Sentiment shot through the roof during yesterday’s stock session, sending the major indices higher. Even though Asian markets started the day on a negative note, economic data from the U.S quickly changed the mood, as consumer sentiment jumped by an enormous number, showing a result of 54.9, compared to an expected 42 points.
The result had an immediate impact on the intraday session, sending stocks higher at the opening bell.
The S&P500 closed the session with a gain of 2.63%, while the Nasdaq closed in green, up by 3.45%.
Despite the turnaround in confidence, housing data continued to weigh on investors as house prices dropped even further - by a monthly 2.2%. While the decline in home prices is not necessarily a bad thing; meaning that it allows new investors to take advantage of the opportunity, a stable market is still preferred and required, especially due to the current economic circumstances.
Is The Financial Sector Getting Ready For A Move
Even though data is still showing a rocky financial system, recent efforts have sent investors bank into the sector, bottom fishing undervalued stocks. To date financials are situated at a make or break level, whereas positive news could send them flying.
Will the EUR/GBP drop?
On the Forex Market the Dollar index lost its strength during the session, as investors rushed back into riskier assets. While there weren’t any major moves on the FX front, currency pairs continued to linger around critical levels, showing potential breakouts.
Over the last couple of weeks, the Euro and the Pound have received a major boost as a higher equity markets have boosted confidence among investors. While both economies are still showing a dire situation, recent bank statements are mentioning that 2010 could present a completely different picture.
While both the economies seem to be dealing with never ending problems, the Pound has strengthened the most over the last couple of week despite a lower yielding return. When observing the relative strength between the two, one can see that the Pound has gained more in real value compared to the Euro. From a trading point of view the EUR/GBP has dropped by an enormous rate and is now trading on major support of 0.8740. One must note that a clear break is required for short positions, especially as the price pattern presented a false in the past.
Market Data to Watch Out For
Even though the economic calendar is relatively light on data today, with only the Existing Home Sales figure in focus, the market could see some rocky action.GM is scheduled to release its statement regarding its job cuts and outlook. As mentioned in prior reports, the massive auto industry is now required to give its expectations regarding the future outlook of the company, especially as it is expected to return from temporary bankruptcy.
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dodjit
The result had an immediate impact on the intraday session, sending stocks higher at the opening bell.
The S&P500 closed the session with a gain of 2.63%, while the Nasdaq closed in green, up by 3.45%.
Despite the turnaround in confidence, housing data continued to weigh on investors as house prices dropped even further - by a monthly 2.2%. While the decline in home prices is not necessarily a bad thing; meaning that it allows new investors to take advantage of the opportunity, a stable market is still preferred and required, especially due to the current economic circumstances.
Is The Financial Sector Getting Ready For A Move
Even though data is still showing a rocky financial system, recent efforts have sent investors bank into the sector, bottom fishing undervalued stocks. To date financials are situated at a make or break level, whereas positive news could send them flying.
Will the EUR/GBP drop?
On the Forex Market the Dollar index lost its strength during the session, as investors rushed back into riskier assets. While there weren’t any major moves on the FX front, currency pairs continued to linger around critical levels, showing potential breakouts.
Over the last couple of weeks, the Euro and the Pound have received a major boost as a higher equity markets have boosted confidence among investors. While both economies are still showing a dire situation, recent bank statements are mentioning that 2010 could present a completely different picture.
While both the economies seem to be dealing with never ending problems, the Pound has strengthened the most over the last couple of week despite a lower yielding return. When observing the relative strength between the two, one can see that the Pound has gained more in real value compared to the Euro. From a trading point of view the EUR/GBP has dropped by an enormous rate and is now trading on major support of 0.8740. One must note that a clear break is required for short positions, especially as the price pattern presented a false in the past.
Market Data to Watch Out For
Even though the economic calendar is relatively light on data today, with only the Existing Home Sales figure in focus, the market could see some rocky action.GM is scheduled to release its statement regarding its job cuts and outlook. As mentioned in prior reports, the massive auto industry is now required to give its expectations regarding the future outlook of the company, especially as it is expected to return from temporary bankruptcy.
enjoy
dodjit