. Fuel Stocks
Oil prices traded steady on Thursday morning, retaining gains made during the previous session after a sudden drop U.S. crude stocks lifted the market. It should be noted that traders will also be focusing at a key OPEC meeting next week. Crude oil prices are still trading below the key $50-per-barrel mark on concerns about high supplies from the Organization of the Petroleum Exporting Countries (OPEC) despite its pledge to cut output.**
3. Gold Lower Ahead of ECB Meeting
Gold prices edged lower today, ahead of the latest European Central Bank meeting. The ECB is expected to emphasise on improved growth and reduce its asset purchasing program while maintaining key interest rates at 0%. Spot gold traded 0.3 percent lower at 1,238.87 as of 7:15 GMT. It is also important to note that the euro held near a 14-month high against the dollar ahead of the ECB gathering.**
*Source: Investing.com
**Source: CNBC
