- The stock exchange indices from the Old Continent ended the session higher. The DAX gained nearly 1.38%, the FTSE100 added 1.67% and the CAC40 gained 1.17%;
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Wall Street indices also moved higher. The Dow trades nearly 2.0% higher, while the S&P 500 and Nasdaq added 1.7% and 1.2%, respectively;
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The Ifo index from Germany amounted to 93 points above expectations of 91.4 points;
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The euro strengthened after the words of Lagarde, who said that the QE program will end at the beginning of Q3;
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The deposit rate in EMU is expected to no longer be negative at the end of Q3;
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The dollar is the weakest among the major currencies, losing more than 1% to the euro and more than 0.8% to the NZD and CHF;
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Positive sentiment prevails in the cryptocurrency market. Larger projects trade marginally higher while some of smaller altcoins recorded significant gains, for example Kusama jumped more than 11%;
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Precious metals trade slightly higher in the evening, although they erased out most of today's gains. Silver adds 0.1% and gold is up 0.35%, while crude oil is trading below the flat line;
Majority of global equities rose sharply at the beginning of the week, buoyed by some dip-buying strategies while European investors digested hawkish comments from the ECB president Lagarde which said the Central Bank was likely to lift its deposit rate out of the negative territory by September. Still, any rally should be short-lived, with markets still rattled by lingering worries about tighter monetary policy taming runaway inflation and signs of slowing global growth. This week traders will focus on quarterly results from Zoom Video, Costco, Nvidia, Dollar General, Nordstrom and Macy’s. A speech by Fed Chair Jerome Powell scheduled for tomorrow is also highly anticipated, as well as the FOMC minutes which will be released on Wednesday.
Gold price broke above the upper limit of the left the descending channel last week, but the price failed to break above the resistance zone at $ 1968, which coincides with 38.2% Fibonacci retracement of the last downward wave. Source: xStation5
