Dear Client,

Please note that the dividends of the following products will be adjusted accordingly. Index dividends will be executed separately through a balance statement directly to your trading account, and the comment will be in the following format “Div & Product Name & Net Volume ”.

Please refer to the table below for more details:

The above data is for reference only, please refer to the MT4/MT5 software for specific data.

If you’d like more information, please don’t hesitate to contact info@vtmarkets.com.

Dear Client,

Please note that the dividends of the following products will be adjusted accordingly. Index dividends will be executed separately through a balance statement directly to your trading account, and the comment will be in the following format “Div & Product Name & Net Volume ”.

Please refer to the table below for more details:

The above data is for reference only, please refer to the MT4/MT5 software for specific data.

If you’d like more information, please don’t hesitate to contact info@vtmarkets.com.

Dear Client,

To provide you with more diverse trading options, VT Markets will launch 3 new products on 22nd Jan 2024.

You can now trade the world’s popular products on Meta Trader 4 and 5 with the following specifications:

The above data is for reference only, please refer to the MT4 and MT5 platforms for the updated data.

Friendly reminders:

1. The swap for BTCJPY and ETHJPY is charged on a daily basis, including weekends, without a 3-day swap.

2. Please refer to the MT4 and MT5 platforms for the specific swap rate.

If you’d like more information, please don’t hesitate to contact info@vtmarkets.com.

TOP FX NEWS: 16 Jan 2024

CURRENCIES:

GBP/USD Analysis and Charts:

• Falling UK wages provide optimism for the Bank of England.
• Cable faces pressure due to USD strength.

Key Points from ONS Labour Market Overview:

• UK wage growth decelerated in November.
• Unemployment rate remained unchanged.
• Despite slowing wage growth, it remains high enough to deter an immediate UK rate cut.

Latest UK Implied Rates:

• First UK Base Rate cut anticipated in May.
• Predictions indicate a total of 131 basis points in cuts for the upcoming year.

US Dollar Strength:

• The US dollar shows strength after a long weekend.
• US dollar index reaches a 10-day high.
• Factors include slightly higher US Treasury bond yields and geopolitical concerns in Ukraine and the Red Sea.

GBP/USD Technical Levels:

• Cable approaches a support level at 1.2667.
• Potential breakdown may target the 38.2% Fibonacci level at 1.2628, prior lows cluster around 1.2610/15, and the 50-day simple moving average at 1.2608.
• Upside movement may face resistance at 1.2742, with further hurdles near recent highs up to just under 1.2800.

Learn Forex with VT Markets today to start your journey in the world of Forex.

STOCK MARKET:

Market Overview:

• European stocks and US futures decline.
• Dollar reaches a one-month high, impacting various market sectors.
• Bonds experience a fall as central bank officials resist aggressive interest rate cut expectations.

Stock and Futures Movement:

• Stoxx Europe 600 index heads for a five-week low, led by declines in retailers and banks.
• S&P 500 futures slip by 0.6%, Nasdaq 100 contracts drop by up to 0.9%.
• Treasuries decline across the curve, with ten-year yields and the 2-year debt rising about six basis points each.

Central Bank Comments and Rate Cut Expectations:

• European Central Bank Governing Council member Francois Villeroy de Galhau emphasizes it’s too early to declare victory on inflation.
• Traders await Federal Reserve Governor Christopher Waller’s speech for cues on the timing of a Fed rate cut, with a two-in-three chance seen in March.
• ECB Governing Council member Robert Holzmann and President Christine Lagarde express uncertainty about assured rate cuts, citing lingering inflation and geopolitical risks.

UK Economic Data:

• Economic data in the UK supports the case for Bank of England rate cuts.
• Wage growth cools at one of the fastest paces on record, leading to a weakening of the pound against the dollar.

Corporate Results:

• Morgan Stanley and Goldman Sachs Group Inc. expected to report continued lull in investment banking activity.
• High borrowing costs, geopolitical tensions, and recessionary risks dampen deal-making.

Global Economic Outlook and Oil Prices:

• Oil prices remain steady amidst Houthi attacks in the Red Sea, contributing to tensions in the Middle East.
• Global benchmark Brent holds around $78 a barrel, while West Texas Intermediate trades below $73.

MSCI Asia Pacific Index:

• Slides 1.3%, halting a three-day rally.
• Hang Seng Index faces the worst day in about two months due to property-sector funding plans impacting bank shares.

Upcoming Market Events:

• Key events this week include Germany ZEW survey expectations, US Empire Manufacturing, and earnings reports from Goldman Sachs Group Inc. and Morgan Stanley.
• Federal Reserve Governor Christopher Waller is scheduled to speak on Tuesday.

Stay tuned to VT Markets Daily Analysis for all your daily CFD updates.

Dear Client,

Please note that the dividends of the following products will be adjusted accordingly. Index dividends will be executed separately through a balance statement directly to your trading account, and the comment will be in the following format “Div & Product Name & Net Volume ”.

Please refer to the table below for more details:

The above data is for reference only, please refer to the MT4/MT5 software for specific data.

If you’d like more information, please don’t hesitate to contact info@vtmarkets.com.

Dear Client,

Please note that the dividends of the following products will be adjusted accordingly. Index dividends will be executed separately through a balance statement directly to your trading account, and the comment will be in the following format “Div & Product Name & Net Volume ”.

Please refer to the table below for more details:

The above data is for reference only, please refer to the MT4/MT5 software for specific data.

If you’d like more information, please don’t hesitate to contact info@vtmarkets.com.

Forex Market Analysis: Monday 15 Jan 2024

Economic data: Markets closed for Martin Luther King, Jr. Day

Earnings: Markets closed for Martin Luther King, Jr. Day

CURRENCIES:

• Event Focus: UK Unemployment and Inflation Data
  • Major event risk from the UK includes upcoming releases of unemployment and inflation data.
• US Market Dynamics: Lower Yields and Rate Cut Forecasts
  • US dollar maintains its trading range despite declining yields and heightened expectations for rate cuts.
  • US 2-year yield experiences a six-day decline, with markets predicting nearly 25 basis point cuts in each meeting from March to November.
  • Note: Potential rate adjustments by the Fed may be limited due to the proximity to the presidential elections.
• US Dollar Basket Performance: Trading within Range
  • The US Dollar Basket, a proxy for USD performance, has been trading within a range for the past two weeks.
  • The significant resistance at the 103.00 level, coupled with the presence of the 200 and 50-day simple moving averages, limits the dollar’s upside potential.
• Challenges for the USD: Declining Yields and Rate Cut Expectations
  • The USD faces challenges such as decreasing yields, a more imminent prospect of rate cuts, and easing price pressures.
• Implied Fed Funds Rate: Market Expectations
  • Market expectations, as reflected in the implied Fed Funds Rate via the Fed Funds Futures Market, indicate anticipation of future rate cuts.
• Inflation Outlook: Despite Slightly Higher CPI Readings
  • Despite slightly higher Consumer Price Index (CPI) readings last month, expectations suggest a continued drop in inflation.
  • USD’s current range-holding is attributed in part to its safe-haven appeal, particularly following joint US and UK strikes on Houthi targets.
• Global Economic Outlook: Chinese Q4 GDP Data
  • Chinese Q4 GDP data is anticipated to provide insights into the global economic outlook.
• Safe Haven Appeal of USD: Influenced by Geopolitical Events
  • USD’s safe-haven appeal is reinforced by geopolitical events, such as joint US and UK strikes on Houthi targets, contributing to its range-holding status.
• Gold Performance: Notable Safe Haven Asset
  • Gold, a significant safe-haven asset, exhibited an increase over the weekend, aligning with USD’s safe-haven appeal.
• Key Levels for USD: Resistance at 103.00
  • The USD faces resistance at the major level of 103.00, with the 200 and 50-day simple moving averages further contributing to this resistance zone.
• Factors Influencing USD Range: Safe Haven Status
  • Despite various challenges, the USD’s ability to maintain its range is influenced by its safe-haven status, particularly in response to recent geopolitical developments.

STOCK MARKET:

• Market Recap and Outlook:
  • Stocks resumed winning streak after a nine-week break to start 2024.
  • Nasdaq Composite led with a 3% gain; S&P 500 approached a record high.
  • Microsoft surpassed Apple as the world’s most valuable company.
• Upcoming Focus:
  • In a holiday-shortened week, attention shifts to financial sector results and Wednesday’s retail sales data.
  • US markets closed Monday for Martin Luther King Jr. Day.
• Retail Sales Forecast:
  • Retail sales expected to rise by 0.4% in December, exceeding the 0.3% gain in November.
  • Bank of America anticipates “robust” retail sales due to applied seasonal adjustments.
• Economic Calendar:
  • Thursday: Initial jobless claims data.
  • Friday: University of Michigan’s consumer sentiment report.
• Geopolitical Events:
  • Monday: Iowa caucuses mark the official start of the 2024 US presidential election.
  • Rising tensions in the Red Sea draw increased investor attention.
• Earnings Reports:
  • Investment banks Goldman Sachs (GS) and Morgan Stanley (MS) set to report.
  • Focus on the investment banking story and the trajectory after a challenging year.
• Inflation Insights:
  • Last week’s inflation data showed firmer consumer prices but moderated producer prices.
  • Red Sea-related disruptions noted as an “upside risk” to inflation forecasts.
• Fed Rate Cut Expectations:
  • Investors price in a 77% chance of a 0.25% Fed rate cut in March.
  • Barclays economists expect incremental cuts starting in March but at a more gradual pace.
• Earnings Season Kickoff:
  • Major money center banks, including JPMorgan, Wells Fargo, Bank of America, and Citi, reported results.
  • JPMorgan reported a nearly $50 billion record annual profit.
• Tech Sector Focus:
  • The financial sector takes the spotlight initially, but the tech sector’s performance will be closely monitored.
  • Forward P/E ratio for the Technology sector stands at 27, second highest among S&P 500 sectors.
• Magnificent Seven and Nasdaq Influence:
  • Results from “Magnificent Seven” tech giants, including Meta Platforms, Alphabet, Amazon, and Tesla, will impact the Nasdaq and overall market sentiment.
  • Negative guidance from tech sector companies above recent averages.
• Sector Valuations:
  • Technology sector’s forward P/E ratio at 27, second only to Real Estate, which traded at 39.
  • Technology’s performance crucial as it accounts for over 28% of the S&P 500’s market cap.
• Fourth Quarter Earnings Season:
  • The tech trade’s impact on overall market direction will be significant as the earnings season progresses.
• Investor Sentiment:
  • The party for fourth-quarter earnings season begins when reports from the “Magnificent Seven” tech giants start rolling in.

Start Your Shares CFD Trading journey with VT Markets and access a world of opportunity. Discover advanced tools, expert insights, and tailored strategies to enhance your trading experience. Open your account today and join a community of savvy traders

Dear Client,

Please note that the dividends of the following products will be adjusted accordingly. Index dividends will be executed separately through a balance statement directly to your trading account, and the comment will be in the following format “Div & Product Name & Net Volume ”.

Please refer to the table below for more details:

The above data is for reference only, please refer to the MT4/MT5 software for specific data.

If you’d like more information, please don’t hesitate to contact info@vtmarkets.com.

Dear Client,

Please note that the dividends of the following products will be adjusted accordingly. Index dividends will be executed separately through a balance statement directly to your trading account, and the comment will be in the following format “Div & Product Name & Net Volume ”.

Please refer to the table below for more details:

The above data is for reference only, please refer to the MT4/MT5 software for specific data.

If you’d like more information, please don’t hesitate to contact info@vtmarkets.com.

In the fast-paced world of trading, staying vigilant and well-informed is paramount for success. The upcoming week is filled with crucial economic events that traders should closely monitor to navigate the markets effectively. From employment figures in the UK to price trends in Canada and inflation rates worldwide, each data point narrates a compelling story. The canvas of our economic puzzle extends to include US retail sales and Australian employment statistics, offering valuable insights that guide our understanding of the global financial terrain.

UK Claimant Count Change (16 January 2024)

Keep an eye on the UK Claimant Count Change, set to be released on January 16, 2024. After witnessing an increase from 8,900 to 16,000 in November, expectations are that the figure will rise further to 18,100 in the upcoming release.

Canada Monthly Consumer Price Index (16 January 2024)

An additional event in January 16, Canada unveils its Monthly Consumer Price Index (CPI). In November 2023, consumer prices in Canada defied expectations by rising 0.1%, contrary to the anticipated 0.1% decline. However, the December 2023 data, expected to be released on January 16, 2024, forecasts a 0.3% decline in the monthly Consumer Price Index.

UK Annual Consumer Price Index (17 January 2024)

On January 17, 2024, the focus turns to the UK Annual Consumer Price Index. After a slowdown to 3.9% in November 2023 from 4.6% in October, analysts anticipate a further decrease to 3.8% in the December 2023 data.

US Retail Sales (17 January 2024)

Discover the trajectory of US retail sales on January 17. Following an unexpected 0.3% increase in November 2023, the upcoming release is projected to show a further uptick, with an expected growth of 0.4% in December 2023.

Australia Employment Change (18 January 2024)

Turn your attention to Australia on January 18, as the Employment Change data unfolds. After a notable increase of 61,500 in November 2023, the forecast for December 2023 suggests a more modest rise, with expectations set at 18,000.

UK Retail Sales (19 January 2024)

As we approach January 19, anticipation builds for the release of UK Retail Sales data. Despite a robust 1.3% month-over-month growth in November 2023, December 2023 is expected to show a contraction of 0.5%.

US Prelim University of Michigan Consumer Sentiment (19 January 2024)

Closing out the week, all eyes will be on the US preliminary consumer sentiment from the University of Michigan for January 19. Projections indicate a slight dip to 69.6 from the previous month’s 69.7 in December 2023, offering insights into the mood of the American consumer.