*Update. US Futures are up, warning Market is volatile. This is not an investment market -- it is a market for swift traders that understand short-term trends.
US Markets still shaky, providing little reassurance to investors, Chinese stocks continue to get hammered.
It would appear that with oil collapsing during summertime (a boom time), coupled with the stocks crashing, it is a clear sign the global economy is slowing and the so-called recovery is in question.
Trump continues to make the headlines, by pledging to build a wall separating the southern states from Mexico to curtail Mexican illegal immigration. Also, using the words "anchor babies," to describe the birth of children by undocumented illegals, and says they should also be deported. The condition is dire in the US, with refugees coming over in very large groups, so there's no wonder why Donald Trump has been so popular as a Presidential Candidate.
The Dow Jones Industrial continues to trade well below 16k and looking volatile and shaky, with Crude Oil breaking just below 40 and holding. At this point I think any bad news would cause a strong sell-off and possibly a much overdo downtrend. They will try to prop the markets of course to stop a financial catastrophe.
Even though China cut rates to "stimulate," the Stock Market appears to be in trouble.
While the US dollar has been hammered, investors have found a temporary safe-haven in the Yen and Euro. Coming soon, in Mid-September is the FED decision to hike rates.
The odds of a rate hike are decreasing because of a weak stock and commodity market. The pressure is on to raise the rates as promised.
Failure to raise rates will reduce the credibility of the FED to international investors, and increase the probability of more QE type policies to prop markets. Easing would put more stress on USD, causing the dollar weaken against stronger currencies, and further reduce buying power of Americans.
By Neal Vanderstelt
Forex Market Analyst
Please Rate and Comment Below:
US Markets still shaky, providing little reassurance to investors, Chinese stocks continue to get hammered.
It would appear that with oil collapsing during summertime (a boom time), coupled with the stocks crashing, it is a clear sign the global economy is slowing and the so-called recovery is in question.
Trump continues to make the headlines, by pledging to build a wall separating the southern states from Mexico to curtail Mexican illegal immigration. Also, using the words "anchor babies," to describe the birth of children by undocumented illegals, and says they should also be deported. The condition is dire in the US, with refugees coming over in very large groups, so there's no wonder why Donald Trump has been so popular as a Presidential Candidate.
The Dow Jones Industrial continues to trade well below 16k and looking volatile and shaky, with Crude Oil breaking just below 40 and holding. At this point I think any bad news would cause a strong sell-off and possibly a much overdo downtrend. They will try to prop the markets of course to stop a financial catastrophe.
| Shanghai, China --- Shanghai Stock Exchange |
While the US dollar has been hammered, investors have found a temporary safe-haven in the Yen and Euro. Coming soon, in Mid-September is the FED decision to hike rates.
The odds of a rate hike are decreasing because of a weak stock and commodity market. The pressure is on to raise the rates as promised.
Failure to raise rates will reduce the credibility of the FED to international investors, and increase the probability of more QE type policies to prop markets. Easing would put more stress on USD, causing the dollar weaken against stronger currencies, and further reduce buying power of Americans.
By Neal Vanderstelt
Forex Market Analyst
Please Rate and Comment Below:
This post first appeared on Forex News Source Compilation And Trading, please read the originial post: here
