News

Gold price (XAU/USD) trades at a new all-time high near $3,425 during North American trading hours on Monday.

The Pound Sterling rallies sharply by over 0.70% on Monday as investors grew distrustful of US policymakers after White House Economic Adviser Hassett stated that Trump is seeking ways to sack Fed Chair Jerome Powell.

Market Struggles with Tech and Auto Downturns

Today’s stock market presented a challenging landscape for investors, with significant declines across key sectors. This downturn was starkly evident in technology and auto stocks, dragging the market downwards while few areas managed to uphold positive momentum.

🔍 Sector Analysis: Tech and Auto Face Major Challenges

• Technology Sector: The tech sector witnessed substantial withdrawals, with major players like Microsoft (MSFT) dropping 2.04% and Oracle (ORCL) facing a significant decrease of 3.88%. This widespread decline suggests investor hesitancy around technology stocks, potentially driven by macroeconomic concerns.
• Semiconductors: The semiconductor space experienced notable red across the board. Nvidia (NVDA) plummeted 5.43%, leading the loss with concerns perhaps tied to supply chain disruptions or changing demand.
• Consumer Cyclical and Autos: Tesla (TSLA) took a sharp fall of 6.80%, indicating severe pressure in the auto sector. Amazon (AMZN) also dropped 3.61%, highlighting broader consumer cyclical struggles.
• Communication Services: Major companies faced declines, with Google (GOOG) down 2.28% and Meta (META) down 3.46%, reflecting potential advertiser apprehensions or broader digital market challenges.

📈 Market Mood and Trends

The general mood throughout the market can be characterized as cautious, with investors seemingly attempting to recalibrate in the face of significant sell-offs. The declines indicate a defensive posture from investors, possibly influenced by macroeconomic uncertainties or sector-specific issues.

🔮 Strategic Recommendations for Investors

• Diversification: Consider diversifying portfolios to include sectors showing relative resilience, like utilities or certain healthcare stocks, which displayed marginal growth signals.
• Opportunistic Buying: Watch for opportunities in technology once macro conditions stabilize, particularly in undervalued assets that could rebound.
• Monitor Macro Trends: Stay informed about global supply chain developments and policy changes that could influence sector dynamics.

The marked declines across the market underscore the importance for investors to remain vigilant and adaptive. As always, maintaining a balanced approach with diversified investments and real-time data access from ForexLive can help navigate this turbulent market environment. Keep an eye on market signals and sector news for informed investment choices.

This article was written by Itai Levitan at www.forexlive.com.

The AUD/USD pair posts a fresh four-month high above 0.6400 on Monday. The Aussie pair strengthens as the US Dollar (USD) continues to get battered by United States (US) President Donald Trump threatening the “autonomous” status of the Federal Reserve (Fed).

There is an article doing the rounds in a source that I’m not sure is reputable but it says Nvidia is having a serious issue with an upcoming chip and “has delayed the device by months so far with no fix in sight.”

That’s certainly not helping as Nvidia shares are down 5.4% to $95.98.

It’s part of a broad selloff in the Nasdaq that has the index down 2.6% to the worst levels since Trump paused his ‘reciprocal but not reciprocal’ tariffs for 90 days.

As for Nvidia, it’s held lows in the $90 range several times in the past 10 months. The bulls will highlight that it’s only trading at 17x earnings but the bears worry that its earnings are a one-time bubble, particularly with reports that Huawei has a new chip that’s going to ship imminently.

It achieves performance comparable to Nvidia’s H100 chip by combining
two 910B processors into a single package through advanced integration
techniques, they said.

Everything is being questioned in terms of US and USD dominance at the moment.

This article was written by Adam Button at www.forexlive.com.

EURUSD surged through 1.15 barrier and hit new multi-year high as effect from worsening fundamentals was boosted by a holiday-thinned market on Easter Monday. The latest escalation of trade war further deflated dollar and provided more support to the single currency, which became replacement to the US currency in growing migration into safety. Bulls eye […]

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