The
transaction, which is valued at 16 billion Renminbi, aims to provide sufficient
liquidity to Nigerian and Chinese industrialists. This move will not only
improve the speed, but also the convenience of transactions between both
nations. There is a possibility that the Naira will strengthen from the
currency swap deal, as the demand for Dollar drops.
US-China trade
talks in focus
Asian
stock markets fell while the Japanese Yen held steady, as investors closely
monitored tense trade talks between the United States and China, in Beijing.
The
chances of a breakthrough trade deal from the two-day meeting are seen as
highly unlikely. However, the talks could be a positive step for the two
nations to avoid a potential trade war. http://www.tectono-business.com/2015/07/tectono-business-review-in-conjunction_21.html
Although it is difficult to predict the outcome of the trade meetings,
continual talks and negotiations between the Trump administration officials and
Chinese officials may ease tensions. Any signs of a possible breakdown in
negotiations between the US and China have the ability to weigh on risk
sentiment, consequently punishing global stocks.
Will NFP push the
Dollar higher?
It has
certainly been another incredibly positive trading week for the Dollar, which
has rallied to its highest level this year, moving above 92.80. http://www.tectono-business.com/2016/02/contemporary-step-by-step-guide-to.html
Friday’s
main risk event will be the monthly US jobs report for April which should offer
fresh insight into the health of the labour market. With inflation expectations
rising and strong economic data boosting sentiment, today’s NFP report will be
in sharp focus. Markets expect the US economy to have added 195k jobs in April,
up from 103k in March, while unemployment is predicted to drop to 4.0% from
4.1%.
While
the headline NFP figures and unemployment rate are both of great importance,
much attention will be directed towards wage growth. Any signs of accelerating
wage growth will suggest that inflationary pressures are building, ultimately
reinforcing expectations of a rate hike in June. http://www.tectono-business.com/2015/07/tectono-business-review-in-conjunction_21.html
Taking
a look at the technical picture, the Dollar Index is firmly bullish on the
daily charts. Although prices retreated from near 2018 highs on Thursday, this
has less to do with a change of sentiment towards the Dollar, and more to do
with investors profit taking. The Dollar Index trades firmly above the 200
Daily Simple Moving Average, while the MACD has crossed to the upside. Bulls
remain supported above the 92.00 level with 93.00 acting as a key level of
interest. Alternatively, sustained weakness below 92.50 could invite a decline
back towards 92.00.
Commodity
spotlight – Gold
Gold
prices were flat during early trading on Friday as investors positioned
themselves ahead of the anticipated US jobs data release.
Price
action suggests that Gold bulls and bears have been engaged in a tug of war
since the start of the trading year, with support at $1300 and resistance at
$1360. http://www.tectono-business.com/2015/07/tectono-business-review-in-conjunction_21.html
While geopolitical tensions and overall uncertainty supported bulls, bears have
received constant inspiration from US rate hike expectations. With prices
sinking close to the $1300 support level this week amid an aggressively
appreciating Dollar, could the tug of war be coming to an end?
Gold
bears may be offered an opportunity to attack and conquer the $1300 level
today, if the NFP data results exceed market expectations. Taking a look at the
technical picture, the yellow metal is under pressure on the daily charts.
Previous support around $1324 could transform into a dynamic resistance that
encourages a decline towards $1300 and $1260, respectively.
Hmmm!!! Folks, have you ever
imagined how the financial status of your firm will be when more than 20,000
CEOs and other key decision makers of blue-chip corporations pay for your
products and services or even give you very juicy deals. The link below will
tell you more: http://www.tectono-business.com/2015/07/tectono-business-review-in-conjunction_21.html
Have you heard this? Many
Nigerian exporters have been defrauded of huge amount of money in the process
of exporting commodities to foreign countries. Do you know why? They were not
trained on export operations, management, documentations and the best methods
of payment in export trade. This is terrible!!! Nigerians cannot continue to
lose money to foreigners in the course of export business. Exporters, why don’t
you get a practical manual that teaches the stages of export trade from
processing and packaging of commodities to receipt of payment by the foreign
buyers. It teaches export operations, export management, export documentations
and methods of payment in export trade? It is a contemporary step-by-step guide
to export trade. It tells all the contemporary dynamics in export trade. To get
it, click on the link below:
http://www.tectono-business.com/2016/02/contemporary-step-by-step-guide-to.html
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