Economic uncertainty and mixed signals on global markets
The OECD (Organisation for Economic Co-operation and Development) warns that the global economy is likely to slow down. Instead of faster growth, the organization sees risks due to the economic situation in the United States and persistent inflation. This is creating a cautious atmosphere in international financial markets.
Despite this warning, European stock markets showed a positive picture around noon. Prices rose after strong economic figures from China were released. These figures gave investors in Europe some hope for a good trading day, despite global uncertainty.
In the United States, the situation on the stock market at the start of the day was less clear. Predictions for the opening of Wall Street fluctuated between a small rise and a slight fall. Investors remained cautious due to a series of new economic reports published on Monday.
Those reports show that the US economy is cooling down in some areas. Retail sales rose less in February than experts had expected. Manufacturing activity in the New York region, measured by the Empire State index, also showed an unexpectedly sharp decline in March.
Additionally, confidence among US homebuilders fell further in March, which is an important signal for the stability of the housing market. On the other hand, business inventories in the United States rose in January exactly in line with economists' expectations.
In the commodities market, there is currently a lot of attention on gold. The bank UBS expects the gold price to rise further in the coming period. Last week, the price of gold already reached a record high of more than $3,000 per troy ounce, and analysts believe this upward trend will continue for the time being.
Finally, there is a lot of movement in the world of cryptocurrencies. Analysts are keeping a close eye on the Ripple (XRP) coin, which must soon choose a clear direction in the market. Investors are wondering if a major breakout is coming, as the crypto market currently offers both great opportunities and risks.