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Markets Lifted By Tariff Delay

Published 09/12/2019, 01:16 AM
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Reports that US President Trump is to delay the latest increase on tariffs on Chinese goods to October 15 from October 1 boosted sentiment across equity markets. Oil prices slid as Trump is said to have considered easing sanctions on Iran.

US30USD Daily Chart

US30 USD Daily Chart

Source: OANDA fxTrade

The Dow Jones 30 Futures index looks poised to extend the current rally to a seventh day today amid better risk appetite for stocks

The index has touched the highest since July 25 in early trading this morning. The 55-day moving average has risen to 26,581

US consumer prices are expected to rise 0.1% m/m in August, a slower pace than the +0.3% recorded in July, which might give the Federal Reserve more leeway in its easing plans.

DE30EUR Daily Chart

DE30 EUR Daily Chart
DE30 EUR Daily Chart

Source: OANDA fxTrade

The DAX Futures index could be heading for its seventh consecutive daily gain today, given the positive mood across other markets and an expected easing announcement from the ECB today

The index hit the highest level since July 30 yesterday, and could be lifted to a seven week high today

The European Central Bank is expected to announce some form of easing at today’s rate meeting and is also seen trimming growth projections for 2019 and 2020.

WTICOUSD Daily Chart

WTICO USD Daily Chart
WTICO USD Daily Chart

Source: OANDA fxTrade

WTI crude oil prices fell the most in six weeks yesterday amid reports that US President Trump had considered easing some sanctions on Iran

Prices closed below the 200-day moving average at $56.18 for the first time in a week. The 55-week moving average at $58.45 has capped prices on a closing basis since May, and appears to be strong resistance for now

Weekly US crude oil stockpiles data to September 6 were released yesterday and showed a drawdown of 6.9 million barrels. That was the fourth decrease in a row.

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