Interest Rates in Focus Affecting USD, GBP, JPY, & CAD. NASDAQ Flying But…

In today’s GCI Market Outlook, let’s take a look at Forex Trading on NASDAQ, S&P500, DJIA, Russell 2000, WTI Crude Oil, and USDCAD.

As usual, I am highly encouraging everyone to have a good look at the economic calendar this week.

There is a lot going on.

Tomorrow, at 8:30 am New York time, we have Canadian CPI, followed by Canadian Interest rates on Wednesday.

We see general CAD weakness against every pair as the price of WTI is generally lower, and the future of the Canadian economy is still uncertain.

So, any movement against the trends may give us opportunities to trade WITH the trends.

We have a similar scenario with USD, as we have Retail sales tomorrow and an Interest rate predicted to be 0.25% lower.

One half an hour later, we have the FOMC press conference, which could drive price action either way, depending on what they say about future rate cuts.

USD is mixed against other currencies so again, look for moves against the trend.

Lower interest rates should affect the indices, and we have an odd situation.

The S&P500 and the NASDAQ are flying high, but price action on the DJIA and the Russell 2000 has pulled back.

Why is that? It’s complicated but the first two are driven by tech companies, while the latter two are exposed to multinational staples and very affected by the insane tariff policies.

But, is this an opportunity to buy the dip?

Later in the week, we have New Zealand GDP, Australian Employment and Interest Rates from the UK and Japan.

Lots going on!

That’s all for now.

CFDs and FX are leveraged products, and your capital may be at risk.