Today the stock markets are shaky. They ended last week on a negative note due to escalations in the trade war between the US and China. However, yesterday there was a new wave of optimism that the two countries are going to start negotiating again, which boosted stocks. Right now stocks and equities remain vulnerable to any news related to the US-China trade dispute.
We also expect the Consumer Confidence Index for August to be released today in the United States. It’s forecasted at 129, and any number lower than that will weaken the dollar. This will be the most important fundamental publication today.
Furthermore, oil prices today are rising. This increase is due to the worsening relationship between the US and Iran. The two countries have recently shot down drones and in general been openly hostile to each other. The reason for the spat are the US sanctions against Iranian oil. Now Iran has stated that they will not negotiate with the United States unless the sanctions are lifted. President Trump is not likely to agree to do that, so a prolonged conflict is very possible.
