Key highlights responsible for sudden volatility:
All the financial markets whether stock, commodities or currency markets are facing highly volatility since yesterday’s U.S. session. Currency pairs have made fresh weekly, monthly and yearly high/low on Wednesday.
Let’s see the most volatile pairs for the day:
XAUUSD/Gold: Highest level since Sept 2011 $1,865
XAGUSD/Silver: Highest level since Oct 2013 $22.84
EUR/USD: Highest level since Jan 2019 at $1.1547
GBPUSD: Fresh 6 – week high at $1.2768
AUDUSD: Highest level since April 2019 at $0.7164
NZDUSD: Highest level since Jan 2020 at $0.6674
USDCAD: Fresh 6 – week low at 0.3424
Major responsible news behind the movement:
- The Federal Reserve Board (Central Bank of U.S.) on Tuesday announced its intent to maintain the current schedule of prices for most payment services that the Federal Reserve Banks provide to depository institutions (priced services) in 2021.
- U.K. is trying to find out positive trade deal with U.S. and 5G will be core topic to discuss.
- U.S. Treasury Secretary Mnuchin aiming to announce stimulus deal by the end of next week.
- Reserve Bank of Australia governor Philip Lowe has given the Morrison government the green light to increase debt levels and lock in a budget deficit this Thursday of more than $200 billion to support the economy during its recovery from the virus crisis.
- Australia posts record number of new infections of Covid – 19.
- China’s export and import volume exceeds Yuan 14T in H1.
- The Phase III clinical trial of a potential vaccine candidate against Covid-19, developed by Oxford University, will also involve more than 1,500 volunteers across many hospitals in India and could begin as early as the first week of August.
- Its experimental vaccine AZD1222, which has been licensed to AstraZeneca, showed promising immune response in early-stage clinical trials, raising hopes that it could be available for public use by the end of the year.
- China’s Foreign minister said U.S. ordered it to shut its Houston Consulate, in the latest sign of escalating tensions.
- Trump: U.S. is ready to work with China if China first to produce successful COVID – 19 vaccine.
Take a look and do trade wisely!