Today we’re having a rather busy day on the financial markets, so here is a quick overview of what’s going on. Hopefully this would help you feel less overwhelmed with news.
The Gold is Up A traditional safe haven instrument, the value of gold increased today, mainly due to traders turning away from the American dollar because of the political tensions between the United States and North Korea. The dollar index, which is a good measurement for the future of the dollar, was down by 0.11%, showing the USD is losing versus most major currencies. Gold, on the other hand, was able to climb to its highest level in a whole year.
PMI Incoming The prices of many trading instruments will also be influenced by a number of reports that are going to be released today. We’re expecting the PMI index from the United States, with a forecasted value of 55.4 - anything different would have a surprising effect on the market. The Federal Reserve is publishing its Beige Book today, a report on the economic situation in the country by regions.
Oil is Recovering The prices of oil are on the rise, in part because of the uncertainty as to the extent of the damage caused by hurricane Harvey to Americal oil facilities and reserves. As usual, smaller supply means higher prices, so it’s no surprise that oil futures have noted gains. With yet another hurricane headed for the United States, this trend would probably continue for a few days.
