Forex Week in Review
Following a decision by the Federal Reserve to shave 0.25% of interest rates last week, partly in response to a slowing of global trade, all of the major markets ended the week lower (usually, a rate cut acts to boost markets by reducing the cost of borrowing, of course). Concern over Brexit continues to weigh on market sentiments, of course.
In Europe over the course of the week, the FTSE was down on last week’s close by 1.9% at 7407.1; the Dax ended at 11872, 4.4% down on last week’s close; the CAC was down by 4.5% to end the session at 5359.
The Dow ended the week down by 2.6% to close at 26485. The Nasdaq composite index was down by 3.9% over the course of the week at 8004.1.
The Nikkei 225 ended the week’s trading down by 2.6% to end the session at 21087.
Currency markets review
On the currency markets last week, the Yen enjoyed the best of the trading. The Dollar was stronger against Sterling last week closing at $1.2123 to the Pound, a gain of 2.1% on the week. The Greenback was stronger against the Euro last week, just, rising by 0.09% to close at $1.1111 to the Euro.
The Dollar weakened against the Japanese currency closing at 106.6 Yen to the Dollar, making a loss of 1.92%.
The Euro was lower against the Yen ending at 118.5, a loss of 2% over the course of the week. It was stronger against Sterling last week, the close saw one £ buying €1.0913, a gain of 2% on the week (the Pound fell by 4% against the Yen).
The Euro now buys 1.0913 CHF, a loss of 1.2% on the week.
Commodities market review
On the commodities market, the price for Brent crude ended at $61.89 per barrel, a fall of 2.5% over the course of the week’s trading. The value of gold was higher last week closing at $1445.6 per ounce, a rise of 1.6% over the week.