ZFX: Trump’s power? propped up risk aversion
The hope of the economy restart was still supportive to the global stock markets. On Thursday, the Wall Street three major indexes rose in the US earlier session. The latest economic figures in US were generally in line with expectations, which had no much impact on the sentiment.
However, it is reported that President Trump will hold a press conference regarding “China” on Friday. Investors are worried the escalation of tension between China and the US, causing a sharp retreat in Wall Street, giving up all the gain of the day after the news. The Wall Street three major indexes all edged lower finally.
The fears of China-US tension hurt both dollar and RMB in recent days. On the other hand, as the EU announced a stimulus plan on Wednesday, boosting the investor sentiment, the Euro maintained the uptrend, targeting 1.11 level.
Gold price was up on Thursday, having risen more than 1% in the US earlier session, mainly due to the uncertainty issues.
ZFX analyst Jacob Leung said that dollar was bearish under such situation and it seemed that the Euro has become safe-haven asset, even that is a bit skeptical. The whole market now is ready for any breaking news from Trump on Friday US Session.
Risk Warning: The above content is for reference only, and does not represent ZFX’s position. ZFX does not assume any form of loss caused by any trading operations carried out in accordance with this article. Please be firm in your thinking and do the corresponding risk control.