August unfolded as a month of significant economic volatility, where earnings season surprises and currency fluctuations shaped market dynamics. Let's delve into the highlights of August's most traded CFD instruments and the key events that influenced them.

‍Earnings season: Tech titans take the spotlight

Earnings season took centre stage in August, spotlighting tech giants that harnessed artificial intelligence advances. NVIDIA's earnings call was remarkable, surpassing expectations and propelling its share price to a historic high. Similarly, Amazon experienced an 8% surge after its revenue exceeded predictions. These standout performances underscored the market's enthusiasm for companies at the forefront of AI innovation.

Despite muted stock reactions in some sectors, the second-quarter earnings season concluded with tech and consumer discretionary sectors emerging as winners. Earnings generally exceeded lowered expectations, while the energy and healthcare sectors also demonstrated resilience. However, concerns lingered about the sustainability of consumer spending, prompting analysts to advise caution and recommend defensive investments that prioritize earnings quality and efficiency.

Forex fluctuations

In the forex market, August brought about significant fluctuations in currency pairs. The Australian dollar (AUD) faced a challenging month, declining by as much as -3.2% against the US dollar (USD). This depreciation was influenced by economic troubles in China and rising interest rates in the United States, culminating in the AUD/USD pair reaching its lowest point since the previous year.

Conversely, the EUR/AUD currency pair experienced a notable uptick, reaching a value unseen since 2020.

Top Gainers in August

• Arista Networks (ANET): Arista Networks Inc. impressed traders with a growth of 26.03% in August. This networking company specialises in cloud computing and data centre solutions, making it a beneficiary of the growing demand for digital infrastructure.
• Eli Lilly And Co (LLY): Eli Lilly and Company saw a remarkable 22.56% increase in August. This pharmaceutical giant is known for its innovation in healthcare and the development of life-saving drugs, making it an attractive choice for investors.
• Atlassian (TEAM): Atlassian Corporation Plc recorded a growth of 13.08% in August. This Australian enterprise software company is renowned for its collaboration and productivity tools, which have become essential in the remote working era.

‍Most traded stocks in August

Most traded CFD instruments in August

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