FOREX TRADING STRATEGY OCT 19 - MARKET ON MONDAY
I always say that on Monday, we must check out the updates on the financial market to prepare the most suitable forex trading strategy.
The stimulus race
Nancy Pelosi set a deadline on Tuesday to add new developments to the fiscal stimulus deal ahead of the Nov. 3 election, while President Donald Trump has reinstated the offer of more money to stimulus which is currently being discussed. Treasury spokeswoman Monica Crowley said on Twitter that Ms. Pelosi and Treasury Secretary Steven Mnuchin spoke on Saturday night about efforts to complete the stimulus package to help the United States fight the effects of the coronavirus and agree to talk again on Monday.
Market on Monday
The currencies stabilized at the start of the week and the stock market rose slightly at the open as investors continued to watch the stimulating US negotiations and cases of viral infections increase. The pound has been holding on to reports that UK officials are ready to weaken Boris Johnson's controversial Brexit law. S&P 500 index futures rose at the opening of the Asian session; US stocks were mixed on Friday as tech giants slumped and the S&P 500 index was little changed at the close, while still recording its longest weekly gain since August.
A study showed that China is overtaking the US as the country with the most powerful influence on the Asia-Pacific. Although the United States remains the region's leading superpower, its 10-point lead over China two years ago was halved, according to the 2020 Lowy Institute's Asian Power Index, ranked 26 countries and regions. According to Herve Lemahieu, lead researcher, the US "discredited" due to its poor response to the pandemic, numerous trade disputes, and Trump's withdrawal from multilateral agreements and agencies. "Pandemic is a game changer," he said in a phone interview.
Jacinda Ardern’s victory
Jacinda Ardern's eloquent victory is seen as an endorsement of a comprehensive brand of leadership that can extend beyond New Zealand's borders. In an age of populism and confrontation, Ardern's message of sympathy and kindness combined with his skillful crisis management won the highest votes for the Labor Party of her for over 70 years. Ardern, 40, has won international acclaim for her response to the deadly shootings at two mosques in 2019. This year, she has demonstrated her steel bravery in her work. deal with coronavirus pandemic. She is currently New Zealand's most left-wing head of government for decades but has yet to decide whether to bring her ally, the Green Party, to a similar feat.
Global central banks have no illusions that the corona virus consequences are over, issuing new warnings about new government restrictions, struggling recovery and threats to do. Currency leaders from the euro zone, Japan and the UK have agreed on their concerns for their economies in an online seminar hosted by the Group of 30. They all say the risks to the outlook remain negative and signal support will be needed in some time. Bank of Japan Governor Haruhiko Kuroda warned that his economy is in danger of a recession if things get worse, while European Central Bank President Christine Lagarde admits that the outlook of Europe has been particularly affected by new restrictive measures in place to prevent the spread of the virus.