Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Traders Eye ECB Decision, Stock Market Breadth Improved

Published 09/10/2020, 02:38 AM
Updated 07/09/2023, 06:31 AM

The global stock futures are trading between gains and losses after recovering some of their losses from yesterday.

The ECB Day

Traders do not want to bet heavily ahead of today’s main event which is the ECB monetary policy decision. It is widely expected that the ECB is likely to strike a dovish tone, and weakness in inflation may push the ECB to change its inflation forecast.

If the bank lowers its inflation forecast today and doesn’t sound too optimistic about the economic performance of the EU, it is likely that we may see some serious weakness for the euro-dollar pair. It is currently trading at 1.1856. And, if the ECB does what is mentioned earlier, the pair is likely to fall near the 1.1650 mark.

However, if the bank shows a more relaxed attitude, we could see a sharp move to the upside for the EUR/USD pair. Nonetheless, one thing is pretty much a given: the euro-dollar pair is going to experience higher volatility today.

Dow Index and S&P 500 Index: Market Breadth

It was a recovery day for the U.S. stock market. The Dow Jones breadth shows that 67% of the Dow Jones stocks traded above their 200-day moving average yesterday. This is a change of +4% from a day earlier,  

The S&P 500 stock breadth also had a bit of fresh air and recovered its strength. 59% of the shares traded above their 200-day moving average yesterday. This represents a change of +2% from a day earlier.  

Stock Market Rally 

The S&P 500 stock index was in a recovery mode yesterday and it advanced 2.01%. The information technology sector led the index higher, and all of the eleven sectors closed higher. 

Qorvo (NASDAQ:QRVO) stock contributed the biggest gain, soaring 7.54%. Tiffany stock was the largest drag; it fell by 6.44%. The S&P 500 stock index’s is up 9.6% during this quarter.

The Dow index soared 439 points yesterday, and the Dow stocks moved the index lower by 1.60%. 25 stocks of the Dow Jones Index increased in value, and 5 shares of the Dow index moved lower. Salesforce stock advanced higher by 3.8% and was the biggest mover for the Dow, while Disney stock dropped 0.63%, the biggest drag for Dow Jones industrial average index.  

The NASDAQ Composite, a tech-savvy index, rose 2.96% yesterday. 

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.