The stock markets remain calm shortly before the start of the European morning, after the high risk of overnight rally, with no major changes in the major currencies.
There is still a great debate as to whether we have seen the worst of the coronavirus or whether it is yet to come, but investors seem to be eager to leave it behind and enjoy record highs on the indices.
In such a situation, risk will again be a key factor and is expected to be attractive to cash flows. The economic calendar in Europe will not give us the catalysts we need today, so I expect a continuation of the upward movement in the indices – a strong start in Europe, profits for major financial and technology companies.
Oil is at strong support levels, and after more than a week of declines, we may see a correction. This will support the Canadian, which remains divested against most currencies and may have a reversal in the medium-term trend.
Trader Aleksandar Kumanov