The U.S. Federal Reserve’s FOMC meeting decision, followed by uncertainty over the geopolitical climate in the Middle East were the two primary factors that drove market moves this week. The ongoing trade spat between the U.S. and China also remains unresolved and can be expected to trigger further market volatility ahead of the G-20 meeting in Japan next week.
Geopolitical tensions in the Middle East erupted again this week as Iran was accused of attacking two oil tankers in the Gulf of Oman, as well as supporting an attack against an airport in Saudi Arabia.
Trade disputes continue to be of primary concern to markets and to the global economy as a whole.
Escalating trade disputes between the U.S. and other nations of the world remain the primary driver for market volatility.
The rapidly deteriorating trade relationship between the U.S. and China was of primary focus this week, followed by further deterioration in the Brexit negotiation process in Europe.
The collapse of the trade talks between the U.S. and China was the primary driver for stock market moves this week. Ongoing uncertainty over the Brexit negotiations was also a factor in market volatility as well as increased tensions in the Middle East.
Escalating tensions in the trade talks between the U.S. and China sent markets lower as President Trump threatened to enact a tariff increase on Chinese goods beginning Friday. When the U.S. followed through on its threat at midnight on Friday morning, stocks plunged as equity markets apparently had not been pricing in the fact that the deal could collapse so quickly.
The U.S. Federal Reserve was the primary driver for market movements this week as analysts awaited the release of the Non-Farm Payrolls report for April on Friday.
An outbreak of violence in Sri Lanka rattled markets this week as terror attacks during the Easter Weekend ripped through three churches and four luxury hotels, killing at least 290 and wounding nearly 500 more.
This week and next will be shortened holiday weeks due to the timing of religious holidays this year. With the release of the Mueller report, which found no collusion with Russia and no obstruction of justice on the part of President Trump during the 2016 Elections, American politics is likely to explode into chaos in the near term. The Democratic Party is almost certainly going to redouble their efforts to block President Trump’s legislative agenda at every turn now that the basis of their calls for impeachment has been essentially eliminated.
Copyright © 2002- | Precious Metals International, Ltd. All Rights Reserved.