Forex Market Overview
Global markets endured a quiet day on the whole yesterday as investors continue to watch and wait for the next significant market catalyst.
Stock indices had a mixed day across the globe with no real outstanding moves, and the dollar dropped against most of the majors while still remaining well within recent ranges.
Even sterling managed a relatively tight range with no significant new updates for Brexit.
Oil jumped higher again as fighting escalated in Libya, WTI now at $64.4/b and Brent up to $71/b, this move pushed Petro-currencies higher across the board.
The current soft trading conditions are unlikely to last with plenty of risk events due out this week. The US banks reporting season is about to open again, and the annual spring meetings of the world bank and IMF are taking place in Washington DC.
On the economic calendar, we got two key central bank events. The first being the latest ECB rate announcement on Wednesday and with Euro sitting near yearly lows anything more dovish from them could see the single currency tumble, a big focus will be on TLTRO.
Besides, the FOMC’s Meeting Minutes which may provide even further insight into the Fed’s current thinking and how they are looking to move forward into the rest of the year.
On the economic front, the calendar is comparatively quiet again today across the trading sessions.
Home Loans digits out of Australia will prove a short term focus for traders in the Asian session, but there is little else scheduled to trouble the scorers.
There are no top tier releases due for release in the London time zone either and expect Brexit to continue to dominate investor focus both in London and across the channel.
We have the US Jolts Job openings due early in the New York session and then FOMC members Quarles and Clarida speaking towards the end of the day.
Good luck, see you soon with forex trade setups.