The Hang Seng Index reversed its downward trend in Hong Kong on Thursday (February 12th), weakening by around 0.9% to around 27,000 after a strong session earlier. This decline halted the momentum of the short term rally, as investors began to reduce risk in large cap stocks. Among the index's contributors, Tencent was a major drag, with its shares falling by around 2.3%, putting pressure on the technology sector, which has recently been a driving force behind market gains. Weakness in large cap companies like this typically quickly impacts sentiment due to their significant weighting in...
EUR/USD recovers intraday losses and flattens to near 1.0960 in Monday's European session. The major currency pair bounces back as the US Dollar (USD) slides in a risk-averse market environment, driven by the imposition of worse-than-expected reciprocal tariffs by United States (US) President Donald Trump on Wednesday. The US Dollar Index (DXY), which tracks the Greenback's value against six major currencies, slumps to near 104.40. Reciprocal tariffs announced by US President Trump have spooked global markets, resulting in equities melting down across the globe. However, Trump is not...
The Pound Sterling (GBP) bounces back to near 1.2930 against the US Dollar (USD) in Monday's European session after hitting a one-month low of 1.2830 earlier in the day. The GBP/USD pair attracts bids as the US Dollar faces pressure due to the imposition of reciprocal tariffs by United States (US) President Donald Trump on Wednesday. The US Dollar Index (DXY), which tracks the Greenback's value against six major currencies, declines to near 102.40. Financial market participants have become increasingly concerned over the US economic outlook as Federal Reserve (Fed) Chair Jerome Powell...
Oil prices plummet in early trade, extending the previous week's losses on fears that escalating global trade tensions will spark a recession and weaken demand for crude. Brent is down 3.7% at $63.13 a barrel, while WTI falls 3.9% to $59.56 a barrel. Both benchmarks dropped to a four-year low as China retaliated against President Trump's levies and Federal Reserve Chair Jerome Powell warned U.S. tariffs will likely raise inflation and slow economic growth. "The scale of the selloff suggests the market is pricing in a significant demand hit as recession fears grow," analysts at ING...
Gold prices pared earlier losses on Monday, as some safe-haven demand filtered through and as strong central bank buying supported prices after they dropped to an over three-week low, while analysts continued to see a bullish outlook for bullion. Spot gold was down 0.6% at $3,019.63 an ounce, as of 0745 GMT. Earlier in the session, gold dropped around 2% to its lowest point since March 13, as jittery investors offloaded the precious metal to offset losses elsewhere, amid fears of a global recession, fuelled by an intensifying trade war. U.S. gold futures firmed 0.1% to $3,037.30. Gold...
The Japanese Yen (JPY) reverses an intraday dip against its American counterpart and climbs back closer to the top end of the daily range heading into the European session on Monday. Investors remain worried that US President Donald Trump's tariffs would trigger an all-out global trade war and undermine economic growth around the world. Moreover, persistent geopolitical tensions lead to an extended sell-off in equity markets and offer some support to the safe-haven JPY. Meanwhile, signs of broadening inflation in Japan keep the door open for further interest rate hikes by the Bank of...