Investors Took a Wait-and-See Attitude Before the Friday’s Report

Yesterday, mixed economic reports from the United States were published. According to the ADP, the number of people employed in the nonagricultural sector counted to 241 thousand, while investors expected a value of 208 thousand. However, the index of business activity in the nonmanufacturing sector dropped to 58.8 against the expected value of 59.0. The US dollar index (#DX) closed in the negative zone (0.08%) yesterday. At the moment, financial markets participants took a waitandsee attitude before the publication of the report on the labor market in the US on Friday. Also, on Friday there will be a speech of the Fed chairman, Jerome Powell, which may influence the exchange rate of the American currency.

Concerns about the trade war between China and the US do not subside. However, the US President Donald Trump tried to assure on Twitter that there was no trade war. This may mean that the head of state still expects to come to some sort of agreement with China. The Chinese authorities, in turn, said that they expected when duties on goods from the US would take effect to introduce tariffs on their part. Therefore, for some time, countries can expect actions from each other.

The “black gold” prices are recovering. Futures for the WTI crude oil are testing the mark of $63.50 per barrel.

Market Indicators

Yesterday, there were aggressive purchases in the US stock market: #SPY (+1.07%), #DIA (+0.96%), #QQQ (+1.58%).

At the moment, the 10year US government bonds yield is at the level of 2.802.81%.

the index of business activity in the services sector in the Eurozone at 11:00 (GMT+3:00);the index of business activity in the services sector in the UK at 11:30 (GMT+3:00);the volume of retail sales in the Eurozone at 12:00 (GMT+3:00);the number of initial jobless claims in the US at 15:30 (GMT+3:00).

by JustMarkets, 2018.04.05