World stocks gain after tariffs began

The deadline of trade tariff between U.S.A. and China took effect on last Friday so 34 billion dollar has billed for 818 Chinese import goods and 545 U.S. import goods. Last week this factor pulled stock markets hard in Asia including Thailand but it may be reduced when markets absorb this event. I think Asian shares may rise higher on Monday (Nikkei may rise following Dow Jones and SET may raise following Asian markets).
The released nonfarm payrolls in the United States which is higher than forecast to 213,000 positions but unemployment rate rose to 4%. These indices may show the strong economy in U.S. but there is the signal of slower growth than Fed expected. Following the Fed policy to hike the interest rate gradually, if U.S. economy is not as hot as Fed forecasted, Fed may rethink about rising interest rate in Q3 and Q4. This factor may pressure U.S. dollar softer on Monday. Therefore, EUR/USD may head up to 1.1800 points on Monday and I suggest 1.1700 as a support line.
The softer greenback may support gold price to break the first resistant line at 1,260 dollar and then head up to 1,270 dollar and I suggest 1,255 dollar as a support line.
Bitcoin price rose to 6,800 dollar on Sunday and fell lower. I think Bitcoin just take a breath before rise up again. It may move in the narrow frame around 6,680-6,770 dollar on Monday. If Bitcoin can break 6,770 and continue to swing up, it may head up to 7,000 dollar.
Economic indices in focus:
• Switzerland: Unemployment rate (Jun) at 12.45 a.m.
• Europe: ECB President Draghi Speaks.

By Niramon Nitnitiphruet
Financial analyst, Olymp Trade.

Olymp Trade Review