We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Mixed
GBP/USD
Bullish
USD/JPY
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Bitcoin
Bearish
More View more
Real Time News
  • The latest UK General Election opinion polls continue to show the Conservative Party holding a strong lead over Labour and point to Boris Johnson winning a working majority in Parliament. Get your $GBPUSD market update from @nickcawley1 here: https://t.co/qF04EOUWkI https://t.co/LNl4bXbnpp
  • Recent polls have put Conservatives ahead of Labour and given a boost to $GBP. Get your #Brexit update from @ZabelinDimitri here: https://t.co/l2n53C0cYY https://t.co/oTWfXkaDDt
  • What are the truths and myths of #forex trading? Find out from @DailyFX analysts here: https://t.co/uF75VPzstr #FOMOintrading https://t.co/xeromAGqqx
  • Macro data from around the world have long attested to the urgent need for a trade settlement between the US and China. Increasingly the corporate numbers are saying the same. Get your market update from @DavidCottleFX here:https://t.co/Qon7QUO80c https://t.co/rCOG78QQ2M
  • #Gold prices may fall while the US Dollar gains even as economic policies championed by the Trump administration invite inflation. Get your market update from @IlyaSpivak here: https://t.co/4lHhHsby56 $XAUUSD https://t.co/JmZxckVHdS
  • Cable (GBP/USD) remains just off its seven-month high print around 1.3165 as traders start to move to the side lines ahead of next Thursday’s General Election vote. Get your $GBPUSD market update from @nickcawley1 here: https://t.co/CpCh13J9ZH #Brexit https://t.co/PIh6WUqbsK
  • (Weekly Technical Outlook) GBP/USD, EUR/GBP, GBP/JPY, GBP/CAD Outlook as UK Election Looms $GBPUSD $EURGBP $GBPJPY #UKelection2019 - https://www.dailyfx.com/forex/technical/article/fx_technical_weekly/2019/12/07/GBPUSD-EURGBP-GBPJPY-GBPCAD-Outlook-as-UK-Election-Looms.html?CHID=9&QPID=917702 https://t.co/iuILHYczJ7
  • Why do you require consistency in trading and why does it matter? Find out: https://t.co/WlEFlluGfZ #tradingstyle https://t.co/TkMtJQKatx
  • By issuing debt denominated in $USD, China is making a long-term bet that it will be cheaper to pay back its loans over time in the US Dollar; it believes the value of the US Dollar will fall. Get your market update from @CVecchioFX here:https://t.co/5GO9UrvO4y https://t.co/xV9urXXf48
  • What are some risk trading management techniques? Find out: https://t.co/RShdlDz9RA #tradingstyle https://t.co/M3ASPIHAep
US Stocks Temporarily Soar on Rumor US May Roll Back Chinese Tariffs

US Stocks Temporarily Soar on Rumor US May Roll Back Chinese Tariffs

2019-01-17 20:53:00
Rich Dvorak, Junior Analyst
Share:

Talking Points:

  • US stocks jump then dump on conflicting trade war headlines
  • White House reported to consider scaling back trade tariffs on China only to be negated by statement from Treasury Department spokesperson
  • Frequency of jawboning headlines has increased, but a Trump executive decision could still happen at any time

The US stock market just experienced a roller coaster ride in afternoon trading as conflicting headlines regarding tariffs and the US-China Trade Warcame across the wires from the Wall Street Journal and CNBC. Just as the S&P500 began to pull back from a heavy resistance at the 2,625 level that formed a triple top, news spread that the White House is considering rolling back tariffs on China. Stocks immediately jumped on the news and quickly reached fresh intraday highs well above prior resistance.

Shortly after, however, CNBC received report from the Treasury Department spokesperson that “Neither Secretary Mnuchin nor Ambassador Lighthizer have made any recommendations to anyone with respect to tariffs” which caused stocks to erase nearly all of the short-lived gains.

US S&P500 INDEX PRICE CHART: 1-MINUTE TIMEFRAME (INTRADAY JANUARY 17, 2019) (CHART 1)

SPX S&P500 Index Price Chart Trade War Comments January 17, 2019

This is not the first time the markets have seen positive trade war headlines, especially as of late. Just last week there was similar speculation that the White House was contemplating decelerating its trade war with China that helped bolster investor hopes of a deal coming soon.

While the Treasury Spokesperson denies that a formal recommendation was made to the White House, President Trump could act unilaterally without a recommendation from Mnuchin or Lighthizer – and America’s Chief Executive has not shied away from doing so. Although, investors should still be wary of jawboning remarks like these that bolsters sentiment and stocks despite not carrying any fundamental substance (yet).

---

Written by Rich Dvorak, Junior Analyst for DailyFX

Follow on Twitter @RichDvorakFX

Check out our Education Center for more information on Currency Forecasts and Trading Guides.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.