Trading day in one post 07.08.2017

Overview of the Asian markets: Asian indexes are trading higher on the first day of the trading week. Japanese Nikkei is with 0.58% up, Australian ASX 0.86%. Bank stocks in Australia are trading with increase: AZN 0.98%, Westpac 1.2% and National Australian Bank 0.84%. Chinese markets are trading with mixes feelings. Shanghai composite shed 0.15% of it's value, and Shenzhen composite is up with 0.44%. UN impose sanctions over North Korea. The reason is that the country is declining to terminate it's ballistic missile experiments. The sanctions are 3 bln$ per year in export goods.

Currency market: USD: Dollar broke it's losing streak after better than expected NFP data and average hourly payment. But for the moment we remain negative toward USD. Until we see more decisive actions by FED, are negative toward the greenback. EUR: Euro is the strongest currency at the market. The increasing inflation in the block gives ECB reason to approach rate hikening and to terminate it's ultra-loose monetary policy. CAD: The Canadian dollar is also among the strong currencies at the market despite the low oil price. After the speculations that BoC will continue with the rate hikes, CAD explode. On the other hand, if we see a oil price jump, we will most likely see a CAD jump as well.

Commodities market: WTI is trading without significant change at 48.57$ for barrel. The investors are waiting the result from OPEC meeting. The OPEC countries will discuss is it necessary to cut deeper and for longer the derive the oil production. GOLD: Gold registered fall with 0.1%, after it's last week fall with 0.8%The dollar strengthening of USD i highly negative for GOLD, Also the increasing inflation in US is negative for the metal. Iron ore: Iron ore futures are up with 7.3% to 77.84$ for metric tone. The improving Chinese economy is highly positive for Australian export ( which is mainly iron ore).

European market: The European indexes will open in green territory today. After last week's strong Wall Street increase, European benchmarks will follow. DAX is with 24 points higher, CAC 10 points higher and USD 12 points higher. Last Friday European indexes closed with increase. Euro Stoxx 500 was 0.95% up, DAX 1.14%, CAC 1.7% and UKX 2.1%. These increases was mainly driven by the fiscal reports of the companies. Adidas was among the best performers on Friday.

American markets: American indexes hit new highs last Friday. DJIA closed at price 22091,The S&P 500 gained 0.19 percent to close at 2,476.83, with financials rising 0.72 percent to lead advancers. The Nasdaq composite closed 0.18 percent higher at 6,351.56. The better than expected fiscal reports are now the engine of the indexes . During the Asian session DJIA continue to increase and reached 22,125, S&P- 2478. We are waiting for the beginning of September when FED will start to unload it's balance sheet. These actions may seriously affect USD power as well as indexes direction.

Economic calendar for the European and American trade sessions 07.08.2017

9:00 Germany - Industrial production
10:15 Switzerland - CPI
10:30 UK - Halifax house price index
11:30 EU - Sentix investor confidence
18:45 USA - FOMC Member Bullard speaks
20:25 USA - FOMC member Kashkari speaks
22:00 USA - Consumer credit

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