Market Wrap: Stocks, Bonds, Commodities
Wall Street lost ground on Thursday, with the S&P 500 and the Nasdaq pulling back from record closing highs in a broad sell-off driven by uncertainties surrounding the pace of the U.S. economic recovery.
The Dow Jones Industrial Average fell 259.86 points (0.75%) to 34,421.93, the S&P 500 lost 37.31 points (0.86%) to 4,320.82 and the Nasdaq Composite dropped 105.28 points (0.72%) to 14,559.79.
Asian shares tumbled to two-month lows on Friday and were set for their worst weekly performance since February as confidence took a beating over the global spread of the Delta virus variant and worries it could stall a worldwide economic recovery.
MSCI’s index of Asia-Pacific stocks outside Japan fell 0.10% to 850.50 levels. Australian index plunged 0.93% to 7,273.90. Japanese Nikkei traded lower 0.63% to 27,940.72.
European stocks were higher on Wednesday, with the Stoxx Europe 50 Index up 0.59% to 4,076.56, Germany’s DAX gained 0.86% to 15,641.60, and France’s CAC rose 0.37% to 6,531.41, and U.K.’s FTSE 100 advance 0.50% to 7,136.35.
Benchmark 10-year U.S. Treasury fell as demand for safe risk grows again, today 10-year bond yields gained 3.47% to 1.333.
Oil was rose Friday even as data released on Thursday said U.S. fuel inventories fell and demand surged as economic recovery drove consumption.
Spot Brent crude oil rose 0.23% to $74.30 per barrel. US West Texas Intermediate crude up 0.38% to $73.22 a barrel.
The yellow metal lower 0.15% to 1797.30 dollars per ounce.
Market Wrap: Forex
The dollar fell on Thursday from a three-month high against a basket of peers, with the euro getting a boost as investors unwound bets on risky currencies and as concerns over the spread of COVID variants increased the demand for safe-havens.
Today, the U.S. dollar index measures the greenback against a trade-weighted basket of six major currencies, advanced 0.10% to 92.493.
The Euro US Dollar (EUR/USD) is a widely traded pair that fell 0.13% today. This left the pairing trading around $1.18250.
The Japanese yen failed against the U.S. dollar on Friday as the stock pushes higher. Today US/JPY gained 0.26% to 110.060 level.
Another commodity-related currency lower against the U.S dollar, AUD/USD fell 0.13% to 0.74190, and NZD/USD slipped 0.25% to 0.69330.
EUR/USD Intraday: Trend on the downside
Our pivot point is at 1.18540
Preferable Price Action: Take short positions below pivot level with targets at 1.18110 & 1.17870 in extension.
Alternative Price Action: Above pivot looks for a further upside to 1.18940 & 1.19120.
Comment: Pair below its 20MA & 55MA and RSI below 50 levels.
Green Lines Indicate Resistance Levels – Red Lines Indicates Support Levels
Light Blue is a Pivot Point – Black represents the price when the report was produced
GBP/USD Intraday: Resistance at 1.37980
Our pivot point is at 1.37980
Preferable Price Action: Sell positions below pivot with targets at 1.37450 & 1.37140 in extension.
Alternative Price Action: The price above pivot would call for further upside to 1.38430 & 1.38730.
Comment: Price below its 55MA & 20MA and RSI below 50 levels.
Green Lines Indicate Resistance Levels – Red Lines Indicates Support Levels
Light Blue is a Pivot Point – Black represents the price when the report was produced
USD/JPY Intraday: Break Resistance level
Our pivot point is at 110.870
Preferable Price Action: Buy position above pivot with the target at 110.380 and 110.640 in extension.
Alternative Price Action: The downside breakout of the pivot would call for 109.360 and 109.100.
Comment: price above its 20MA & 55MA and MACD in positive territory.
Green Lines Indicate Resistance Levels – Red Lines Indicates Support Levels
Light Blue is a Pivot Point – Black represents the price when the report was produced
AUD/USD Intraday: Trend on the downside
Our pivot point is at 0.74540
Preferable Price Action: Sell Positions below pivot with targets at 0.73930 & 0.73570 in extension.
Alternative Price Action: Above pivot looks for a further upside with 0.75140 & 0.75500 as targets.
Comment: Pair below its 55MA and RSI at 50 levels.
Green Lines Indicate Resistance Levels – Red Lines Indicates Support Levels
Light Blue is a Pivot Point – Black represents the price when the report was produced
CRUDEOIL Intraday: Support at 71.97
Our pivot point is at 71.97
Preferable Price Action: Above pivots buy Oil with 73.85 & 74.99 as targets.
Alternative Price Action: Sell crude below pivot with targets at 70.02 and 68.84 in extension.
Comment: Crude is above its 20MA & 55MA and MACD in the positive territory.
Green Lines Indicate Resistance Levels – Red Lines Indicates Support Levels
Light Blue is a Pivot Point – Black represents the price when the report was produced
XAU/USD Intraday: In the consolidation area
Our pivot point is 1805.40
Preferable Price Action: Further upside to 1818.60 & 1825.00.
Alternative Price Action: If the price gives a downside breakout of a pivot, then the price extends to 1792.10 and 1786.20.
Comment: MACD in negative territory and price below its 20MA & 50MA.
Green Lines Indicate Resistance Levels – Red Lines Indicates Support Levels
Light Blue is a Pivot Point – Black represents the price when the report was produced
Dow Jones Intraday: Suport at 34,331.00
Our pivot point is 34,331.00
Preferable Price Action: Take buy positions pivot with targets at 34,580.00 & 34,735.00.
Alternative Price Action: Below 34,331.00 looks for further downside to 34,063.00 & 33,882.00.
Comment: Price above its 20MA & 55MA and RSI above 50 levels.
Green Lines Indicate Resistance Levels – Red Lines Indicates Support Levels
Light Blue is a Pivot Point – Black represents the price when the report was produced