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GBP/USD falls to a fresh 6-month low with PMI data due. Oil resumes its decline of OPEC+ meeting.

EUR/USD and DAX edged their way to new lows during trade, although the lack of market volatility leaves it up in the air as to whether prices may try to bounce today, or simple extend their losses. Key levels await for both markets, regardless.

NZD/USD's break above 60c ahead of the RBNZ's announced that they held rates at 5.5% again was shortly lived, and momentum has turned decisively lower. Ans there could be further downside to come.

The surge in bond yields finally began to take its toll on gold prices as the end of gold with, with gold falling against basket of currencies alongside the US dollar. And that paints a grim picture for bulls at the beginning of Q4. Yet it has been a very different story for WTI crude oil which has rallied 30% in Q4. But can we really expect a similar performance in Q4?

Investors’ focus will remain on oil prices after their recent sharp gains amid the ongoing supply cuts by the OPEC and allies, and in light of today’s bullish reversal. Owing to concerns over a crude supply deficit, there is a good chance we could see oil prices climb above $100 and thus stoke inflationary worries further.

How have the newest additions like Arm and Instacart performed since going public, and what are the top upcoming IPOs that could follow?

Heading into the final months of 2023, the GBP/USD was on a protracted downtrend. While we can’t rule out the possibility of an oversold bounce, we think that more losses are likely in Q4 with the cable likely to fall to 1.20 or lower. Forward-looking UK macro indicators paint a gloomy picture for the UK economy, while a hawkish Fed, rising risk aversion and rallying crude oil prices should all keep the dollar supported on the dips.

The Nasdaq 100 has been able to hold its own relatively better than many other global indices so far this week. But with overstretched valuations, coupled with growing worries about the health of the global economy and still-rising government bond yields, I am not so sure how long they will be able to hold up the market.

At the time of writing, the stock markets were starting to come off their best levels. With this being the month- and quarter-end, there will be lots of repositioning today, which may mean lower stock prices later, given that we have been in a risk off market environment for much of September. In any event, volatility is here to stay.

Wall Street is fearful that Tesla deliveries could fall short of expectations, Tesco keeps showing why it’s the leading UK grocer, and Boohoo needs to show it can still complete a major turnaround before the end of the year.

What stocks are being discussed and traded today, and which ones are experiencing the sharpest moves before the bell?

Despite softer Eurozone inflation and German retail sales data, the EUR/USD climbed for the second day in the first half of Friday’s session. It was supported because of firmer risk tone across financial markets, driven by a weakness in US dollar and global bond yields. But rising oil prices are among reasons that could prevent the EUR/USD from rising much further.

After heavy selling pressure comes a big bounce. Ironically, today’s bounce in stocks appears to be triggered by softer-than-expected US data. The rationale is that weaker data will discourage the Fed from tightening its belt further, and simultaneously increases the chances of a sooner-than-expected rate cuts.

US stocks are edging lower after jobless claims highlighted the resilience in the US jobs market. The data adds to evidence showing that the US economy is holding up better than expected. This combined with higher oil prices fuels bets that the Federal Reserve will keep interest rates higher for longer. Fed Chair Powell is due to speak later.

What stocks are being discussed and traded today, and which ones are experiencing the sharpest moves before the bell?

Bond yields in Germany, UK and US continued to ascend in the first half of Thursday’s session, thus keeping US index futures under pressure. But the US dollar fell for a change, as major currency pairs staged an oversold bounce from key technical levels; the EUR/USD, for example, found support from around the 1.05 psychologically important level, which it had breached momentarily on Wednesday

Index futures are higher ahead of the open, whilst a bounce on AUD/USD during Asian trade teases with the prospects of a potential short squeeze. And with EUR/USD holding above its YTD low whilst the S&P 500 held above a key trendline and 200-day EMA on Wednesday, perhaps a small short squeeze is not such a crazy prospect after all.