Binary Options Daily Analysis: Asian Shares Jump on Forecast of Japanese Stimulus!
The dollar is much higher versus most of its peers today. The AUD/USD is lower by 0.17% at $1.0237. The dollar has also made inroads into the GBP, CHF and CAD this morning. Investors are very pessimistic following the dive on Wall Street yesterday. The forecast of more Japanese stimulus has turned out to strengthen the greenback today. Traders are putting a lot of their money into the U.S. currency due to its safe-haven status.
The euro was very weak up until 30 minutes ago. However, the European single currency has managed to make a bullish comeback very recently. Traders were not interested to buy into risky currencies, but things may be starting to change. The EUR/USD is higher today by 0.25% at $1.3442. The EUR/GBP has surged 0.74% to 86.19 pence. Traders are still weary of putting their money into risky currencies. Follow events very closely as the hours pass by.
The USD/JPY pair is weaker today by 0.08% at 94.26 yen. This is after it was much lower earlier on. There was more demand for the yen during Asian trading. However, there is a bit of appetite starting to creep into the market. Therefore, traders will need to be ready to adjust their trading portfolios, as the trading day passes by. This will at least give you the chance of making profit this Tuesday afternoon.
Asian stocks gained earlier this morning on the forecast that there will be further monetary easing on the cards from the Bank of Japan. Such a move is expected to further weaken the yen and boost the Japanese economy. This is notable because Japan is the world’s fourth largest economy.
The MSCI Asia pacific Index advanced 0.2% to 132.73 in mid trading. Japan’s Nikkei 225 Stocks Average surged 1.9%. New Zealand’s NZX 50 Index fell 0.1%.
Canon Inc. added 2.2%. Dentsu Inc. jumped 10%. Other leading shares across Asia also capped impressive gains.
Now traders are wondering what these advances will do to European and U.S. stocks during today’s trading session. There were losses yesterday on Wall Street, which were owed to much instability in the financial markets. If the U.S. manages to publish positive economic data later on, then this could help boost U.S equities during U.S. trading.
The crude oil binary option is trading lower this morning ahead of the publication of U.S. supply data. It is expected that U.S. supplies climbed during the previous trading week. As a result, traders have decided to sell the commodity today and seek safer investments.
Crude oil is weaker at the moment by 26 cents at $96.78. An important factor which is driving the commodity lower today is the stronger dollar.
The greenback has upheld its strength to a certain extent since the commencement of this morning’s trading session.
The bearish sentiment currently comes in part due to Asian shares surging earlier on. Investors may be trading in accordance with the slide in U.S. stocks on Monday afternoon.
Do not be surprised if the commodity dives further today, as traders are not in the mood to take the risks.
The GBP/USD pair is lower today by 0.45% at $1.5586. Traders have decided to sell the currency today, as there is an absence of risk appetite in the forex market. This is despite the U.K. publishing positive PPI input data. However, the CPI was unchanged at 2.7%. If the U.S. happens to release optimistic data later today, then this may lead to a bullish uptrend later.