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Volatility on the rise, markets trending downward There is an increase in volatility within the markets, leading to a downward trend. Forex Shares Commodities Exchange rate Volatility Economy Jeremy Naylor | Analyst, London | Publication date: Tuesday 08 August 2023 09:32 (Video Transcript) UK retail sales The UK's retail sales have been impacted by heavy rainfall in July, resulting in a slowdown in growth. Similarly, Chinese trade is also down, with worries about both exports and imports as the economy continues to weaken. Another significant development is that Beyond Meat, a popular plant-based meat company, has lowered its expectations due to challenges in finding markets. This news has caused a drop in the company's stock price. Volatility Additionally, there is an increase in volatility within the markets, leading to a downward trend. The mining sector, specifically Glencore, is expected to have a tough start in the trading session today due to poor financial results for the first half of the year. The European market is also experiencing a decline, mainly because of concerns surrounding the German economy. Furthermore, Chinese exports and imports being down have had a negative impact on the Hang Seng stock index. However, there is some positive news for the US markets as the Dow Industrials and Nasdaq have both seen gains. On the other hand, sterling has shown a decrease after two consecutive days of gains. In terms of online sales, overall, there is a decline, but some categories such as furniture and health are still performing well. It is important to note that the US inflation data, expected to be released on Thursday, will heavily influence the markets. Forex As for currency exchange rates, the dollar is currently hovering just above a line of support before the CPI data is released on Thursday. Meanwhile, the euro/dollar exchange rate is recovering and is above the 110 level. Moreover, the dollar/yen exchange rate is up against a weakened yen. In conclusion, there are growing concerns about the direction of the economy, particularly with regards to China and Germany. Factors such as retail sales, trade, and corporate earnings are contributing to increased market volatility. This is reflected in the current trends in oil prices and gold losses. This is here for you to catch up but if you have any ideas on markets or events you want us to relay to the TV team we’re more than happy to.

Markets continue to prepare for the Chinese and US CPI readings, the main events of the week. Overnight, trade data from China came in very poor, with both imports and exports dropping by more than expected. Earnings season continues to diminish in the pace of figures to be released, leaving the inflation figures the main data to watch for traders. The growing impression of a 'soft landing' for the US economy has helped fuel optimism around the outlook for next year, though much of that will depend on a continued fall in the pace of inflation.

Hi @JSzal Yes, however, please note that for all other times after the underlying market has closed, the S&P 500 will be priced out of hours. All the best -KoketsoIG

Gold price lower ahead of key China-US data events Gold extended losses on Monday but recovered slightly from last week before the release of key economic data from the US and China, while rising US Treasury yields has weighed on gold in recent sessions. Forex Commodities Gold United States Gold as an investment Price IG Analyst | Publication date: Monday 07 August 2023 13:58 (Video Transcription) Gold makes small recovery With Angela Barnes, IG financial analyst Well, gold extended losses today, but has recovered slightly from last week before the release of key economic data from the US and China as the market struggles for clear direction. Looking at the gold price chart today, gold is down about 0.35% today and it's trading around $1,936 an ounce. So, rising US treasury yields driven by concerns over higher interest rates and a US ratings downgrade has weighed on gold prices in recent sessions and a recovery in the US dollar has also put pressure on gold. Worst performance in a month On Friday, the precious metal saw some relief following weaker than expected US non-farm payrolls data. However, it still closed the week about 1% lower, marking its worst performance in over a month. Although since the start of the year, gold has gained about 8%.

Crude prices were marginally lower on Monday but remained elevated after six weeks of gains following Saudi Arabia extending crude output cuts into September. IGTV’s Angela Barnes has more. Commodities Petroleum Price of oil IG Analyst | Publication date: Monday 07 August 2023 14:00 (Video Transcript) Crude price remain high With Angela Barnes, IG financial analyst Crude oil prices remain elevated today on supply concerns. Prices are marginally lower today but remain elevated as I said after six weeks of gains with Saudi Arabia deciding last week to extend crude output cuts into September and Russia also reduced it in exports. Let's first of all look at the Brent charts. It's trading down now, actually about 0.8%, so just marginally lower. It's been very flat this morning and trading around $85 a barrel but since 20 June, though Brent has gained nearly 20% supported by those supply tightness concerns. WTI trading down If we turn to the US WTI crude price chart now you can see that the price is also down about 0.82% and WTI is trading about $81 a barrel, the price also marginally lower but remaining elevated too just like Brent with its price up around 17% since 20 June. Meanwhile, a slow recovery in Chinese demand and inflationary pressures have been putting pressure on oil prices.

Hi @BrinDD, Thank you for your post on stops on US shares. Kindly advice which type of account you are trying to place the stop to sell on? Please be mindful of the fact that no stop losses, trailing stops or guaranteed stops are available with share dealing. Looking forward to your response, KoketsoIG.

Hi @grechster, Thanks for you post. Please note that I have responded via private message as I will be requiring your personal details in order to have a look at this. All the best -KoketsoIG

An initial move higher in Wall Street last Friday eventually faded into the close, as market participants took the opportunity for further profit-taking into the seasonally weaker month of August. Source: Bloomberg Forex Indices United States dollar AUD/USD Bank of Japan Japanese yen Yeap Jun Rong | Market Strategist, Singapore | Publication date: Monday 07 August 2023 04:07 Market Recap An initial move higher in Wall Street last Friday eventually faded into the close (DJIA -0.43%; S&P 500 -0.53%; Nasdaq -0.36%), as market participants took the opportunity for further profit-taking into the seasonally weaker month of August. The focus was on the US July non-farm payroll report, which saw a miss in job addition for the second straight month (187,000 vs 200,000 consensus) but nevertheless, a downtick in unemployment rate (3.5% vs 3.6% consensus) and pull-ahead in wage growth (4.4% YoY vs 4.2% consensus) still denote signs of a tight labour market. The data may support soft landing hopes, but persistent wage pressures seem to suggest keeping an eye on inflation risks ahead, alongside recent upmove in commodities prices over the past month. For now, market participants will want to see more evidence of inflation back on the rise to price for additional tightening, which will leave all eyes on the US Consumer Price Index (CPI) data this week. US Treasury yields reacted to the downside, which put the US dollar on a slight breather (-0.3%) following its recent rally. For the Nasdaq 100, the index continues to hover below its 15,400 level, which serves as a neckline for a near-term double-top formation. An attempt to reclaim the level last Friday was met with some resistance, which still denotes near-term exhaustion to its recent rally. Further downside may place the 14,800 level on watch next, where the upper edge of its Ichimoku cloud support stands. Source: IG charts Asia Open Asian stocks look set for a weak open, with Nikkei -0.67%, ASX-0.03% and KOSPI -0.06% at the time of writing, largely displaying a cautious tone following last Friday’s reversal on Wall Street. The release of the Bank of Japan (BoJ)’s summary of opinions this morning revealed wide consensus for its yield curve control policy to be more flexible, which saw some firming in the Japanese Yen upon its release. Nevertheless, the bias for the USD/JPY still seems to lean on the upside for now, having defended the lower trendline of its ascending channel pattern lately with a bullish pin bar formation. The 138.90 level could be a crucial support confluence to hold for the pair, where its 100-day moving average (MA) coincides with the lower channel trendline and the lower edge of its Ichimoku cloud support. For now, its relative strength index (RSI) continues to trend above the 50 level, which puts buyers in control. The 145.00 will remain an immediate resistance to overcome ahead, having seen a sell-off in early-July this year from renewed speculations around currency intervention. Heading towards the 145.00-145.80 level, where previous intervention efforts were delivered back in September 2022, could potentially trigger some jawboning from authorities once more, which may reignite some resistance for the pair. Source: IG charts On the watchlist: AUD/USD moves below key support A rate hold from the Reserve Bank of Australia (RBA) last week, alongside a more subdued risk environment and mixed economic data out of China, has prompted the AUD/USD to fall below its horizontal support at the 0.659 level. This seems to point towards a breakdown of a near-term double-top formation, with a retest of the 0.659 level last Friday met with a bearish rejection. Its moving average convergence/divergence (MACD) has crossed back below the zero mark, with its RSI sliding further below the 50 level, which seems to put sellers in control for now. Further downside may leave its year-to-date low at the 0.645 level on watch next, while on the other hand buyers may have to reclaim the 0.659 level to support a move back towards the 0.678 level. Source: IG charts Friday: DJIA -0.43%; S&P 500 -0.53%; Nasdaq -0.36%, DAX +0.37%, FTSE +0.47%

Stocks poised for slight increase Stocks are expected to open slightly higher, with a focus on upcoming earnings releases and economic data from the US and China. Indices Commodities Inflation United States China Interest rate Angeline Ong | Financial Analyst, Presenter and Content Editor, London | Publication date: Monday 07 August 2023 09:34 Stocks overview Stocks are expected to open slightly higher, with a focus on upcoming earnings releases and economic data from the US and China. Hathaway Hathaway has reported its highest-ever operating profit, while investors were analyzing the recent Halifax reading for the UK health filters sector. The company reported its highest-ever quarterly operating profit, primarily due to rising interest rates and better results in the car insurance unit. European market The European market is about to open, with slight increases expected in the FTSE and DAX, but volatility will be impacted by the Bank of England's interest rate hike. France 40 remained mostly unchanged or slightly higher. Asian share market Moving to Asia, share markets were cautious due to a mixed US jobs report, leading to a bond rally. Japan's central bank is set to release its summary of opinions for its meeting where adjustments will be made to the yield curve control policy. US jobs Wall Street has closed mostly down, with mixed earnings reports and slower US jobs growth affecting the market. Apple Apple shares fell, impacting the S&P 500, while Amazon saw an increase after announcing a brighter outlook for the third quarter. Looking ahead to the US market, the pre-market showed a similar cautious sentiment as investors awaited more earnings releases and key inflation data. China's trade and industrial data China's trade and industrial data, to be released later in the week, were expected to provide insights into the country's recovery. However, the rebound in China has been limited, with companies like Unilever, Nissan, and Caterpillar warning of slowing earnings. Only a few sectors, like travel, dining, and luxury goods, have seen double-digit sales growth. UK housing market German industrial production, fell more than expected in June. On the other hand, the UK housing market showed resilience as first-time buyers sought smaller homes to offset borrowing cost increases. Oil overview In the oil market, Saudi Arabia extended its output cut, causing oil prices to edge lower, albeit remaining near the highest levels since mid-April. Gold overview Gold prices have been volatile due to inflation concerns and anticipation of US inflation numbers. This is here for you to catch up but if you have any ideas on markets or events you want us to relay to the TV team we’re more than happy to.

Explore the factors behind the AUD/USD's third consecutive week of decline, including risk aversion selling, RBA's rate decisions, and the influence of global bond market dynamics. Source: Bloomberg Forex United States dollar Bond AUD/USD Australian dollar Risk Tony Sycamore | Market Analyst, Australia | Publication date: Monday 07 August 2023 08:19 Last week, the AUD/USD closed lower for a third consecutive week due to risk aversion selling and following the RBA's decision to keep rates on hold at 4.10%. Impact of global events on AUD/USD The risk aversion selling was triggered by a significant rise in yields on the typically stable US 30 bond during the week. The US Treasury's unexpected announcement of larger sizes for upcoming auctions caught the market off guard, leading to bond market malaise. This was further exacerbated by spillover effects from the BoJ's meeting, which saw a slight adjustment to YCC, and the Fitch downgrade of the US credit rating. We firmly believe that it is not just the direction of yields that influences cross-asset volatility, but rather the speed of the movement that causes dislocation. Hence, market participants will closely monitor this week's quarterly auctions of 10-year notes and 30-year bonds to gauge the level of demand. Any signs of bond market indigestion may quickly impact other risk assets, including the AUD/USD. Domestic factors influencing AUD/USD On the domestic front, key events influencing the AUD/USD will be Tuesday's consumer and business confidence surveys. With the RBA's decision to hold rates and lower inflation, we expect consumer sentiment to rebound towards 85 from the previous 81.3. Meanwhile, the NAB Business Confidence index is likely to see a slight decline from 0 to -1.

In Asia, the markets have seen a slow start to the week, with no significant news to drive any major movements. Recent comments made by board members at the Bank of Japan indicate that they view raising the cap on bond yields as a means to prolong the period of accommodative monetary policy, rather than a step towards its imminent end. Investors will be closely watching the inflation figures from both the United States and China this week, as they pose significant tests for the market. Last month's downside surprise in U.S. CPI had a substantial positive impact on markets, so there is a risk that meeting expectations might disappoint investors.

Please see the expected dividend adjustment figures for a number of our major indices for the week commencing 07th Aug 2023. These are projected dividends and are likely to change. IG cannot be held responsible for any changes made. Dividends highlighted in red include a special dividend, therefore some or all of the amount will not be adjusted. The amount in brackets is the expected adjustment after special dividends are excluded (where shown on major indices). Dividend adjustments due to be posted on a bank holiday will usually be posted on the previous working day. If you have any queries or questions on this please let us know in the comments section below. For further information regarding dividend adjustments, and how they affect your positions, please take a look at the video. How do dividend adjustments work? This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently, any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation, and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See the full non-independent research disclaimer and quarterly summary.

Hi @ssukha, Thank you for the post. As mentioned in your post above, the overnight adjustment is broken down into two parts: the daily movement along the futures curve (basis), and the IG charge. The basis equates to the daily movement of our undated price along the futures and may be a credit or a debit. This will either be a positive or negative number depending on the direction of your trade and the slope of the forward curve. In addition, the magnitude of the basis will depend on the spread between the front and back future, big spreads will cause big overnight adjustments. For example, if you were short, and the next future contract was lower than the front contract then the adjustment would be a debit. So it is not necessarily that short trades equate to credits. If you need further clarifications related to the overnight costs on your account, please reach out to helpdesk.uk@ig.com. I hope this helps. KoketsoIG

Hi @Ant1971 Thank your for contacting us. Please be informed that we try to keep our demo accounts as similar to the live accounts as possible. This means that you’ll find much of the functionality very similar to using a live account, but there are key differences. These include (but are not limited to): - Trades made through the demo account will not be subject to slippage, interest or out-of-hours price movements. - Trades may be rejected if you have insufficient funds to open them, but, unlike on a live account, will never be rejected on the grounds of size or price. - Trades will not be closed if you have insufficient funds to cover margin and running losses, which can happen on a live account. All the best, KoketsoIG

Hi there @nerak99 Thank your for contacting us today. Please follow the following steps to edit your book cost on the desktop platform: 1. Select the Positions tab in the side-bar and click ‘add to workspace’. 2. Click on the menu button next to Market, then select book cost. 3. You can adjust the book cost by clicking on the value directly. See how it will affect the average price and P&L by clicking on the dropdown arrow to the left. 4. Click ‘set book cost’ or simply click elsewhere on the screen to confirm. You can also follow the link to our platform for your reference: Book Cost Editing Thanks, KoketsoIG.