Daily Summary for Wednesday – the 10th of July

After the G20 summit where we saw a resumed trade relationship between the US and China, and the strong non-farm payrolls report, there was an easing bet on the Fed’s rate cuts. But Chairman Powell’s testimony in front of the congress strongly hinted that a rate cut is likely to come at the end of July. “Since June, uncertainty continues to weigh on the US economic outlook.” Powell said.

Gold was traded positively. The AUDUSD and NZDUSD both rallied since 4^th of July. Chinese CPI figure was 2.7% in June, matching the market expectation.

Powell’s hints and the market fear of decreasing supply caused the Crude oil price climbed noticeably over 3%.

The important data tonight includes the US monthly CPI and core CPI. Fed Chair Powell will speak at the senate banking committee in Washington DC.

Daily movement