Today’s Key Market Drivers: 13th November 2018
“Headline News on CNBC’s home page. I agree!”
US stock markets capitulated once again with the Dow Jones closing down over 600 points or 2.3% and the S&P 500 strongly closing into its lows of the day down 2.0%. This, of course, means one thing for currency markets and that’s a stronger Yen, US Dollar and Swiss Franc which are the traditional safe-haven currencies in times of negative sentiment. Don’t let anyone try and tell you any differently the reason stocks are down once again is that traders are concerned about rising interest rates in the USA and how this will impact company earnings and the US economy. Money is coming out of stocks and into fixed income such as US Treasuries (bonds). Apple was the big drag on the Dow Jones on Monday after one of its suppliers Lumentum Holdings who helps design Apple face recognition software reported that one of its suppliers (likely Apple) asked if it would slow down supply. Stocks in Lumentum Holdings fell 29%.
When you look at the base currencies such as the AUD, NZD, EUR and Pound you will see they all extended their losses against the US Dollar which goes to show which is the dominant currency in the market right now. CNBC reports this morning that “net long positions on the dollar versus G10 currencies last week rose to their highest levels since 2015 at $30.4 billion, according to CFTC data. At 3:27 p.m. ET, the dollar index was up 0.66 percent at 97.54.” What does this mean? Investment Banks and Hedge Funds are buying more US Dollars.
On the economic data front Australian Business Confidence numbers are due at 11.30am AEDT and have the potential to move the AUD 25 ticks. When European markets open, we will get the latest UK unemployment and weekly earnings data as well as a Euro Zone economic sentiment survey neither of which is likely going to take the attention away from traders concerned about Brexit, Italy’s debt and now falling stock indexes again. I expect the negative selling pressure to continue through the Asian trading session today and the safe haven assets will likely continue to do well.
I am so excited to announce that One of the world’s foremost Meditation Teachers is one of the keynote speakers at Trading Mastery 2019.
Gary Gorrow is a Vedic Meditation Practitioner (Master Teacher). A Qualified Ayurvedic Health Coach. Mindfulness Expert. Founder and Director of the Conscious Club. Co-creator of Conscious Currency. He is also a highly sort after Consultant and High-Performance Coach, Motivational Speaker and Social Entrepreneur. Gary will share with you meditation techniques to neutralise stress and anxiety, grow your mind to improve focus and alertness, improve your concentration and productivity and increase your happiness and optimism. To have Gary speaking at Trading Mastery 2019 is both an honour and thrill.
Only 100 Applications are available for Trading Mastery 2019. I will be launching the event with a special live presentation to all members of LTG GoldRock on Monday 26th November at 8.00pm AEDT.
Any trade updates throughout the day will be sent via Trade Time. You can also follow my daily updates on Facebook, Twitter, Instagram by searching for TrainwithAndrew. Make sure you subscribe to the Andrew Barnett YouTube channel after watching today’s Sunrise video below.
About the Author: Andrew Barnett
Andrew is a professional trader and successful investor who has a strong focus on education. He is a regular Sky News Money Channel Guest and one of Australia’s most awarded and respected financial experts and is regularly contacted by the Australian Media for the latest on what is happening with the Australian Dollar. Director at LTG GoldRock, Andrew Barnett, guides thousands of traders around the world in the live market on a daily basis, advising them on buy and sell directions, as well as trading his own personal account. Andrew, a regular keynote speaker at trading and wealth-creation events throughout the Asia Pacific region, is an authorized representative registered with the Australian Securities and Investment Commission (ASIC).
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