Oil prices enter Bear Territory, Sentiment at Worst Levels in Years
In today’s fundamental analysis: the US dollar dropped during Asian trading as market participants doubted a 3rd rate hike this year. The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, eased 0.05% to 97.17.
- Not many economic data and events scheduled for today and all with low to medium volatility risks associated.
- The US dollar dropped during Asian trading as market participants doubted a 3rd rate hike this year. The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, eased 0.05% to 97.17.
- Yesterday, most US stocks fell, with notably energy and industrial shares leading the decline. Asian stocks are increasing this morning, although traditional safe havens such as gold and the Japanese yen are trading on a strong note.
- Oil was down another 2% today, getting just two dollars away from the important $40 level. Oil prices have tumbled more than 20% his year, marking this the worst performance for the first six months of the year since 1997.
- Among the factors creating pressure on  oil prices were indications that stockpiles in America remain above seasonal averages and Libya resumed some production.
- Sterling held steady at $1.2670, after having risen 0.3 percent on Wednesday, when the Bank of England’s (BOE) chief economist, Andy Haldane, said he expected to back a British rate increase this year.
- Spot gold had risen 0.7 % to $1,255.10 per ounce .It rose 0.3% in the previous session, its largest intra-day percentage change since June 6.
