Asian shares traded mixed on Friday, but were mostly lower, after major oil producers approved on extending output cuts on the same time zone discussed earlier. Japan’s Nikkei 225 eased by 0.19 percent, Australia’s S&P/ASX and the Shanghai Composite dropped by 0.70percent and 0.2 percent respectively. South Korea’s Kospi added 0.77 percent, its sixth consecutive session of gains.
The pound sterling fell on Friday as the British PM Theresa May’s lead narrowed ahead of the U.K. general election, taking place on June 8th. The GBP/USD pair edged lower by 0.5 percent at $1.2884, pulling away from its strongest level since last September. Meanwhile, the yen recovers in the Asian market after Tokyo’s Core Consumer Price Index (CPI) data was released yesterday at 23:30 GMT.
Economic events taking place in the U.S. today include the Core Durable Goods Orders for April and U.S. First Quarter GDP, both due at 12:30 GMT. These releases may directly impact the U.S. dollar and U.S. based assets. Fed officials stated that the U.S. Central Bank is expected to raise interest rates in June. Elsewhere, on the commodity market, Gold futures surged higher overnight.
Yesterday, the U.S. West Texas Intermediate recorded a set of considerable pullbacks starting from 14:00 UTC at the $51.12 level to close this bearish trend by 19:00 UTC at the $48.64 level. The commodity was seen much volatile in today’s early trading hours, it lost 0.6 percent as it traded at $48.61 a barrel around 03:00 UTC. This asset is expected to fluctuate throughout the day and the Gold vs Oil pair can be traded with Pairs Trading Tool.
The EUR/GBP pair started its session bullishly on Friday at 00:00 UTC at the 0.86695 level, following the uptrend set yesterday night. Today, the currency pair may gain more strength through the day as the pound tumbled on the forex market. It is thus, a good opportunity to trade using any tool on our trading platform.
On Thursday, this currency pair lost momentum to record several pullbacks as from 08:00 UTC at 125.736 yen to close the bearish trend by 12:00 UTC at 125.259 yen. As the yen gains value on the forex market, this pair could be impacted further. Today, it started tumbling as from 01:00 UTC at the 125.265 level. It is expected to fall further through 09:00 UTC today and gradually consolidate.
Asian shares are available on the Classic Digital Options and can thus be traded for today. Hong Kong’s Hang Seng index and the SSE can be considered today.
Assets that are most likely to be affected with U.K. events today are the EUR/GBP, GBP/USD and the GBP/JPY pairs, along with the DAX vs FTSE 100 pair. Also consider the AUD/USD and the AUD/JPY pairs.
Consider trading the EUR/USD, AUD/USD and the USD/CAD pairs with Ladder Trading Tool, along with the S&P 500 and the Nasdaq, which closed higher on Thursday as big technology stocks rose.