WAVE OF OPTIMISM DOMINATES
The two major U.S. political parties came to an agreement on Monday to end the deadlock paralyzing government service without a major impact on markets. Stock markets continued to climb as the U.S. dollar dipped slightly.
Optimism reigns among major business leaders meeting this week in Davos for the World Economic Forum. According to a survey by PwC, 57% of CEOs expect better economic growth than in the previous year, a record level for this survey and the sharpest rise in 20 years. The return to growth in countries like Spain, Russia and Brazil are cited as reasons for optimism. Moreover, the International Monetary Fund (IMF) released its updated forecast for growth yesterday and noted that 2018 should see as much growth as the previous year.
This morning, the U.S. dollar is gaining ground against the other major currencies. The yen has been volatile further to the decision by the Bank of Japan to maintain its monetary stimulus program.
Mark Donohue
Range of the day: 1.2425 – 1.2545