› Weekly Binary Options Market Review (Jul 08 - Jul 14)

Weekly Binary Options Market Review (Jul 08 - Jul 14)

In this article, we would like to present the review of the binary options market during the period from Jul 08 to Jul 14, targeting the prospects of major instruments.
The week started first with the speeches of governors in Japan and Europe. From Japan, the Bank of Japan (BOJ) Governor Kuroda had his speech at the BOJ quarterly branch manager's meeting in Tokyo, where he confirmed that the central bank would follow the current monetary policy until inflation hits the target at 2%. The USD/JPY responded with a significant rise this week after five continuous trading days. A few hours then, the European Central Bank (ECB) Governor Draghi had two speeches due to the testify before the European Parliament Economic and Monetary Affairs Committee in Brussels.

England took the stage on Tuesday with the important first-time release of monthly GDP. The index landed at 0.3%, with not very clearly reactions from the market. Meanwhile, the June’s Manufacturing Production was also made public with the actual number far lower than forecast (0.4% compared with 1%). The GBP/USD had a week falling in general with only a small recovery on Thursday.

The ECB Governor Draghi opened Wednesday with a speech to deliver opening remarks at the ECB Statistics Conference in Frankfurt, where he made no comments on the near future policy on monetary. In the North of America, the Bank of Canada (BOC) had significant releases including BOC Monetary Policy Report, Rate Statement, and most importantly, the Overnight Rate. The experts’ forecast on the rate was absolutely correct when the Overnight Rate was announced at 1.5%. The Greenback – Loonie exchange rate had a bullish week with only a considerable drop on Thursday. On the same day, the Bank of England (BOE) Governor Carney spoke about the global financial crisis at the National Bureau of Economic Research conference in Boston, with no specific mention to the movement of BOE on the monetary policy.

On Thursday, the ECB Monetary Policy Meeting took place with a broad support for the dovish movement. The remarkable positive view of the market with strong growth and gradually increasing inflationary led to the ECB’s June potential decision to announce an end to the QE program. The EUR/USD exchange rate responded with a considerable fall, in general, this week after four continuous significant drops. Back to America, the Bureau of Labor Statistics had published the June’s CPI and Core CPI, in which the CPI was lower than forecast (0.1% in compared with 0.2%), while the Core CPI was equal to one (both at 0.2%). Nonetheless, the star of Thursday was the speech of the FED Chairman Powell. Being interviewed by Kai Ryssdal, Mr. Powell shared the way things work at FED, and that every single movement of FED on the market was not affected by the government. This could be considered a direct reply towards recent “public advises” from the President Trump's government to the works of FED. After this week, the Greenback value rose towards other major currencies including EUR, GBP, and AUD.

Friday came with the releases of important indices around the world. In the middle of the Trade War with the U.S, the June’s Trade Balance of China was published at 262B, which is much higher than the forecast at 188B. Meanwhile, the MPC Member Cunliffe had his speech at the Cumbria Chamber of Commerce in England, and the Prelim UoM Consumer Sentiment was announced by the University of Michigan.

 MPC Member Cunliffe
Source: TeleTrader.com

In the cryptocurrency sector, the world’s most famous one this week has spent a week falling modestly. At the time of writing, BTC/USD is trading around $6,244.9.

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