European bourses opened mixed on Tuesday morning as markets took a short breath following a three-day sell-off after the US-China trade escalated with the U.S. accusing China of currency manipulation. The Chinese yuan hit a record low of $0.1418 yesterday but recovered somewhat today to last trade at $014.22 as of 7:45 GMT this morning, after Beijing appeared to take steps to prevent the currency from weakening further.
Forex Preview: Antipodeans Gaining Momentum
The Australian dollar recovered this morning after being hit by the fierce sell-off in the Chinese yuan. The AUD gained more than 1% against the JPY, 0.7% against the CHF and 0.6% against the USD as of 7:45 GMT this morning. The Canadian dollar also took a breather as oil prices recovered and was last seen trading 0.7% higher against the JPY. Meanwhile, the EUR is also gaining traction on technical patterns while the USD seems in a corrective short pattern. GBP also gained against a weaker dollar but continued to be pressured by the no-Brexit deal situation. We would expect the overall USD weakness to possibly last a while longer also supported by the negative impact of the US/China trade tensions.
Gold Loses Steam
Meanwhile, gold prices traded slightly lower on Tuesday morning but held near six-year highs as investors turned to safe-havens after the United States accused Beijing of being a currency manipulator, escalating trade tensions.
Oil Prices Recover
Oil prices also recovered this morning, after earlier falling to their lowest since January. A weaker USD bolstered demand for Brent and Crude but the escalating US-China trade war capped gains.
Thomas Cook Closes 35% Higher
Amid yesterday’s bearish markets, Thomas Cook (TCG) shares stood out by soaring more than 35 percent to close 3.19p higher at 12.3p, after Turkish travel entrepreneur Neset Kockar increased his shareholding in the business to 8 percent. TCG shares started the day +16% higher at 14.47GBP on Tuesday morning.
Watch the video here:
Forex Preview: Antipodeans Gaining Momentum
The Australian dollar recovered this morning after being hit by the fierce sell-off in the Chinese yuan. The AUD gained more than 1% against the JPY, 0.7% against the CHF and 0.6% against the USD as of 7:45 GMT this morning. The Canadian dollar also took a breather as oil prices recovered and was last seen trading 0.7% higher against the JPY. Meanwhile, the EUR is also gaining traction on technical patterns while the USD seems in a corrective short pattern. GBP also gained against a weaker dollar but continued to be pressured by the no-Brexit deal situation. We would expect the overall USD weakness to possibly last a while longer also supported by the negative impact of the US/China trade tensions.
Gold Loses Steam
Meanwhile, gold prices traded slightly lower on Tuesday morning but held near six-year highs as investors turned to safe-havens after the United States accused Beijing of being a currency manipulator, escalating trade tensions.
Oil Prices Recover
Oil prices also recovered this morning, after earlier falling to their lowest since January. A weaker USD bolstered demand for Brent and Crude but the escalating US-China trade war capped gains.
Thomas Cook Closes 35% Higher
Amid yesterday’s bearish markets, Thomas Cook (TCG) shares stood out by soaring more than 35 percent to close 3.19p higher at 12.3p, after Turkish travel entrepreneur Neset Kockar increased his shareholding in the business to 8 percent. TCG shares started the day +16% higher at 14.47GBP on Tuesday morning.
Watch the video here:
