Trading Insights: Have no fear! The world can handle higher interest rates

Commentary & insights

Central bankers are not clueless. They have the resources to make the best educated forecast. However, they are still human and far from perfect, but overall many of the G10 central banks seem to be on target.

Economic indices factors to watch are looking normal

Less uncertainty around economic conditions can typically increase investor confidence. Are current global economic conditions balanced? The below table suggests so.

Source: TradingView / JKnobel 29.06.2023 7:59 UTC

Investors and traders who can adapt to changing central bank attitudes tend to trade in front of the curve.

Source: Tradingview / JKnobel 29.06.2023 8:09 UTC

Year to date global stock markets are positive while volatility has fallen sharply.

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Today’s economic calendar

Swedish Riksbank hiked the rate by 0.25% as expected

• Current rate 3.75%
• EURSEK little has changed with the current price-seeking direction after gaining 1.7% during the last 30 days.

Source: TradingView / J. Knobel June 29 2023 7:52 UTC

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Technical trade commentary

Spain 35 index - bullish outlook remains above the €9,510 resistance

Spain 35 Index current price 9,487. Price faces resistance (1) near 9,510, provided price can clear above the 9,510s a further extension towards 9,720s can not be ruled out in the near term (26-49 days). Downside risk seen below 9,344.

Silver is trending lower despite the “corrective bounce”

Silver price remains in a downtrend (daily chart). Current price $22.75 is below its multi-week downward sloping trendline (bearish), MACD below zero (bearish), while RSI remains below 50, indicating that downside momentum is still in play. Provided support near the $22.50s fails to hold, the prospects for downside extension toward $19.90 can not be ruled out. Upside risk seen above the $25.50s.