Indices Eye V-Shaped Rebound After FOMC Minutes

Hello traders, welcome to the first trading day of PMI releases. Today we’ll get PMI numbers from all the major economies — France, Germany, the Eurozone, the UK, and the US. As has been the case for months now, services PMIs are expected to remain above 50, signaling expansion, while manufacturing PMIs should stay below 50, reflecting ongoing weakness in the sector.

Yesterday’s FOMC meeting minutes didn’t shake the market much. Traders noted the Fed’s concern about tariffs, inflation, and the labor market, but the minutes failed to bring any lasting momentum. Instead, the real story came from price action: US indices suffered a sharp intraday sell-off at the open but then staged a strong bullish reversal in the second half of the American session. That rebound is raising hopes for a possible V-shaped recovery. This morning’s European session isn’t euphoric but shows a cautious optimism — and, importantly, no panic selling.

On the currency market, the US dollar and British pound are both showing notable strength, while Central European currencies like the Hungarian forint, Polish zloty, and Czech koruna are among the weakest performers. In commodities, oil continues to climb after breaking out of a pennant formation to the upside — a bullish technical development. Metals joined the party yesterday, with gold and silver both making strong moves higher in the second half of the day, though today brings a modest corrective pullback.

The earnings calendar highlights one of the biggest events of the week: Walmart’s earnings report before the US market open, which will be closely watched for clues on consumer strength. Meanwhile, in the crypto space, all eyes are on Ethereum, which is locked in a battle around the $4,090–$4,100 support zone. That level was defended yesterday, and whether it holds or breaks will be crucial for Ethereum’s bull run — and potentially for sentiment across other altcoins as well.

Source: https://www.axiory.com/analytics/market-news/indices-eye-v-shaped-rebound-after-fomc-minutes