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Message: [QUOTE="HFM, post: 200983, member: 32345"] [B]Date : 28th October 2021. Market Update – October 28 – USD Mixed, Stocks Down, Yield Curve Flattens, Oil tanks.[/B] [URL='https://analysis.hotforex.com/wp-content/uploads/2020/08/daily-market-update.png'][IMG]https://analysis.hotforex.com/wp-content/uploads/2020/08/daily-market-update-696x364.png[/IMG][/URL] [LIST] [*]USD ([B]USDIndex[/B] 93.82) V. choppy session as [B]Yield spreads narrowed to March 2020 lows[/B] (2&5yr higher, 10&30yr lower) – catalysts Inflation worries, surprise ending of QE, earlier rates hikes suggested from [B]BOC[/B]. Stocks down, Oil sank. Durable Goods missed but not as bad as expected, Trade balance at record $96.3 bn. [*][B]US Yields[/B] (10yr crashed into close at [B]1.529[/B]) lifted in Asian now[B] 1.57%.[/B] [*][B]Equities[/B] lower – [B]USA500[/B] -23 (-0.51%) at [B]4551[/B] (DOW -0.75%) – Big movers – MSFT +4.21%, GOOGL + 4.96%, EXXON -2.6%, JPM -2.08% – [B]USA500.F[/B] back to [B]4545[/B]. Asian equities weaker. [*][B]USOil[/B] down on Inventories more than a double build – at 4.3m vs 2.0m & draw down last week of 400k barrels. Low $79.39 earlier from $83.70 on Monday. [*][B]Gold[/B] recovers from $1783 low yesterday to breach $1800 now. [*][B]FX markets[/B] –[B] EURUSD 1.1600, Cable 1.3750, USDJPY now 113.70[/B] [/LIST] [B]ECB Preview:[/B] The central bank is widely expected to keep policy settings on hold today, after[B] Lagarde[/B] signalled last month that the important decisions on the future of [B]PEPP[/B] and possible changes to the older [B]APP[/B] programmes won’t be taken until [B]December.[/B] Still, markets will be hoping for some signals on the flavour of the discussion at the presser. The departure (by year end) of Bundesbank President[B] Weidmann[/B] – the most hawkish and traditional central banker at the council – fueled speculation of a further strengthening of the older APP asset purchase programs. The ECB’s mandate will still have to be respected, but by [B]keeping some flexibility[/B] for emergency situations [B]the ECB could still send a dovish[/B] signal, [B]even if it confirms in December that PEPP will end on time in March[/B] next year – as is widely expected. [B]European Open[/B] The December 10-year Bund future is up 4 ticks, but the 30-year future is moving higher long Gilt futures are rallying, as [B]markets turn pessimistic on the growth outlook[/B]. [B]DAX and FTSE 100 future[/B]s are managing [B]slight gains[/B] though in line with US futures. [B]Today [/B]– German Unemployment, EZ Consumer Confidence, [B]US GDP[/B], PCE Prices Advance, [B]Weekly Claims[/B], [B]ECB Policy Announcement and Press Conference[/B] [B]Earnings- [/B]Airbus, AB InBev, Carlsberg, Evolution Gaming, Nokia, Saint Gobain; Shell; [B]Amazon, Apple,[/B] Comcast, [B]Merck, Caterpillar, Mastercard,[/B] Yum!, Shopify. [URL='https://analysis.hotforex.com/wp-content/uploads/2021/10/2021-10-28_10-00-05.jpg'][IMG]https://analysis.hotforex.com/wp-content/uploads/2021/10/2021-10-28_10-00-05.jpg[/IMG][/URL] [B]Biggest FX Mover[/B] @ (06:30 GMT) [B]NZDCAD (+0.37%) [/B] Recovering from BOC shock yesterday down to 0.8820 back to 0.8880 now. Faster MAs aligned higher, MACD signal line & histogram rising, RSI 55 & rising. H1 ATR 0.0012, Daily ATR 0.0062. [/QUOTE]

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