Monday's Markets Update (July 22, 2024)

22 Jul 2024 by rate3

On Monday, stocks rebounded from the previous week's downturn, with tech and communication sectors leading the way. Investors are monitoring the political landscape as Biden dropped out and the presidential race heats up. Internationally, China's central bank cut its rate in an attempt to boost the national economy. BTC and ETH fluctuate near their strong resistance levels at 68K and 3.6K.

Details

The Chicago Fed National Activity Index declined in June, surprising analysts with a positive reading. Production rose but was offset by declines in sales, employment, and consumer spending. However, the index's three-month average improved slightly. 1Y trend: "Down" (CFed)

World Markets

China's central bank unexpectedly slashed key interest rates (3.35%) to boost its struggling economy. The move comes after recent economic data signaled a slowdown in recovery and aims to stimulate lending and consumption. 1Y trend: "Down"

Currencies

Dollar held steady after a brief dip, largely unaffected by Biden's withdrawal from the presidential race. It weakened slightly against major currencies, but remains up for the week due to strong economic data. However, with cooling inflation, investors anticipate a Fed rate cut and await key economic reports this week for further direction. 1Y trend: "Up"

Commodities

Gold prices rebounded, reaching nearly $2,410 per ounce. A weaker dollar and hopes for Fed interest rate cuts boosted the precious metal. However, recent economic data and political developments will influence gold's future direction. 1Y trend: "Up"