FOREX STRATEGY FOR DEC 24 - MERRY CHRISTMAS
Merry Christmas everyone. It’s our job as forex traders to keep up with the world currents to apply the correct forex trading strategy.
A little slow down for the holiday
The Nikkei 225 index in Japan largely remained unchanged in the early part of the session, while the Topix index increased slightly higher. In South Korea, the Kospi index fell slightly.
Meanwhile, stocks in Australia changed little in morning trading, both S&P/ASX 200 were stable. Markets in Australia will also close early at around 11:10 am HK / SIN to prepare for Christmas.
Hong Kong stocks will also end their trading day early at 12:00 HK/SIN.
The Dow Jones industrial average has increased by 96.44 points; closed at 28,551.53; while the S&P 500 increased by 0.1% to close at 3.224.01. The Nasdaq Composite increased by 0.2%, to close at 8,945.65.
Tax cutting in China
News China will cut import duties on a range of goods that have stimulated market sentiment. China's Ministry of Finance announced that, from January 1, 2020, it will reduce import duties on more than 850 frozen pork products to some semiconductors. However, mainland Chinese stocks fell on Monday after the announcement.
Rodrigo Catril, senior foreign exchange strategist at the National Bank of Australia, said: "This change has nothing to do with trade tensions between the US and China; instead, it is considered a combination of the demand for basic necessities such as pork and medicine, with economic readiness to open the rest of China. "
The currency market
The US dollar index - which tracks the value of the greenback against the currencies in the basket of currencies - was at 97,658 after hitting a high above the previous 97.8.
The Japanese Yen traded at 109.37/USD after rising sharply from about 109.5 in the previous session. The Australian dollar was at $0.6925 after rising from around $0.69 yesterday.