This week again, the markets have been reasonably volatile. Most binary metals as well as other commodities such orange juice and lumber indexes gained some ground, which is a typical market behavior during this time of the year. This is because trading activity is slowing in August.
Moreover, it is important to note that the weather forecast is expecting cooler weather conditions with some chances of showers for the next 10 days. This is very likely to assist to an extend corn producers. Additionally, the soybean crops should also benefit from the rains and the cooler temperatures.
The biggest winner of the week is Orange Juice. This binary index managed to increase by a whole 6.6%, which replaces NIKKEI 225 as the winner of the week. As it could be seen the rise in the binary options is significant.This should not be a surprise for most binary option analysts when taking into account the weather forecast for the next few days. During raining days, crop selection usually becomes more difficult and as a result slows down.
The next winner of the week is Platinium. This binary commodity continues to extend its rise, closing at $ 143.52. The binary instrument appreciated by 4.1%. It just surprised the gains of the last week’s winner, Nikkei 225, which marked gains of 3.1% for this week.
On the other hand, the biggest loser of the week is Lean Hogs, which lost – 17.1%. It replaced last week’s top loser sugar, which decreased by 4.9%. This binary asset closed at lower levels, as Brazil exports continued to increase. For a second week in a row, the other huge weekly loser is Coffee, which this week depreciating by -4.8. Last week coffeee lost 3.6%, closing at $1.71.
Furthermore, the worst performing index is DJA, which gained only 0.5%. It is followed by S&P 500 with advances of 0.8%. On the other side, the best performing indexes turned out to be Nikkei 225 with 3.1% gains, followed by Nasdaq 100 marking advances of 1.8%.
The European currency pairs are not in their best times. The Euro gained only 0.3%. This is mainly becasue the euro is lower as binary traders take into account yesterday’s comments from euro zone leaders. Germany’s Chancellor Merkel said Germany is “in line” with the approach the European Central Bank is taking to defend the euro.
Moreover, the euro currency depreciated because of the reports that Merkel is considering easing the bailout terms for Greece, which was met with resistance within her own party. The next European Central Bank meeting is scheduled for on September 6, and on September 12, when the German constitutional court will rule on the legality of the euro zone’s new bailout fund. During those dates major shift in the Euro are very likely to take palce.
The Australian dollar felt severely against the U.S. dollar, after Australia’s Treasury said the Reserve Bank of Australia could reduce interest rates if the recent increase in the Australian dollar starts to adversely impact the Australian economy. At the same time, the U.S. economy is looking a little better, while the economy of the euro zone continues to deteriorate. Thus, this is helping the U.S. dollar, while it is bearish for the euro currency.
The range of change of the other traded instruments is between +6.6 % to – 17.1 %, as follows:
| ORANGE JUICE | + 6.6% |
|
PLATINIUM |
+ 4.2% |
|
NIKKEI 225 |
+ 3.1 |
| LEAN HOGS | – 17.1% |
| COFFEE | – 4.8% |
The above information is as of 17.08.2012, 2:36:45 EDT
Disclaimer:
The information in the above analysis is collected from different sources and should serve for informative purposes only. The author shall not be held responsible for the validity of the presented information. No part of this analysis recommends the purchase or sale of a currency pair or any other financial instrument.
