FOREX TRADING STRATEGY JUN 23 - ALL EYES ON BEIJING

Jun 23, 2020
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The world is heating up with a re-outbreak in Beijing, China. Let's see how the market is reacting to this and choose the most suitable forex trading strategies.

Speed up for improvement

With a bifocal neck (both under threat of economic recession and witnessing growing tensions with the United States), China is speeding up efforts to boost securities trading and open capital markets. In recent months, Beijing has announced a series of measures including a new rational approach to IPOs (initial public offering) to plan to increase the price limit for certain securities, allowing some of their largest banks to trade bond futures and a series of stock-index options.

forex news Jun 23

In its latest move, on Friday, the Shanghai Stock Exchange said it will "overhaul" its benchmark benchmark. The government is trying to transfer more money to private businesses as officials seek to minimize the impact of the coronavirus pandemic on their economies. At the same time, concerns about the dependence on the US market for Chinese companies to raise capital, especially those in the technology sector, are making domestic exchanges even more attractive. more, including Hong Kong - which is witnessing a second wave of listings by mainland companies.

Re-outbreak in Beijing

Just as Beijing seemed ready to win against the coronavirus, a 52-year-old man with symptoms of fever and chills showed that the pandemic could be coming back anytime. The patient tested positive for Covid-19 on June 11. The Chinese capital has reported the first case of coronavirus infection in 55 days in the hope that meticulous social, testing and isolation dates have caused the pathogen to extinction in the city. Now, across Beijing more than 200 people have tested positive; schools have been closed and thousands of domestic flights have been canceled. This recurrence has given a strong warning to countries that appear to have severed the chain of infection: The ability to cause or cause few coronavirus symptoms in a given proportion of the human body allowing it to spread silently for weeks - even months - creating hidden reservoirs of viruses until someone becomes sick enough to get tested.

A little rise

Asian stocks were poised to recover at the open after technology shares supported the U.S. benchmark as investors bet that companies would improve better than the rally. Unstable recovery of the economy. The futures market in Japan, Australia and Hong Kong also went up. The Nasdaq 100 has risen more than 1% and the Nasdaq Composite has gained for the seventh consecutive day - the longest increase of the year. The S&P 500 index fell with some sectors under pressure as investors weighed the economic impact of the virus outbreak in several US states. The dollar weakened and Treasury bonds fell; while gold tested at a 7-year high. Crude oil settled above $40/barrel in the New York session.

No more visa

A senior administration official said President Donald Trump plans to sign a temporary order on Monday to stop accessing certain employment-type immigrant visas. The order will freeze a range of visa holders, including those with highly specialized employment and temporary jobs in agriculture, construction, forestry and many other industries. The move will affect hundreds of thousands of people seeking to work in the US. The technology industry has relied on a number of these visas to hire foreign talent to work, especially in science and technology, but critics say some companies have taken advantage of this program to transfer American workers.

forex news Jun 23

The issuance of new green cards will also be suspended until the end of this year. Mr. Trump said: "I think this will make a lot of people feel happy. And that is common sense." The United States faces an unemployment rate of 13.3% after businesses closed or cut staff to cope with the coronavirus pandemic. The president's order will not affect certain workers who have settled in the United States.