Market Brief Pound and Bitcoin Rebound
FOREX.com November 25, 2019 8:36 AM
A summary of news and snapshot of moves ahead of the US session.
- Market update: At 13:30 GMT, GBP and USD were the strongest while EUR and NZD were among the weakest in major currencies. Stocks were higher and gold was lower.
View our guide on how to interpret the FX Dashboard
- GBP rose as UK Prime Minister Boris Johnson’s Conservative Party remained comfortably ahead of the Labour Party in the latest polls. Johnson, who unveiled his policy proposals on Sunday, is promising to hire 50,000 extra nurses for the NHS and a package of tax cuts for working people. The Tories are at least 10 percentage points ahead of Labour.
- Stocks rose in Asia and Europe, and US index futures traded higher on rising optimism over a phase one US-China trade deal. China said it will raise penalties on violations of intellectual property (IP) rights and make it easier to penalise those found guilty of stealing IP. Given that protecting IP is a priority for Washington, such moves by China are seen as positive developments in so far as trade resolution is concerned - hence, the market’s positive response. It remains to be seen whether the gains can be sustained though with investors becoming increasingly frustrated by promises which have not been backed by action.
- Bitcoin managed to rebound after tanking during Asian hours on concerns about a crackdown on cryptocurrency operations by China. The crypto currency was still holding below key resistance around the $7400 area.
- Today’s main company news: Uber will not be granted a new licence to operate in London. Transport for London (TfL) said the company is “not fit & proper” after repeated safety failures, after 14,000 trips had been made by different drivers to one shown on the app. Uber has 21 days to appeal.
- The economic calendar is quiet today. HERE is our week ahead outlook.
Disclaimer: The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex and commodity futures, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to Forex.com or GAIN Capital refer to GAIN Capital Holdings Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.