Trading day in one post 22.05.2017

Asian markets are trading on a rise against the background of the US deal with Saudi Arabia and the positive sentiments prevailing during Friday's trading session. Currently, investors remain positive about the management of Donald Trump.

Japan's Nikkei is trading at a 0.38% higher on the levels around 19 644. ASX200 has a +0.71% increase, Hang Seng is trading 0.92% higher, and South Korea's Kospi has grown by 0.44% despite the growing threat from the North Korea.

The dollar index measuring the strength of the US currency is currently trading at a slight increase of around 97.25.

Today, the economic calendar is poor in data, with investors focusing on statements by Fed members.

15:30 USA - Fed Index of Chicago
17:00 USA - Speech by Harker, Fed Chairman of Philadelphia
17:30 USA - Speech by Nail Kashkari, Fed President for Minneapolis

USD - The US currency has make serious losses in the past week, but the confidence in the President has returned after a deal with Saudi Arabia. The dollar seems stable at current levels, but it's good to wait for clear trade signals before we make purchases. Some analysts believe the currency may fall even before it finds support from investors. Traders believe the Fed will continue to raise interest rates and ignore the situation surrounding the President.

EUR - The euro remains one of the strongest currencies on the market, as rumors are currently being traded that the ECB may start a QE cut from its next meeting. Future expectations are traded, which may not find ground after the bank meeting and if the ECB does not meet the expectations, we will likely see a strong drop in the single currency.

CAD - The Canadian dollar continues to rise in view of rising oil prices. And in the Canadian currency, traders is in hopes, namely OPEC to proceed to further cuts in yields, which are expected to raise the price of black gold and hence the value of the Canadian dollar.

Indices - Trends in US indices futures are on track to wipe out last week's losses. Investors appear to have been hoping for the deal with Saudi Arabia, and that the administration continues to work for its goals and has real chances to do so. Also, the weaker dollar and rising oil prices have a positive impact on stock prices. The moods at the beginning of the week remain positive despite the Trump's scandals and another North Korea test.

Jr Trader Petar Milanov

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