Australian Stocks Continue To Rally

Binary options on Australian stocks continued their New Year’s rally after a strong rally on Wall Street as a fiscal cliff deal was reached by US lawmakers. Mining stocks lead the gains in the Australian market on continued strength in iron ore prices. In the Binary Options mining sector, Rio Tinto was last up $1.32 to $68.94, BHP Billiton up 21 cents to $38.05, and Fortescue rose 2.2 percent to get over the key $5 level at $5.03. Among banking stocks in the Binary Options market, Commonwealth Bank rose 45 cents to $63.17, ANZ was up 14 cents to $25.23, Westpac gained 13 cents to $26.23, and National Australia Bank rose 11.5 cents to $25.21.

China Services Sector And US Manufacturing Data Both Show Gains

Stocks were also rising due to continued positive data out of the world’s two largest economies, the US and China. China services sector output grew at the fastest pace in over four months. Yesterday US data showed that factory output grew faster than expected. All of these data points continue to show that the global economy is recovering. Many analysts expect gains in global stock markets to continue. Markets in China and Japan are still closed for the New Year’s holiday.

Crude Oil Surges To Highest Level In Three Months

Binary options on crude oil continued their upward trajectory yesterday. Today we are seeing some light profit taking as the RSI on crude approaches 70. An RSI at this level indicates a market maybe overbought and due for a correction. Prices did close above the 200 day moving average and this is a buy signal that many large institutional investors use. Crude will likely see resistance at the key psychological level of $95.

Gold And Silver Rise As Central Banks Seen Continuing To Print Money

Gold rose in 2012 for the 12th year in a row. Spot gold was last trading at $1686.94, silver $31.0925, platinum $$1570.25, and palladium $707.25. Many analysts expect metals prices to continue to advance in 2013. Central bankers around the world have pledged to continue to pump money into the system to keep the global economy afloat. This will weaken currencies and increase the value of precious metals.

Investors Turn Attention TO Debt Ceiling And Friday’s US Non-farm Payrolls Report

Now that US lawmakers have tackled the fiscal cliff, a deal will now need to be reached on raising the nation’s debt ceiling. Investors should not hold their breathe expecting a speedy resolution! The Yen and the US dollar are both advancing against the euro as investors take a more cautious approach. The Australian and New Zealand dollars are both weaker against most of their major peers. The Aussie was last down 26 pips against the US dollar to 1.0478, the Kiwi down 21 pips at .8318, and the Euro/US dollar pair at 1.3136, down 49 pips.

Upcoming US Data To Watch

Today the US will release its weekly jobless claims and FOMC minutes from the last meeting. ADP will release its employment report, which will give a slight preview of what to expect as we head into the US government’s report issued on Friday. The consensus for Friday’s report is for a gain of 155,000 jobs added. Also on Friday, the US will release data on factory orders and the ISM non-manufacturing index. Crude and natural gas inventory data will be released as well on Friday. Be sure to check the data and sentiment for an indication in making your Binary Options bet. Bullish data will lead to call buying and bearish data will lead to put buying. But keep in mind that right now, the market sentiment is overly bullish and call options have been the place to be.

As always, be sure to check back for the latest updates and good luck trading!