Risk-on Wednesday as fiscal stimulus draws closer

Wednesday started with a bullish mood, and US equity indices were up nearly 1%, while EU bourses were expected to open half a percent strong. 

The White House and Democrats in the US Congress moved closer to agreement on a new coronavirus relief package on Tuesday as President Donald Trump said he was willing to accept a large aid bill in an attempt to get a deal done before the November 3 election.

In Europe, new COVID cases are rising vertically in most countries, leading to restrictions, curfews, and non-essential business closures. 

Later today, Canadian inflation indices are due, which will most likely influence the USDCAD pair. 

The USD has been under pressure this week, and the EURUSD pair broke above its October highs of 1.1830, which opened the way for a rally toward 1.19.

Gold and silver were bid strongly today, with the former up 0.7% and the latter higher by 1.5%. Silver finally conquered the psychological level of 25 USD again.

Markets are anxious as the stimulus deal is getting postponed, but it looks like today§s trading might be in a bullish regime for stocks – they need to end the 6-day consecutive streak of losses.

Source: https://www.axiory.com/market-news/risk-on-wednesday-as-fiscal-stimulus-draws-closer