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US Market Outlook 2 August 2018

Posted by Tim Sholl on 02-Aug-2018 23:21:52

Markets have had a difficult day as trade tensions between the US and China have been in focus as the US talks about increasing the tariff rate on US200bn of imports from 10% to 25%. Asian stocks were sharply lower with Hong Kong and Shanghai both down more than 2% , and European indices are also lower with Germany down by 1.5%. The US Dollar has moved higher all day as investors move towards safer assets. Oil is also falling as US stockpiles and OPEC increased production begin to create a surplus.

It looks like the Dow will open at 25150 down 185 , the S&P500 will open at 2796 down 17 and the Nasdaq100 index looks to open at 7213 down 60.

In the FX market the EUR is last at 1.1622 down 0.32% , the GBP after an interest rate rise of 0.25% tonight is at 1.3054 down 0.55% as markets believe that it may be last raise for a while. The JPY is at 111.39 and stronger by 0.29%. The US Dollar index is looking positive at 94.72 up 0.31%.

In bond markets the US10 has been up to 3.0% and now 2.98% .

US Payroll numbers out at 10.30pm Friday with 190k and 3.9% expected.

Topics: Trading, Market News, US Market Outlook