US today

As hurricane Sandy is expected to hit the US today, halting public transport, closing schools businesses and government departments, ALL U.S. stock markets will be closed on Monday and possibly Tuesday.

In addition, trading on commodities or Futures will be subject to their availability in the Futures exchange.

Last week was one of the strongest for Binary traders and a seminal week for the economies on both sides of the Atlantic.

This week will be the same as we have CPI numbers form German (today), non-farm payrolls from the USA, we’re right in the middle of earnings season plus the USA Elections are starting to play on the minds of investors.  Watch for opportunities on: EUR/USD, DOW, S+P 500 and, of course, Gold and JPN

US GDP Better than expected: Rally’s European Markets

European shares eked out small gains on Friday after better-than-expected U.S. economic growth figures.  They helped outweigh the impact on investor sentiment of yet more negative corporate earnings.The mood seem to have brighten at the end trading on Friday, after data showed growth in the United States expanded at a 2 percent annual rate, just above the 1.9 percent estimated.

However, the IMF said the risks to the macroeconomic outlook and fiscal targets are significant and tilted to the downside. Which means even with positive GDP figures out of both the US and UK the outlook still remains negative for the global economy.  Investors are grabbing for any good news to find a reason to buy the market at the minute.

All of this adds up to fluctuations in the market and that’s what good Binary Traders feed on.

Today’s German CPI Data

In terms of data we have CPI data out of Germany today at 13:00 GMT.  The CPI measures the average price change for all goods and services and therefore is the main indicator used to measure inflation and changes in purchasing trends.

The consensus for the CPI figure today is 2 percent, which is the same as the previous figure. If the actual figure comes out in line with consensus it would indicate that the German economy is achieving price stability and inflationary pressures are declining.  On the other hand if the figure is below expectations

Assets that may be affected

Keep an eye on EUR and GBP foreign exchange crosses especially GBP/USD and EUR/USD. It seems as though these assets have found a near term top due to the major bearish move last week as European woes still rule the market. A corrective rally is due, yet if Europe continues on its path of destruction we could see a bearish continuation. On the other hand if we get some positive news out of Europe a relief could be seen?

USA: Earnings, Non-Farm Payroll & Election

This is a key week for the US, coming of the back of a good start to the earnings season and growth data last week.  Considering the current performance of many marquee company names, US markets may be in for a rough time over the next few weeks.

Major averages finished sharply lower for the week as over the election, the looming ‘fiscal cliff’ and a slew of weak earnings results kept investors on edge. Economic growth ticked upin the third quarter, with the gross domestic product expanding at a 2.0 percent annual rate.

Consumer sentiment rose to 82.6 in October, hitting its highest level in five years. The index was at 78.3 in September. Still, the reading was slightly below the preliminary reading of 83.1 and shy of expectations for 83.

In terms of data, nonfarm payroll is guaranteed to provide excitement to the markets; we had a positive figure of 114K last month so keep a close on the markets this week to decide whether you are a bull or a bear going into non farms on Friday.

Assets that may be affected

The US majors, Dow and S&P are the key assets to keep an eye on today as the markets were driven by earning last week and due to the disappointment we saw a sharp drop.  If sentiment improves today we may see the DOW and S&P claw some gains from last week, however if we continue on current yell brick road we could see further bearish movement this week.

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Kasim Ijelu
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