Markets calm on Monday morning

The greenback was trading unchanged against most of its major peers, with the EURUSD pair hovering near 1.1780, and the USDJPY pair was spotted rising toward the 106 level.

Earlier in the day, Chinese CPI rose to 2.7% year-on-year, up from 2.5% previously, but the PPI indicator is still profound in the negative territory. Commodities and commodity-linked currencies were trading marginally higher in the Frankfurt session as the Asian session did not bring increased volatility. 

Equities were up again, which is nothing surprising, and they continue to rise nearly every day, despite signs of deteriorating economic conditions across the world and virus resurgence in many countries/areas. 

Investors were nervous after US President Donald Trump signed two executive orders banning WeChat, owned by Chinese tech giant Tencent, and TikTok in 45 days while announcing sanctions on 11 Chinese and Hong Kong officials.

The WTI oil is still consolidating between 40 USD and 42 USD and if we see a break from this range, volatility might pick up and a new short-term trend should start. 
 
Cookie Policy: The Axiory website uses cookies and by continuing using the website you consent to this. Risk Warning: Trading leveraged products such as Forex and CFDs may not be suitable for all investors as they carry a high degree of risk to your capital. Please read the full Privacy Policy.