From Aussie Sales to McDonald's Earnings: No Slow Monday Here!
30 October 2023
Hello traders, and a warm welcome to this surprisingly bustling Monday! Mondays tend to be the calm before the storm in the trading world, but this week seems determined to defy conventions. Down Under, Australia has thrown the first curveball with its retail sales figures. The numbers have taken a leap to 0.9%, easily outstripping the anticipated 0.3%.
Europe is not far behind in unveiling its cards; inflation figures from Germany and Spain are on the horizon. Germany is particularly in the spotlight, as we await its monthly inflation rate, expected to hover around 0.2%. Moreover, the nation is set to roll out its GDP data.
Switching gears to the currency market, the New Zealand and Australian dollars are striding ahead, leading the pack with a show of strength. On the flip side, the Swiss franc seems to be lagging behind, embodying the weaker end of the spectrum.
Of notable interest is the American dollar's face-off with the Japanese yen. The duo staged a deceptive breakout above the 150 mark but has since retraced its steps to settle below, hinting at a potential sell sign. Yet, the American dollar seems relentless, making significant strides against the Canadian dollar and the Swiss franc.
Indices paint a rather somber picture. The scars of the past week are evident, with the previous Friday delivering a severe blow, especially to the Dow Jones. Major bulwarks, including the 38.2 Fibonacci, have crumbled for the S&P 500 and Dow Jones. Meanwhile, the NASDAQ, despite holding its ground above some supports, has seen key foundations shaken. The DAX's tussle with the 38.2 Fibonacci isn't encouraging either, with demand seemingly at a standstill.
Turning our attention to commodities, it's a golden period for precious metals. Gold is basking at peaks not seen since mid-May, while silver, after a brief bearish detour, is now ascending. Contrarily, oil seems to be in a quagmire, unable to reclaim its September glory, signaling a potential bearish trajectory ahead.
Lastly, it's earnings season stateside, and McDonald's is stepping into the limelight. The fast-food giant is prepping to release its results before the markets swing open today. So traders, gear up; the week has just started!