Gold news.
The price of the precious metal has always pleased those who decided to invest money in gold with surprises, and this time there were some surprises.
As soon as forecasts became known in which Trump would win the US presidential election, the price of gold increased, and it seemed that a fairly stable trend had formed.
The surprise was the price drop after the news from India; who would have thought that the fight against the shadow economy could bring down the gold market.
After the Indian government decided to withdraw from circulation and exchange the highest denomination banknotes, Indian investors had no time for buying gold.
And as you know, this country is the largest consumer of precious metal and often forms market demand.
US GDP growth forecast.
No matter what skeptics say about Trump’s election, most analysts have adjusted their forecasts for US economic growth.
According to experts, US GDP growth is expected to be 2.2% in 2017; according to preliminary forecasts made earlier, this figure was at 1.5%.
That is, with Trump, the American economy will grow 0.7% faster next year, which is quite a lot, given its size.
An equally optimistic long-term forecast is that growth is expected at 2.4% in 2018.
The forecasts are based on the plans of the new president, which he announced after his election, but in fact these are only plans, and they do not always come true.
US government bonds – a downward trend is just around the corner.
No matter how much there is talk about the insolvency of the economy of the United States of America and its proximity to collapse, US government bonds still remain one of the most attractive investment instruments.
Moreover, these securities are mainly used by Central Banks to create reserves that stabilize national currency units.
Recently, the yield on government bonds has increased significantly and reached 1.734%, in fact this is the maximum for 2016.
It would seem that an increase in yield clearly leads to an increase in price, but despite this, Russia and China began to gradually reduce the share of this type of securities in their reserves.
The Russian portfolio lost weight from 89.1 to 76.5, that is, by 12.6 billion, while China sold bonds worth $28.1 billion. It is clear that these amounts are quite insignificant, but still they can serve as the first bell to the beginning of a mass sale and the formation of a downward trend.
The rise in oil prices stimulates the ruble.
No matter how much skeptics claim cheap oil, their expectations were not met; Brent oil began to rise in price and reached $46 per barrel, while Light is selling at $45.
The reason for the rise in price was statements about the intentions of OPEC members to develop a plan to reduce oil production.
This information came from one of the employees of the Egyptian Ministry of Oil Production.
According to him, this issue will be the key one at the December summit; low prices do not suit the majority of OPEC participants.
The second reason that influenced the increase in oil prices was the terrorist attacks in Nigeria, due to which key oil pumping routes were damaged.
Trading volumes on American exchanges remain high.
As you know, one of the most significant indicators that influence the strength of a trend is volumes. They are the ones who can confirm or refute the existing trend.
The US elections followed by the election of Donald Trump as President caused a downward trend in most securities, market volatility reached unprecedented proportions.
According to the latest data, trading volumes on the New York Stock Exchange continue to remain high - on November 15, transactions were concluded with 800,000,000 shares, this figure is 45 percent higher than average volumes.
True, a growth trend is beginning to be visible, for example, the total number of securities for which the price has increased is 10% more than the number of those who have lost weight.
It can be argued that the market is gradually recovering from the shock and it is time to think about buying transactions.
Oil and the crisis of the Russian stock exchange
A record collapse in oil prices also created quite a lot of panic around the world. If earlier analysts said with a grin that the price of oil would not fall below $45, then today’s price of $30 per barrel hit the main indices of oil-producing countries very hard. So, by looking at the main Moscow RTS index, you can clearly see the consequences:
Collapse on world stock exchanges
The past 2015 and the beginning of 2016 were simply a shock period for large investors
around the world.
Many traders and analysts knew about collapses on world financial exchanges only from history in textbooks and financial magazines, and few of us could imagine that we would be able to see the so-called collapse with our own eyes.
On various information resources one could hear how the indices of the superpowers were rapidly falling, how the fall of the stock exchanges of certain states actively influenced the indices of other states, and it seemed that due to the loss of only one element, the entire financial system sank one after another along the chain.
Forex in Russia after the New Year, first impressions
The new law of the Russian Federation on the regulation of dealer activities in the Forex market has simply created
a huge panic among traders.
The fear of losing their money due to the banal blocking of bank accounts of brokerage companies by the National Bank of Russia led to the fact that clients began to massively withdraw their funds from their accounts and uncontrollably wait for the financial world to turn upside down in the new year.
However, despite the enormous panic and fear of traders, almost all brokers worked as usual and there were no disturbances on their part at all.
Only a few directors spoke out about the flawed nature of this law and hinted at consequences due to which even honest companies that paid all taxes to the state treasury would be forced to move to another jurisdiction, since they simply would not be able to compete with foreign competitors.
Good news on binary options.
Trading in financial markets has already firmly established itself as one of the most popular ways to make a profit.
At the same time , many experts agree that at the moment the most promising trading platform is the binary options market.
It allows you to earn money just by guessing the direction of the price of a particular asset, which does not require any special skills or financial education.
Only up or down! Moreover, the duration of transactions when trading binary options starts from 30 seconds, during which it is quite possible to double your deposit.
Recently, the attention of the Internet community has been fully captured by the company Verum Option, which has made a breakthrough in the field of binary trading. Skillfully combining all the achievements of Western European and American brokers with her own unique developments, she proposed a fundamentally new approach to trading.
What awaits Forex in Russia
The recently adopted law on the regulation of dealer activities in the Forex market has created a lot
of hype among traders and managers of brokerage companies.
Because of this law, rumors spread that most brokerage companies simply would not be able to obtain a license, which means that the companies would simply be liquidated.
The fear of losing money has forced a very large number of traders to withdraw their funds and move to companies that are under another jurisdiction.
The law itself will come into force on January 1, 2016, so you should figure out in detail whether it’s worth risking your deposit with the company or just withdrawing all your money during a panic. Is this law really so destructive for DCs and their clients and what awaits Forex in Russia in 2016?