img AUS
img NZ
img CDN
img US
Call us now: 1800 874 942
imgOnline Dealing Login

US Mexico trade hopes

Published June 7, 2019

Author: Rhys Miles

At the risk of repeating the notable market points from earlier this week the overnight markets, in particular equities, received a solid boost from softer comments from the US regarding Mexican tariffs. Whilst nothing concrete in regard to policy the fact that they are openly stating that tariffs may not be necessary as they negotiate with Mexico is what the markets were looking for.

The ECB overnight were Dovish in their interest rate announcement stating that they expect interest rates to remain on hold at least until the end of the first half of 2020. They also lowered their economic growth forecasts and inflation targets as well. US trade data released overnight showed that their trade deficit narrowed 2.10% whilst the more obscure four week moving average of US jobless claims continues to reveal a strong labour market.

The AUD remains range bound against the USD and at the lower end of recent ranges verse the EUR, GBP and JPY.

Overnight tonight will see the potential for a solid market move with US Non- Farm payrolls released.