Swissquote Bank Ltd has released a comprehensive report discussing recent financial trends and market behavior. The report, intended for informational purposes only, is not an invitation or offer to trade currencies or financial instruments. It underscores that the views within may alter without prior notice and advises readers to exercise their own judgment alongside its insights.
The S&P 500 and Nasdaq 100 have successfully consolidated gains above their 50-day moving averages (DMA), reflecting a steady market performance. Meanwhile, the Stoxx 600 experienced increased bids on Tuesday, buoyed by rising confidence in trade negotiations between the European Union and the United States. This optimism comes as the USD struggles to attract buyers, with many market participants anticipating a potential interest rate cut by the Federal Reserve.
The weakness of the USD has bolstered major currencies, offering them support in the current economic climate. In the stock market, Palantir Technologies experienced a significant rally of 24% following the announcement of better-than-expected quarterly results. The company's advancements in AI technology have led to rating and price target upgrades from major banks, further propelling its share price upward.
Google also reached a record high, showing resilience despite ongoing challenges from China. Gold continues to serve as a reliable hedge against risks associated with former President Trump, setting renewed records amidst market fluctuations. Additionally, the GBP/USD pair extended its positive momentum beyond the 1.2500 level during the European trading session.
Upcoming events that may influence market dynamics include the release of US ADP employment data and ISM PMI figures. These reports are anticipated by investors seeking insights into economic health and trends. In China, markets opened lower after the Lunar New Year holiday, affected by unexpectedly weak PMI figures and a newly imposed 10% tariff on exports to the United States.