27/10/2014 - October Daily Review

US stocks climbed at the end of last week after better than expected earnings and data. Positive earnings were also released throughout the week boosting sentiment.

Asian markets were mixed today. The Nikkei added 0.63% as positive earnings and data reinstated confidence in the economy lowered fears of a global slowdown.

European markets are lower today after another round of weak data from Germany. Markets were initially reacting to results of stress tests performed on 130 European banks over the weekend.  The outcome was not as bad as expected as only 25 banks failed.

Oil traded choppy due to concerns of oversupply and lower demand. Goldman Sachs, an investment bank, has cut its forecast for oil for 2015.

Gold is trading sideways between $1234/ounce and $1227/ounce. Volatility will increase ahead of Wednesday’s FOMC statement where traders are eager to hear any updates regarding raising interest.

 

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