U.S. stock indices ended mixed; Nvidia announces earnings today. Trump to impose tariffs on Canada and Mexico, with Deutsche Bank changing its euro outlook. Crude oil prices dipped, and Bitcoin is at a low. Treasury yields fell to recent lows as new economic strategies unfold, impacting forex trading ranges.
In the latest U.S. economic update, major stock indices finished mixed, and Nvidia is set to report earnings post-market. Axios reported that President Trump intends to implement tariffs on Canada and Mexico soon, extending his tariffs stance, having previously stated they would commence in early March. Deutsche Bank has revised its outlook, discarding longstanding bearish views on the euro, while crude oil prices dipped $0.31 to settle at $68.62.
Bitcoin saw its value decline, reaching its lowest price since November 11, as President Trump also terminated a deal with Venezuela. The U.S. auctioned 7-year notes at a yield of 4.194%, slightly lower than the forecasted rate. Fed’s Bostic commented on inflation, acknowledging progress despite it still being high. Trump described China as a competitor while encouraging mutual investments, without condemning any aggression regarding Taiwan.
In immigration news, the administration proposed selling “Gold Cards” for $5 million each, potentially raising significant revenue. The U.S. is also partnering with Ukraine on rare earth minerals but clarified there would be no security commitments. Axios later confirmed that 25% tariffs on imports from Canada and Mexico will indeed start in March. U.S. treasury yields decreased, marking the lowest levels seen in months for the 10-year and 2-year notes.
In the Forex market, EUR/USD established resistance between 1.0527 and 1.0532, with the end-of-day trading showing movement between its 100 and 200-hour moving averages. GBP/USD fluctuated above its 100-day moving average before retreating, causing market watchers to remain alert for a break below that level. USD/JPY traded around its midpoint for several sessions, with a slight bearish bias as it struggled to maintain the level above 149.52.
To summarize, the U.S. is facing mixed stock performance with upcoming earnings reports influencing market sentiment. Tariffs on Canadian and Mexican imports are confirmed to be implementing soon, with implications for the economy and international relations. The Fed’s outlook on inflation shows progress but still signals caution. In forex markets, key currency pairs are subject to technical analysis as they navigate significant moving averages.
Original Source: www.forexlive.com
