Markets Stay Subdued Ahead of Big Data and Earnings; Trade Talks Remain in Focus
| Action Insight Mid-Day Report 4-28-25 |
Markets Stay Subdued Ahead of Big Data and Earnings; Trade Talks Remain in Focus |
Trading remains notably subdued across global financial markets today as investors adopt a cautious stance. On deck are quarterly earnings from four of the "Magnificent Seven"—Amazon, Apple, Meta Platforms, and Microsoft. On top of that, key releases including US and Eurozone GDP, US non-farm payrolls, and Eurozone CPI flash inflation data will provide critical insights into the impacts of recent trade tensions on the economy. Sentiment is caught between two powerful forces. On the pessimistic side, growing risks of a global recession stemming from escalating trade disruptions are weighing heavily. According to a Reuters poll, three-quarters of economists have downgraded their 2025 global growth forecasts, cutting the median forecast to 2.7% from 3.0% just a few months ago. Alarmingly, 60% of surveyed economists rated the risk of a global recession this year as either "high" or "very high." Investors will be keenly watching this week’s economic releases for validation—or rejection—of these rising recession fears. However, there is also a glimmer of optimism. Any tangible breakthrough in ongoing trade negotiations could quickly improve sentiment. US Treasury Secretary Scott Bessent emphasized that "it’s up to China to de-escalate," highlighting that China's trade surplus with the US makes their current tariff burden "unsustainable." Bessent also hinted that India could soon become one of the first countries to finalize a new trade agreement with the US, keeping markets alert for needed boost to sentiment.... |
GBP/USD Mid-Day Outlook Daily Pivots: (S1) 1.3268; (P) 1.3318; (R1) 1.3361; More... Intraday bias in GBP/USD is turned neutral first with today's recovery. Correction from 1.3422 short term top could still extend, and break of 1.3232 will turn intraday bias back the downside. But in this case, downside should be contained by 38.2% retracement of 1.2099 to 1.3422 at 1.2917. On the upside, firm break of 1.3422/33 resistance zone will resume larger up trend. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 10:00 | GBP | CBI Realized Sales Apr | -8 | -20 | -41 |
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