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Markets eye ECB press conference
Traders await signals on future rate adjustments amid EU's sluggish growth.
The Dow closed above 41,000 for the first time; Goldman Sachs warns of an imminent correction.
The S&P 500: Reached 38 new all-time highs in 2024, the strongest performance since 1995.
Euro climbs to 1.098; markets expect no policy changes but volatility possible with any rate adjustment hints.
The yen
Bank of Japan reportedly intervened last week by buying nearly 6 trillion yen, boosting the yen. Market speculate that the series of interventions will not pause till the yen appreciates further against the dollar.
The Dow
The Dow Jones closed above 41,000 for the first time as bull run continues, however Goldman Sachs cautions traders that a correction is due soon pointing to several indicators that the correction is imminent at this point, and a downturn is well due urging clients not to buy the dip.
The bank also pinpointed to how the S&P 500 hit 38 new all-time highs in 2024, to be the strongest since 1995.
The ECB
The euro has risen to 1.098 ahead of the upcoming ECB announcement. Markets largely anticipate no changes to the current policy but any indications regarding future rate adjustments, especially given the EU's sluggish growth, are likely to trigger volatility.
Inflation in the eurozone has fallen from a peak of 11.6% in October 2022 to 2.5% in June, slowly approaching the ECB's goal of 2% considered best for the economy.
