Fundamental Analysis – 17/02/2016

Good Morning,

Saudi Arabia and Russia, the world’s two largest crude-oil exporters, said Tuesday they would halt production increases as long as other major producers followed suit, but prices fell anyway as investors looked for more-concrete action to reduce the global glut of petroleum. Federal Reserve Bank of Minneapolis President Neel Kashkari suggested Tuesday breaking up “too big to fail” banks in order to prevent a future financial crisis. After an extended holiday weekend, Wall Street financials up 1.8%, and consumer discretionary stocks up 2.5%, were among the best performing sectors on the session after showing some of the largest declines for the year. Building on Friday's rally, the S&P 500 tallied its biggest two-day percentage gain since August.GBPUSD Under Pressure on Weak U.K. Core CPI- Retail Position Moving Back to Extreme. USDCHF is trading at 0.9887 while USDCAD is trading at 1.3879.

United Kingdom Consumer Price Index (YoY) in line with expectations (0.3%) in January. The FTSE 100 closed up 37.89 points at 5,862. The head of the European Central Bank Mario Draghi appeared before the Economic and Monetary Affairs committee in the European Parliament, where he spoke of the ECB’s determination to act, as it becomes increasingly likelier that the quantitative easing program will expand. The European Central Bank returned to Germany's constitutional court on Tuesday to defend an emergency plan made at the height of the economic crisis in a long-running legal battle with a group of Germans who want to curb its power to act. European Monetary Union ZEW Survey - Economic Sentiment registered at 13.6 above expectations (10.3) in February. EURCAD is trading at 1.5461 while EURGBP is trading at 0.7793.

Global equity markets rose on Tuesday as investors engaged in bargain hunting, even as oil prices relinquished early gains and turned lower after an agreement among top producers to freeze output faced obstacles for completion. Hong Kong real estate prices have dropped significantly. China’s stock market has become one of the most visible symbols of the government’s struggle to win back investor confidence. CADJPY has set well-defined weekly & yearly opening ranges ahead of key inflation data this week. GBPCHF is trading at 1.4126 while EURCHF is trading at 1.1014.

Daily Performances (4.00 am. GMT);

I hope you all have a nice day.

All the figures are as at the writing time.