KUALA LUMPUR, MALASIA – Media OutReach – 25 August 2021 – The worldwide Foreign exchange dealer OctaFX turns ten years previous. This previous decade culminates in 6.6 million Foreign currency trading accounts opened, 200,000 Commerce &Win presents delivered, over 102,000 followers on social media, 44 Foreign exchange trade awards acquired, offering providers in additional than 100 international locations, and 500 million trades executed on the platform since inception—to simply identify a number of firm achievements thus far.
To pay homage to this particular anniversary, the fintech firm remembers the ten most prevalent Foreign exchange occurrences of the previous decade for all of the historical past fanatics on the market.
Development-defining occasions not often happen as remoted affairs, touching upon Foreign exchange alone—they naturally embody and impression the huge monetary world as an entire.
The next listing exhibits an interesting view of the final decade from OctaFX’s very personal perspective.
The ‘Flash Crash of 2010’
Round a 12 months earlier than OctaFX’s inception, an occasion occurred which got here to be often called the ‘Flash crash of 2010’. On 6 Might, in a matter of mere moments, the inventory market suffered a steep downfall resulting in a loss that ranged round 1 trillion USD, earlier than recovering once more within the days that adopted. The inventory market’s fall and swift restoration, in flip, tremendously impacted Foreign exchange market confidence on the earth reserve foreign money.
2012’s preliminary public providing of Fb
No preliminary public providing (IPO) of any firm has captured the trade’s consideration and the general public’s creativeness fairly as a lot as Fb’s IPO has in 2012. On 18 Might of that 12 months, the social community’s IPO shares have been valued at 38 USD, boosting a quantity exceeding 16 billion USD and making it the heftiest tech IPO in historical past as much as that time. As of July 2021, a Fb share hovers at a worth of 341 USD.
BREXIT 2016 (together with the 2016 flash crash of the GBPUSD pair)
Now widespread information, however when in June 2016, the outcomes of the Brexit vote first got here in, it precipitated utter panic within the European Union, the Western world, and in Nice Britain itself. Most observers assumed that the British folks would determine to stay within the European Union. The British pound sterling moved in an upswing development proper earlier than the outcomes of the vote have been introduced, however the foreign money pair GBPUSD ended up closing down 8% on that day.
Oil costs collapse in 2016
Crude oil costs traded between 75 USD and 115 USD per barrel for a lot of the first half of the 2010s. This intensive period of excessive costs led to a booming shale oil manufacturing and an outright revolution of U.S. fracking know-how. The U.S. nearly doubled its oil manufacturing in 2014 (in comparison with 2008), prompting a extreme provide flood. West Texas Intermediate (WTI) costs in crude oil fell nearly as little as 26 USD per barrel in 2016. This was a persistent development, as oil shares continued to have a tough time within the second half of the final decade.
The Trump phenomenon
Donald J. Trump gained the 2016 U.S. election in opposition to Democrat candidate and former U.S. secretary of state, Hillary R. Clinton. This in itself was an awesome shock for the worldwide political panorama and engraved itself on the monetary sector as nicely. Among the many Trump administration’s most impactful strikes must be laws that in 2017 has led to 1.5 trillion USD in tax cuts which stimulated home company income by over 16% a 12 months later.
The Twitter presidency, or how everyone realized to like Trump tweets
OctaFX felt that president Donald Trump’s typically erratic Twitter account deserved a separate point out. The previous president usually determined to publish his tackle essentially the most urgent points just like the Iran nuclear deal, relations with North Korea, Syria, and the Center East as an entire—often, catching most unexpectedly. Doing politics through the American microblogging community added to Trump’s unpredictable political persona, influencing the emotions of the monetary markets significantly.
Plummeting USDJPY and AUDUSD pairs in 2019 (flash crash)
In January of that 12 months, an official assertion by Apple is believed to have introduced in regards to the flash crash. The tech large emphasised a struggling Chinese language financial system that consequently drew merchants to promote out of extra risky currencies, amongst them, the Australian greenback. Many jumped on the Japanese yen, as nicely, which frequently occurs when confidence within the Chinese language financial system fluctuates, and with it, its most important buying and selling accomplice, the Australian authorities.
Whoever had the correct analytical outlook and strategic evaluation within the skilled buying and selling group may financial institution on the results of this ‘flash crash’.
Joe Biden’s ascendency to the U.S. presidency
Amidst the largest virus pandemic, Donald Trump because the sitting president, looking forward to reelection, misplaced to his Democratic challenger. After a lot controversy and political drama, which noticed fervent uncertainty in society and the markets, Joe Biden gained the election with a brand new document of changing into the primary presidential candidate to assemble greater than 80 million votes.
Crypto’s March 2020 ‘Black Swan Occasion’
Because the mom of all cryptocurrencies, Bitcoin falls to nearly 3,500 USD per coin, dropping round 80% of its worth from its earlier all-time excessive of shut to twenty,000 USD (December 2017). Ethereum likewise dips to 86 USD after having reached an all-time excessive of just about 1,500 USD, taking down with it the whole thing of the altcoin market. Only some may have suspected that the start of essentially the most intensive bull run in crypto historical past but was just some extra months off. Consultants unanimously think about the coronavirus disaster to be the main reason behind this crash.
The Coronavirus disaster, 2020–current day
Final however certainly not least, and possibly most necessary of all of them—the worldwide pandemic that modified and retains altering the world. A lot has been written about how the COVID-19 pandemic and the political and financial measures that adopted have impacted legacy funds, particularly the fluctuating confidence within the U.S. greenback because the world reserve foreign money.
OctaFX hopes you favored its picks. In no way does it characterize a whole listing of tendencies, so if the fintech firm missed any important occasions or tendencies, it positive will embrace them in a future publication.