S&P 500 record high

“Throughout my financial career, I have continually witnessed examples of other people that I have known being ruined by a failure to respect risk. If you don’t take a hard look at risk, it will take you.” – Larry Hite

 

 

HEADLINES

 

 

 

• Canadian dollar falls by most in three weeks as oil stumbles
• Four possible causes of a decline in the appeal of the US dollar – Natixis
• Dollar Up, Pound Up as BOE Signals Earlier-Than-Expected Interest Rate Hike
• Gold nudges higher as weaker dollar lends support
• Crude Oil Off Highs as World Bank Warns of Higher Inflation
• S&P 500 hits record high in 7th straight winning session amid strong earnings
• CHART: NZD/USD

 

 

FOREX

 

 

Canadian dollar falls by most in three weeks as oil stumbles

 

The Canadian dollar weakened against its U.S. counterpart on Thursday as oil prices fell and  ttawa said it would wind down broad-based pandemic-era economic support, with the loonie pulling back from an earlier four-month high. The loonie was trading 0.5% lower at 1.2375 to the greenback, or 80.81 U.S. cents, its biggest decline since Sept. 29. Earlier, the currency touched its strongest level since June 25 at 1.2289.

 

Four possible causes of a decline in the appeal of the US dollar – Natixis

 

The US dollar is the dominant international reserve currency, which gives the United States the privilege of issuing a reserve currency. But could the appeal of the dollar decline sharply, which would create a serious problem in financing the US? Such a decline in the appeal of the dollar could have several causes, economists at Natixis report.

 

Dollar Up, Pound Up as BOE Signals Earlier-Than- Expected Interest Rate Hike

 

The dollar was up, with the pound was just shy of its Tuesday peak on Thursday morning in Asia, over firming expectations that the Bank of England (BOE) will hike interest rates as soon as November 2021.

Commodity currencies stood near multi-month highs, with strong raw material prices and increasing risk sentiment turning investors away from the safe-haven U.S. currency, which had recently been boosted by expectations that the U.S. Federal Reserve will begin asset tapering.

 

 

COMMODITIES

 

 

Gold nudges higher as weaker dollar lends support

 

Gold prices inched up on Thursday, extending gains into a third session as a softer dollar made the metal cheaper for buyers holding other currencies. Bullion prices have traded between $1,759 and $1,788 this week. A weaker dollar on Thursday kept the metal close to the higher end of this range. Two U.S. Federal Reserve officials said on Wednesday while the central bank should begin winding down its stimulus measures, it was too soon for interest rate hikes.

 

Crude Oil Off Highs as World Bank Warns of Higher Inflation

 

Crude oil prices fell from their recent highs on Thursday, amid signs that countries around the world are getting to grips with the shortages that have sent alternative fuel prices skyrocketing in recent weeks. The market for liquids remains tight, however, especially in the U.S., where strong gasoline demand drove a sharp decline in fuel inventories last week. Gasoline stocks fell by 5.4 million barrels last week, according to government data, and RBOB gasoline futures remain close to seven-year highs despite falling 1.5% to $2.46 a gallon on Thursday.

 

 

STOCKS

 

 

S&P 500 hits record high in 7th straight winning session amid strong earnings

 

The S&P 500 closed higher Thursday, stretching its winning streak to seven sessions, as investors continue to sift through mostly positive third-quarter earnings reports and guidance so far from Corporate America.

The S&P 500 turned higher during the day, and the Nasdaq Composite finished with a win as well. Each found support from Tesla stock after the electric vehicle maker posted record revenue and profit in its third-quarter earnings report.

 

 

CHART

 

 

New Zealand dollar / US dollar – Weekly Candlesticks

Source: GKFX Prime Metatrader 4

NZD/USD has broken above a downtrend line after bouncing from resistance turned support at 0.68. - Prepared by Trading Writers*

 

 

CALENDAR

 

 

*Times in GMT

Source: FX Street Economic Calendar

 

SOURCE

 

 

https://www.fxstreet.com/economic-calendar
https://www.cnbc.com/2021/10/21/gold-markets-dollar-central-banks.html
https://www.reuters.com/article/canada-forex/canada-fx-debt-canadian-dollar-falls-by-most-in-three-weeks-as-oil-stumbles-idUSL1N2RH2BN
https://www.investing.com/news/forex-news/dollar-up-pound-up-as-boe-signals-earlierthan-expected-interest-rate-hike-2650413
https://markets.businessinsider.com/news/stocks/stock-news-today-sp500-record-high-7th-session-dow-nasdaq-2021-10