Bank of America boosts Apple stock outlook on app store strength
By Michael Sheetz
Bank of America Merrill Lynch bumped its price target on Apple stock up to $250 per share from $230 per share on Tuesday, citing confidence in the tech giant’s push to diversify its mobile application offerings.
“The strong growth rate of non-gaming categories gives us increased confidence in the sustainability of strong App Store sale and reduces risk of dependence on one single category of Apps,” analyst Wamsi Mohan wrote in a note.
The firm raised its 2019 revenue estimate for Apple’s services business by about $800 million.
Netflix’s Bullish Engulfing Signals More Upside Ahead
Netflix, Inc. (NFLX) shares rose more than 8% this week, as of early trading on Tuesday, after the company announced that it would test ads for its original content in between episodes. While many users criticized the move on social media, the streaming giant noted that viewers would be able to “skip” the advertisements, and investors seemed to applaud the move as a way to increase revenue growth without hiking subscription fees.
From a technical standpoint, the stock moved sharply lower over the past two months following a double top in late June and early August. The stock reached prior support levels on Monday, rebounded sharply higher, and created a bullish engulfing pattern. The relative strength index (RSI) rebounded toward neutral levels, while the moving average convergence divergence (MACD) could see a near-term bullish crossover.
US Crude Oil Price May Rally Further, Stockpiles and Iran in Focus
By Martin Essex
The rally in the US crude oil price may continue short term after news that US crude stockpiles fell by 5.2 million barrels in the week to August 17, well above the 1.5 million draw predicted by analysts. The data from the American Petroleum Institute suggest that the official numbers from the US Energy Information Administration, due today, could show a larger decrease than the 2.0 million drop previously forecast.
In addition, worries are mounting about a potential shortfall of Iranian oil from November due to US sanctions.
EUR/USD Forecast: Trump-ed up but looking overbought
By Yohay Elam
US President Donald Trump sent the US Dollar down by commenting on the Fed’s policy once again. He criticized the central bank for raising rates and said he will continue doing so. He expressed his disappointment that Powell is not a “cheap money man” and criticized the EU and China for manipulating their currencies.
Another reason for the current consolidation is the expectation that the European Central Bank’s Meeting Minutes, coming out on Thursday, will remain dovish. In the recent meeting, President Mario Draghi clarified that the Bank will not raise rates before September 2019. It will be interesting to hear their tone about trade relations.
Another factor that causes concern is the global trade. While China and the US are talking, the US is still moving forward with levies worth $16 billion of Chinese goods. There are no indications that the this has been frozen.
Russian ruble extends losses as central bank resumes buying FX
By Reuters Staff
The Russian ruble on Tuesday headed back toward its weakest level since April 2016, which it hit earlier this month, after the central bank said it resumed purchases of foreign currency for state reserves late last week.
The ruble took a hit as central bank data showed it began buying foreign currency on Friday on behalf of the finance ministry, after putting daily buying of dollars and other currencies on hold for six days to ease downside pressure on the rouble.
Rhetoric and action from Washington toward Moscow remain in the spotlight.
U.S. President Donald Trump said in an interview with Reuters he would consider lifting sanctions on Russia if Moscow were to take steps to work with the United States on issues like Syria and Ukraine.
Risk Disclaimer: The information contained in this market review should not be construed in any way, as containing investment advice and/or a suggestion and/or solicitation for any trading activity and financial transaction. There is no guarantee and/or prediction of future performance. EuropeFX, its affiliates, agents, directors or employees do not guarantee the accuracy and validity of any information or data made available and assume no liability as to any loss arising from any investment based on the same. Trading Forex/CFD’s carries a high level of risk and can result in the loss of your whole investment. Forex/CFD’s are leveraged products and therefore Forex/CFD’s trading may not be appropriate for all investors. It is recommended that you do not invest more money than you can afford to lose to avoid significant financial problems in the case of losses. Please make sure you define the maximum risk acceptable for yourself.