Feb 19 2020 0
The middle of the week is always the high time for trading forex. These are the most important moments of your trading time. Take a look at the latest updates today and start making your forex trading strategies right now.
Hold it right there!
In a rare public rebuke of his administration, President Donald Trump intervened in a plan to stop the sale of GE-made jet engines to China - one of the other limited proposals for with American exports. What is his reasoning? That national security is being used so often by his officials to limit the ability of US companies to trade with China. Yesterday, Mr. Trump tweeted, "We don't want to make it impossible to do business with us."
While some officials are pushing tighter rules to restrict U.S. sales of U.S. technology to Beijing - from semiconductors to jet engines - Trump's statement is now being made while implementing a "phase one" agreement with China to promote a $200 billion purchase of US exports, including commercial jets and other products.
As the number of Corona deaths in China reached 2,000 and Russia banned Chinese nationals from entry, a top official at the World Health Organization said fierce quarantine tactics. The country has delayed the spread of disease from the center of the epidemic. Officials in China's Hubei Province locked trips to and from the province, and then severely restricted their ability to leave their homes. Sylvie Briand, WHO Director of Global Infectious Risk Prevention, said: "Measures to limit movement have delayed the spread of the outbreak for about 2 or 3 days within China, and 2 or 3 weeks outside of China. " Hubei reported 1,693 new cases and 132 new deaths today, bringing the total to 61,682.
The market is getting chaotic
Asian stocks are expected to open today in a rather chaotic session as investors are assessing the effect of Coronavirus on companies' earnings reports. US stocks had previously slid, while Treasury bonds and gold both rose. A warning from Apple caused losses across Asia yesterday, then to Europe and a disruption of U.S. demand caused by the Corona virus continues to cause concern among investors, although Recent policy support signs in Asia have helped ease anxiety.
Offshore Yuan weakened. The euro dropped after the confidence of German investors dropped. Elsewhere, rising oil prices following U.S. sanctions on Russia's largest oil producer helped to alleviate the losses from the fear of demand cuts caused by the Coronavirus.
Hong Kong’s downfall
Hong Kong is about to face the first inter-recession recession in history when the Corona virus has crippled the already battered economy after months of political instability. Forecasts from the beginning of this year for economists have dropped by more than 1%, following a 1.2% decline in 2019. This will mark a deeper decline and a slower recovery than with the SARS epidemic in 2003. Away from tourists and losing retail revenues due to months of anti-China protests, Hong Kong could not rely on mainland trade and tourism to rebuild. economy.
China, the world's second largest economy, is struggling to restart production after shutting down factories and businesses in an effort to stem the spread of the disease. Dong Chen, senior economist at Pictet Wealth Management, said: "The possibility of a quick recovery during this period is very slim."