Here’s what you need to know on Wednesday April 7th:
Market sentiment remains optimistic amid higher growth expectations. Falling US yields are pulling the dollar down. President Biden is set to provide an update on his spending plans, and investors are looking at the Fed minutes to see if there is any upward trend in rates. Cryptocurrencies are consolidating previous advances.
International Monetary Fund (IMF) increased global growth forecast up to 6%, so far there have been discrepancies between countries. Vaccination campaigns and budgetary incentives fall short of updated projections.
The US dollar is losing ground as the yield on US Treasuries fell to around 1.65% as investors buy bonds after a previous sell-off on upbeat US data. The most recent such indicator was the number of vacancies at JOLTs, which surpassed estimates of 7.4 million in February.
US President Joe Biden needs to comment on the proposed infrastructure and tax program. According to a Senate parliamentary ruling, Democrats will be able to carry out such a $ 2.25 trillion scheme without Republican support. Negotiations within the party are critical to getting it through.
Biden put forward a goal to offer vaccines to all Americans from May 1 to April 19, which added optimism.
AT Federal Reserve Meeting Minutes The results of the March meeting could shed light on how many members expect interest rate hikes sooner rather than later. The Fed is more optimistic than before, but calls for caution.
See March 16-17 FOMC Meeting Minutes. Preview: Growth Without Inflation?
Pound / US dollar trading near 1.38 consolidating its decline despite an upbeat vaccination campaign in the UK that will have another chance to raise its hand from Moderna vaccines.
EUR / USD took advantage of the upbeat sentiment and hit 1.1850 on Tuesday after the EU released its vaccine projections. By the end of June, the bloc aims to surpass half of the population. On the other hand, concerns about AstraZeneca injections persist. An update on the potential link between vaccinations and blood clouds should be released later in the day.
WTI Oil rose to $ 60 amid better expectations for global growth, but prospects for Iran’s return to the grid are weighing on prices. Data on oil reserves are expected.
Cryptocurrencies: Several altcoins such as XRP, Cardano, Binance Coin, as well as Ethereum are consolidating their gains after rising earlier in the week.
Top 3 Bitcoin, Ethereum, Ripple Price Predictions: Institutional Demand Rises as Cryptocurrency Market Approaches $ 2 Trillion