Nasdaq up 0.76%
The US stocks are ending the day with gains but there was a bit into the close.
Some of the winners included:
The biggest winner was Tilray, a Canadian marijuana company which surged 28.95% to $154.98.
Losers today included:
The price is above the August 1 swing high at 112.146
The USDJPY trades toward the day's highs as the US stocks move higher in the first minutes of trading. Although near the high, the pair has seen up and down trading today on the headline concerns. On the hourly chart below, the price fall in the NA session did stall against the underside of a broken trend line. Stay above is more bullish intraday (close risk for longs).
The price did take a peak above the MA line earlier in the day but backed off
The GBPUSD has been pushing the 100 day MA and a topside trend line since yesterday. The trend line was lightly broken yesterday and backed off. Today the 100 day MA was lightly broken and backed off again. The 100 day MA is at 1.13655. The trend line is at 1.31753 currently. The low today reached 1.31183.
Up from 85% last week
The Euro zone money market traders are now fully pricing in a 10 point rise in rates in October 2019. That is up from 85% last week.
The EURUSD has traded above and below its 100 day moving average the prior 3 trading days. Today, the price has been able to stay above that MA in the London session . The MA comes in at 1.1668. In the Asian session there was a brief dip below the line (the low reached 1.16658) which was quickly reversed.
The USD is mixed
As the markets digest the "fact" (Trump enacting the US tariffs on China and their response), the AUD and NZD are the strongest. The JPY is the weakest. The USD is mixed with gains vs the JPY and GBP, and losses vs the AUD, NZD, CAD, EUR and CHF. Overall, the pairs are close together which suggests the order can change with a headline here or there. Remember, this is still a fluid situation with more tariffs possible, meetings that may be canceled and restarted, retaliations, implications, etc.
The loonie gains on the back of higher oil prices
And that sees USD/CAD touch a low of 1.3013 on the day, testing the 100-hour MA (red line) at the moment. Move below and near-term bias turns more bearish. But the key here is to hold a firm daily close below the 1.3000 handle.
China vows to retaliate against the US on latest tariffs measures
The headline sent yen pairs a tad bit lower and helped lift the dollar a little as E-minis and Treasury yields moved slightly to the downside. As a result, EUR/USD fell from its highs of 1.1718 on the day to be flat on the day now at 1.1683.
Bears looking for a break below the 100-day MA in the dollar index
As yesterday, the greenback's hold on Friday isn't suggestive that things are looking up for the dollar just yet. The inability to break above 95.00 and hold above the 100-hour MA was enough to keep the near-term bearish bias intact and today we're seeing price move back below the 100-day MA (red line).
USD/JPY jumps to a high of 112.26 on the day, highest levels since 20 July
And it's not just USD/JPY, yen pairs in general are seeing a good bounce on the day as when it comes to the trade rhetoric and that is to fade it. E-minis and Treasury yields have also moved higher on the day and that is helping to underpin yen pairs further as the session begins.
AUDJPY at key turning point
So, the tariffs have finally come There has been a muted response from China, so far, and the price action has been choppy. However, as Justin points out, all eyes are on China to see how they will respond. It is difficult to know exactly how they will respond and there is general uncertainty about it. So, the next move will come when the
Nasdaq down -1.43% and leads the downside
The trade tensions with China look like they about to intensify as Trump is set to announce new tariffs on China "after the close". China has said they would look to retaliate and that sent the likes of Apple lower on retaliation fears (down -2.66%). Amazon was also hit hard. It fell -$62 or -3.16% on the day. Ouch.
Little changed on the day
The price of crude oil is settling at $68.91 which is down -$0.08 or -0.12%.
The high reached $69.72 today. The low reached $68.53. The low was reached after Russia's Novak said that may look into the possibility of increasing production by 1BPD at the next OPEC meeting.
The rally stalled in NY session
The AUDUSD moved higher after an early dip at the start of the day.
The move higher is despite reports of a hike in tariffs by the US on China. The good news is the tariffs are 10% vs 25% originally thought. Also, the tariffs have also NOT been officially announced (despite all the hints including word from White Houses Kudlow).