Despite a quiet opening to the week for the American stock market, due to the Labor Day celebrations across the US, it appears that the US stock market is set to continue its bull run, marking the longest in American stock market history.
The positive sentiment for US shares saw the S&P 500, the broader US stock benchmark index, hit fresh all-time highs. Some traders though remain sceptical, continuing to speculate whether this strong trend can continue.
Although past weeks have seen some weakness in the dollar against the British pound and the euro, its strength has again returned. Some traders are saying this is just a ‘dead-cat bounce’ – a small recovery before moving lower for both the pound and euro. In particular the euro is really struggling with rallies towards the 1.1800 mark.
The latest Non Farm Payroll job reports, due out at the end of the week, are highly anticipated, as usual, with expectations of around 180,000 new jobs created last month in the USA.
There has been little excitement for the price of oil in recent weeks. Despite an overall 70% rise since June 2017, and some day-to-day volatility. The price is trading where it was 2 months ago. The $63 a barrel level is providing support but the market is struggling to make much progress through $70.