Market sentiment news and analysis:
– Trader confidence has been hit by the escalating trade war between the US and China.
– That has lifted haven assets like the Japanese Yen at the expense of “risk on” assets such as stocks and the Australian Dollar.
– In this webinar, I look at this and other factors affecting trader sentiment.
Check out the IG Client Sentiment data to help you trade profitably.
Market confidence ebbs away
The escalating US-China trade war is hitting trader sentiment as US President Donald Trump threatens to impose tariffs on $200 billion of Chinese goods and China says it will retaliate.
Confidence is also suffering from the political problems faced by both Chancellor Angela Merkel in Germany and Prime Minister Theresa May in the UK ahead of an upcoming EU Summit at the end of this month. In addition, interest rate increases in both the Eurozone and the UK are looking increasingly unlikely near term.
As a result, downward pressure looks set to remain on “risk on” assets such as the Australian Dollar and stocks, while safe havens such as the Japanese Yen and the Swiss Franc are benefiting.
YOU CAN READ MORE OF OUR TRADE WARS COVERAGE HERE:
Resources to help you trade the forex markets
Whether you are a new or an experienced trader, at DailyFX we have many resources to help you: analytical and educational webinars hosted several times per day, trading guides to help you improve your trading performance, and one specifically for those who are new to forex. You can learn how to trade like an expert by reading our guide to the Traits of Successful Traders.
— Written by Martin Essex, Analyst and Editor
Feel free to contact me via the comments section below, via email at email@example.com or on Twitter @MartinSEssex