The Market Horoscope – The week of August 12, 2024
Welcome to The Market Horoscope, our weekly publication providing insights into the financial markets. We analyze stocks, commodities, cryptocurrencies, and forex to forecast potential market movements and help you navigate the complex market landscape.
Market Outlook
Key Economic Events This Week:
| Event Date | Econ Event | Event Currency |
|---|---|---|
| 13082024 | PPI | USD |
| 14082024 | Interest Rate | NZD |
| 14082024 | CPI | GBP |
| 14082024 | CPI | USD |
| 150802024 | Employment | AUD |
Market Insights
The Insights
Last week started with some market panic, with reactions to the Bank of Japan’s intervention on the Yen. This was followed by inflation and employment reports from the US indicating a possible recession. Rumours started floating around about an emergency Fed meeting to reduce interest rates on the USD (similar to the action taken in early 2020 following the news of COVID-19). By midweek, markets had calmed down and then went back into a cautious risk-on gear following the lower unemployment claims report from the US on Thursday.
The Analysis
Important reports such as PMI, CPI, and the Interest rate on the NZD will be watched very carefully. If the numbers are lower (CPI, PMI), the markets will assume that a recession is farther away than the expectations set last week.
The Timing
Wednesday (mid-week)
The Action
Our analysis points to a weaker USD during the upcoming week. We expect Oil and Gold to remain bullish, whereas Equities may head lower. EURUSD, GBPUSD, and NZDUSD are likely to gain strength. USDJPY will likely weaken over the next two weeks; look for shorting opportunities.
Having a solid understanding of the economic cycle is crucial. Reacting to news and reports in real time can be counterproductive. We are committed to providing accurate market forecasts and welcome your feedback and questions on our predictions. Your engagement helps us refine our insights and better serve you.
Note: Our predictions are based on current data and market trends. Before making investment decisions, consider your risk tolerance and consult a financial advisor.