US Dollar Up, Amazon Pushes Up the US Stocks

Published on: 12 Jul, 2017

The United States dollar went up to two-month high peaks against the Japanese Yen on July 10. Excellent economic data from Germany led global equity markets to go north. It also helped that an online sale event by Amazon Prime led an increased interest in the US technology stocks. The American dollar went up after the Bank of Japan offered to purchase a large number of bonds. This follows an unanticipated drop in the Japanese machinery orders. These negative news put pressure on the Yen.

Amazon and the USD

Amazon  (NASDAQ: AMZN) shares went up due to the sale event the company held for a day. The event was taken advantage by people with the Prime membership subscription. It provided the maximum points to benchmark Standard & Poor 500. Apple (NASDAQ: AAPL) stocks trailed a little behind. The other biggest gainers were Microsoft (NASDAQ: MSFT) and Nvidia (NASDAQ: NVDA).

The dollar index, responsible for tracking the United States currency against six important world currencies, traded tepidly around 96.05. The dollar went up by 0.18 percent against Yen to touch 114.09 Yen. It had earlier touched 114.29 Yen, the peak level from May 11. According to Erik Nelson of Wells Fargo Securities, the American dollar has seen wide support in recent days. It is exhibiting recovery signs post weakness during the first week of July.

Yields on the US Treasuries slid after they rose for a week. This is in tandem with the weakness exhibited in the European bond markets. The investors have consolidated their positions after the IS non-farm payrolls report showed good news. This has kept the Federal Reserve on its track to raise the interest rates for a minimum of one time in 2017.

Technology gains and ETF traders

Wall Street stocks went up higher as technology gains outweighed the losses sustained in healthcare. Of the 11 Standard & Poor sectors, seven of them went up. The information technology index went up by 0.9 percent. The healthcare index spluttered down by 0.35 percent. Amazon went up to $998.87, a rise of 2.1 percent. Apple went up by 1.6 percent to touch $145.85.

Investors who prefer sectors, like ETF traders, have tried in recent times to take the lead position in the American equity market. They were unsuccessful and went back to the familiar technology sector. According to Rick Meckler of LibertyView Capital Management LLC, the largest motivation at present is the Amazon Prime day. The event has got people to buy from the e-Commerce giant once again.

Ratings

Ratings
  • 193Views
  • 0Comments

Recommend to Friends

  • facebook
  • Twitter
  • google plus
  • pinterest
  • Digg
  • stumbleupon
  • Reddit
  • linkedin

Danny Abramov

Email: Danny@financialbuzz.com

@Newsletter

Sign Up for Weekly Updates

Related Posts

26 Jun, 2017 217
27 Jun, 2017 239
13 Jul, 2017 211
20 Jul, 2017 205

Comments

There is no comment on this article