U.S. Stocks Jump on World Bank Forecast
The U.S. dollar was able to surge versus the yen to cap its longest winning streak in a month. This is on speculation that the recovery we are seeing in America is not enough to lead to less monetary stimulus. The USD/JPY pair is trading higher this morning by 0.18 percent at 104.78 yen. The greenback is also trading higher vs. its other main peers.
The British pound is trading lower for the second straight day after figures showed that the housing sector was weakening. This is after several months showing rising prices. This may not be long term, but does show that you need to be careful while trading the currency market and financial markets in general. The pound sterling has made some very big losses versus the dollar and euro this morning. Going short on the GBP/USD pair today is the way to go.
The European single currency is seeing another mixed trading day. Traders do have a good amount of confidence in the euro, but it is lower vs. the greenback. It is important to take into account that the strength which we are seeing in the greenback is not a concern to worry about for the EUR. The euro is higher versus the Aussie and the pound sterling. There is some strength for the Eurozone. In addition, with the World Bank lifting the global growth forecast, this has ended up boosting the euro in the latest round of trading.
There was an impressive rally on Wall Street thanks to the World Bank raising its global growth forecast. This led to there being much positive sentiment among financial traders, which was much needed. This was after there was a lack of bullishness sin the early part of the current trading week.
The S&P 500 gained 0.5 percent to 1,848.38. The Dow Jones made gains of 0.7 percent to the 16,481.94 level. There were also impressive gains made by a number of other leading U.S. indexes during Wednesday’s trading session.
Microsoft jumped 2.74 percent to $36.76. Facebook dipped 0.24 percent to $57.60.
There is a lot of weakness for the crude oil binary option this morning after it managed to make some very big gains yesterday. It seems that the commodity is overvalued, which has led traders to open Put options in the commodity in the latest round of trading. The black gold climbed to its highest level in two weeks yesterday after the World Bank raised the global growth forecast. Traders took this as support for the commodity. In fact, the commodity ended yesterday’s trading session 01.7 percent higher.
There were some big losses made by the gold binary option during yesterday’s trading session. Investors were in the mood to ditch gold, as it was simply not offering them high enough returns. This is after it made some very important gains during last week’s trading session. This shows just how quickly the situation in the commodities market can change each trading day. You will want to go short on gold futures in the hours ahead.
Whether crude oil goes higher or lower, there are always high returns to be made from the black gold. It seems to offer traders a run for their money. Therefore, you will want to follow all of the global economic events that impact crude each trading day if you want to make some high returns. It did manage to make very big gains yesterday, but the way to go today is selling oil on all fronts.