This is what you need to know to trade today Wednesday September 8th:
The mood remains tepid amid mostly lower Asian markets as they followed yesterday’s lackluster performance on Wall Street. Cases of the Delta variant of covid in the United States and possible restrictions reignited economic concern, souring investor sentiment while boosting the safe-haven appeal of the US dollar. S&P 500 futures post small gains, while Treasury yields remain defensive.
The president of United States, Joe Biden, will present on Thursday a strategy of six approaches aimed at fight the spread of the variant highly contagious Delta and increase vaccines against covid.
The gold price keeps the fall intact below $ 1,800 amid the strength of the dollar and uncertainty about the bill for infrastructure spending. According to CNN News, “Republicans in the House of Representatives could face increased pressure to vote against a bipartisan infrastructure package when they return to Washington later this month.”
The EUR/USD it stalls its rally and returns to the south once again towards 1.1800, despite the optimistic growth figures of the eurozone, as the price action of the US dollar dominates, in the absence of relevant macro news of the first level.
The GBP/USD remains pressed towards 1.3750, as Brexit concerns continue to haunt pound traders. Post-Brexit supply chain disruption is leading to fears of shortages of chemicals for water treatment.
The UK government has given polluters the green light to dump raw sewage into rivers and into the sea as Brexit and Covid affect normal water treatment, according to The Independent. Meanwhile, British Prime Minister Boris Johnson’s tax hike plan continues to weigh on.
Cryptocurrencies are licking their wounds after Tuesday’s crash, with the Bitcoin looking to stabilize around $ 46,000. Technical difficulties with El Salvador’s Bitcoin wallet led to delays with the Chivo Wallet implementation, triggering a sell-off across the crypto market on Tuesday.