1. This site uses cookies. By continuing to use this site, you are agreeing to our use of cookies. Learn More.

Poor U.S. Economic Data Pressures Equity Markets

Discussion in 'Forex Daily News & Outlook' started by futuretrends24, Aug 6, 2009.

  1. futuretrends24

    futuretrends24 New Member

    Apr 30, 2009
    Likes Received:
    Today’s sample of Futures Analysis from FuturesHound.com

    Stock index futures closed lower ending a four day winning streak. The catalyst behind the weakness was an ISM report showing that the U.S. services industry contracted at a greater pace than estimated. This report revealed that the services sector was lagging behind the manufacturing sector which showed improvement earlier in the week.

    ADP reported this morning that about 350,000 U.S. jobs were lost during July. This report indicates that U.S. unemployment is likely to continue to fall. Stock traders attributed early weakness to both the bad ISM number and the loss of jobs.

    Equity markets mounted a strong recovery throughout the day but were unable to reach overnight highs. Technically, all three major U.S. indices posted closing price reversal tops, but need a follow-through break tomorrow through today’s lows to confirm the short-term top formation.

    Read FuturesHound.com as well as Futures Analysis, Futures Education and exclusive timely market Gann Analysis

    Disclaimer: Trading on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore should not invest money that you cannot afford to lose.

Share This Page