DailyFX.com -

Talking Points:

• Global equity indexes surged to start the week, but few expect a new era of momentum

• Troubling data from China adds to a general concern for global growth trends and views for stimulus

• Rate speculation will be of particular interest for Dollar, Pound and Kiwi traders ahead

Sign up for a free trial of DailyFX-Plus to have access to Trading Q&A's, educational webinars, updated speculative positioning measures, trading signals and much more!

An advance without conviction, equities are following a familiar pattern to start this week. Looking to absorb the risk premium priced in the past month, traders are banking on complacency for another short-term run. Yet, the long-term view for global growth, financial returns and stimulus keep the cap on more meaningful trends. Adding additional weight to a growing list of troubles, Chinese data Monday showed the country could eventually capsize sentiment itself. Meanwhile, the more motivating fundamental theme of relative monetary policy expectations is quickly taking control of the market. Stimulus expectations for the Euro were padded by disappointing August economic surveys. Ahead, the US, UK and New Zealand will see their respective currencies driven by inflation data that will tell us when/if the central banks will once again hike rates. we discuss these themes in today's Trading Video.

Sign up for John’s email distribution list, here.

You May Also Like

COMPANIES IN THIS ARTICLE
Related Forex Analysis
  1. Forex News

    Global Equity Markets Look Unsettled, China Is Tumbling

  2. Forex News

    EUR/USD looks to Greece for direction

  3. Forex News

    USD/JPY supported at 122.60

  4. Forex News

    BoE Policy Meeting Preview - Rabobank

  5. Forex News

    GBP/USD sinks to 1.5570

Trading Center
×

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!