Daily Analysis – 23 sept 2016

Daily Analysis – 23 sept 2016

triomarkets-market-overview-23-sept-2016

Asian markets continue to move higher on Friday as markets expect Fed to keep monetary policy accommodative as reduced expectations for rate rises next year. Today we focus on European macroeconomic announcements where we expect a moderate improvement. Later tonight many Fed officials will talk and we expect to give a very hawkish tone which can favor USD. We continue to see USD/JPY as a buying opportunity.

We should forget central bank’s policy at the moment and we should focus on the political debate between Clinton and Trump which will take place on Monday 26th of September. The popularity of D. Trump keep rising and after Clinton health issues. Many support that Trump is a huge systemic treating. However riskier assets do not influence from these views and continue to rise.

Key points:
• Gold prices rally to 2-week high as dollar sinks on cautious Fed
• ECB Monthly Bulletin: Eurozone economic recovery is continuing
• Bund yields clock biggest drop since Brexit vote
• Mario Draghi: Europe has too many banks