The early trade in the financial markets on Monday indicate a slight rise in demand for riskier assets, suggesting that investors are pinning their hopes on a quick recovery from President Donald Trump and a discharge from the hospital later in the day, easing some of the political uncertainty that rattled global markets during Friday’s session.
Trump Could Return to White House on Monday
President Trump was helicoptered to Walter Reed Hospital for treatment for the coronavirus on Friday, but his doctors say he has responded well and could return to the White House on Monday.
Doctors treating Trump say they are pleased with his progress. Relief about his health could fuel a rally in equities and other risky assets as investors prepare for the run-up to next month’s U.S. presidential election.
Global investors were stunned late Thursday/early Friday after Trump announced that he and the first lady had tested positive for coronavirus.
With less than a month until the presidential election on November 3, Trump’s contraction of the coronavirus is another source of market volatility that makes the outcome of the vote even more difficult to predict, Reuters said.
Global Equity Markets Edge Higher in Early Trade
Early Monday, Asian-Pacific stock indexes were trading higher with the Australian S&P/ASX 200 futures up 1.16%, Japanese stock futures rising 0.75%, and Hong Kong’s Hang Seng Index futures up 1.38%.
In the U.S., the e-mini S&P 500 Index futures are up about 0.45% in early trading, while NASDAQ futures gained about 0.58%.
US Dollar Struggling Against Most Majors
The U.S. Dollar is losing ground against the riskier commodity-currencies. The AUD/USD is trading up 0.33%. The NZD/USD is gaining 0.18% and the Canadian Dollar is posting a 0.22% gain.
The Euro is up 0.14% and the British Pound is trading 0.07% higher. Surprisingly, the Swiss Franc is also up 0.41%. The best indication that today may be shaping up to be a “risk-on” session is the 0.20% gain by the Dollar/Yen.
Overall Assessment
Equities and other risk-on currencies should remain firm throughout the session by easing concerns about Trump’s health. Meanwhile, for the U.S. Dollar, the direction is not that clear cut. It could fall against most majors if risk appetite increases, but it could rise against the Japanese Yen if the currency loses its appeal as a safe-haven asset. #FX##StockMarket#
Reprinted from Fxempire，the copyright all reserved by the original author.
免責事項：本記事で述べられている見解は著者の見解のみであり、Followmeの公式見解を反映するものではありません。Followmeは、提供された情報の正確性、完全性、信頼性について一切責任を負いません。また、書面で明示的に記載されている場合を除き、本記事の内容に基づいて行われたいかなる行動についても責任を負いません。
古いコメントはありません。ソファをつかむ最初のものになりましょう。