This is what you need to know to trade today Thursday July 29:
The dollar has fallen after the Fed showed it was in no rush to cut bond purchases, providing support for stocks and gold. The first estimate of US GDP for the second quarter is in the spotlight on Thursday. Covid continues to spread in the United States and is also increasing in the United Kingdom. Cryptocurrencies have stabilized on higher ground.
Tapering can wait: The Federal Reserve has left its policy unchanged, as expected, commenting that it would consider adjusting its bond purchase scheme in “future meetings.” The Fed continues to view inflation as transitory and Jerome Powell noted that “further substantial progress” in the labor market is still “far away.”
Although Powell seemed less concerned about the economic impact of the Delta variant of the covid, he declined to comment on the Fed’s next big event: the Jackson Hole Symposium. With the lack of urgency to cut the bank’s $ 120 billion a month bond purchases, the dollar fell sharply across the board.
The EUR/USD It is hovering around 1.1860, its highest level in two weeks, while coronavirus cases continue to increase in the old continent. Germany’s employment figures are released today.
The GBP/USD It is hovering well above 1.39, the highest level since June, despite a rebound in covid cases in the UK, snapping a seven-day streak of declines. However, UK infections are far from peak levels.
In the stock markets, Facebook’s results and projections were somewhat disappointing, but Chinese authorities continue to ease pressure on tech companies after Beijing’s crackdown on several companies earlier in the week. The general mood in global markets is positive. The AUD/USD it is trading near 0.74.
The USD / CAD is changing hands below 1.24, benefiting from risk appetite mood, and rising raw WTI it has led to around $ 73 after Canada reported mixed results.
The highlight of the day is the first estimate of the US Gross Domestic Product data for the second quarter. Economists expect an annualized growth of 8.6%.
See: US GDP Preview for the Second Quarter: The economy will continue to expand apace
Agreement in USA: A bipartisan group of senators and the White House reached an agreement on a $ 1 trillion infrastructure spending bill. The legislation still has additional hurdles to pass and Democrats are already considering a larger additional package.
The cryptocurrencies They have been consolidating their gains, with Bitcoin holding on to $ 40,000 and Ethereum around $ 2,300.
See US GDP Preview for the Second Quarter: The economy will continue to expand apace
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