The oil cartel is keeping capital markets positive, while the labor market in the USA demonstrates hidden power. There is little that can spoil the investors' mood except for the overbought state of the market. In the new week, market players may go on buying until they decide that things are getting too expensive.
Tag: interest rate
This March is risking to become a legendary month for capital markets — all movements and trends are defined by the only driver: coronavirus. This week is becoming no exception, and investors will again be looking not at the statistics but at the states' actions against the virus.
This week is going to be full of events important for the stock and capital markets. It is rare for the sessions of the Fed and the ECB to follow one the other but this is our case. The tension is growing. In these circumstances, the volatility in trades may grow, so caution is necessary more than ever.
Let us have a look at the main economic indices and their influence at the currency rates. The knowledge and understanding of these indices are the basics of fundamental analysis and forecasting of price movements.
The size of the main interest rate is the base for the interest rates of other instruments, such as state and corporate bonds, credit rates for legal entities and physical persons. Central banks resort to changing interest rates rather seldom; such changes are considered major market events, and market players keep a close eye on them.