The Market Horoscope – The week of August 5, 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 for the week of August 5, 2024
Key Economic Events This Week:
| Date | Activity | Currency |
|---|---|---|
| Monday, 5th August, 2024 | ISM Services PMI | USD |
| Tuesday, 6th August, 2024 | Interest Rate | AED |
| Thursday, 8th August, 2024 | Unemployment Claims | USD |
| Friday, 9th August, 2024 | Unemployment Rate | CAD |
Market Insights
The Insights
The US Dollar is likely to weaken over the coming week.
The Analysis
Last week’s inflation and employment data suggest a higher likelihood of an interest rate cut in September 2024. Lower interest rates typically encourage equity and commodity buying. However, we anticipate different market reactions with high interest rates and rising unemployment.
The Timing
Expect a sell-off in equity and oil markets up to December 2024.
The Action
Equities: Consider shorting small-cap stocks. Capitalize on the expected market downturn.
Oil: Similar to equities, oil prices are expected to decline.
Gold: Likely to gain as investors move capital to safe havens like the Japanese Yen and Swiss Franc. This could be a good opportunity to invest in gold.
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 with a financial advisor.