Market Wrap: Stocks, Bonds, Commodities
The U.S. dollar slipped on Monday after data showed inflation in the world’s largest economy subsided last month, cementing expectations the Federal Reserve will start cutting interest rates this year.
The Dow Jones Industrial Average fell 45.20 points to 39,118.86, the S&P 500 loss 0.41% to 5,460.48 and the Nasdaq Composite descend 134.85 points to 17,723.83.
MSCI’s index of Asia-Pacific stocks outside Japan is up 0.11% to 697.34 levels. The Australian index was lower by 0.12% to 7,750.70. Japanese Nikkei Index increase 0.12% today.
European stocks were positive on Monday, with the Stoxx Europe 50 Index increase 1.24% to 4,954.85, Germany’s DAX ascend 0.59% to 18,342.25, and France’s CAC higher 2.07% to 7,634.52 and U.K.’s FTSE 100 gain 0.56% to 8,210.08.
Benchmark 10-year U.S. Treasury rose as demand for safe assets slipped again, today 10-year bond yields increase 1.53% to 4.4090.
Oil prices climbed on Monday, supported by forecasts of a supply deficit stemming from peak summer fuel consumption and OPEC+ cuts in the third quarter, although global economic headwinds and rising non-OPEC+ output capped gains.
Spot Brent crude oil increase 0.64% to $85.54 per barrel. US West Texas Intermediate crude is increase 0.70% to $82.11 a barrel.
The yellow metal gold is down 0.30% to 2,332.60 dollars per ounce.
Market Wrap: Forex
Most Asian currencies kept to a tight range on Monday as sentiment towards the region was dented by weak Chinese business activity data, while the dollar retreated amid some growing bets on an interest rate cut.
Today, the U.S. dollar index measures the Greenback against a trade-weighted basket of six major currencies, which ascend 0.21% to 105.320.
The Euro US Dollar (EUR/USD) is a widely traded pair that is increase 0.36% today. This left the pair trading around $1.07520.
The Japanese yen was positive against the U.S. dollar on Monday . Today USD/JPY is trades pair that increases 0.13% to the 161.040 level.
Another commodity-related currency positive against the U.S dollar, AUD/USD increase 0.15% to 0.66770, and NZD/USD ascend 0.26% to 0.61000 level.
EUR/USD Intraday: Major trend on the upside
Our pivot point is at 1.07650
Preferable Price Action: Take buy positions above pivot level with targets at 1.07880 & 1.08080 in extension.
Alternative Price Action: Sell pivot looks for a further downside to 1.07420 & 1.07210.
Comment: RSI is above 50 levels and pairs are above its 20MA & 55MA.
Green Lines Indicate Resistance Levels – Red Lines Indicate Support Levels
Light Blue is a Pivot Point – Black represents the price when the report was produced
GBP/USD Intraday: Major trend on the upside
Our pivot point is at 1.26770
Preferable Price Action: Buy positions above pivot with targets at 1.26870 & 1.26970 in extension.
Alternative Price Action: The price below pivot would call for further downside to 1.26670 & 1.26580.
Comment: RSI is above 50 levels and pairs are above its 20MA & 55MA.
Green Lines Indicate Resistance Levels – Red Lines Indicate Support Levels
Light Blue is a Pivot Point – Black represents the price when the report was produced
USD/JPY Intraday: Trend on the upside
Our pivot point is at 160.880
Preferable Price Action: Buy position above pivot with the target at 161.170 and 161.410 in extension.
Alternative Price Action: The downside breakout of the pivot would call for 160.620 and 160.380.
Comment: MACD is above 50 levels and Pairs above its 55MA.
Green Lines Indicate Resistance Levels – Red Lines Indicate Support Levels
Light Blue is a Pivot Point – Black represents the price when the report was produced
AUD/USD Intraday: Support level at 0.66670
Our pivot point is at 0.66670
Preferable Price Action: Buy positions above pivot with targets at 0.66760 & 0.66840 in extension.
Alternative Price Action: Below pivot a further downside with 0.66580 & 0.66500 as targets.
Comment: RSI is above 50 levels and pairs above its 55MA.
Green Lines Indicate Resistance Levels – Red Lines Indicate Support Levels
Light Blue is a Pivot Point – Black represents the price when the report was produced
CRUDEOIL Intraday: Major trend on the upside
Our pivot point is at 81.64
Preferable Price Action: Above pivot buy oil with 81.99 & 82.29 as targets.
Alternative Price Action: Sell crude below pivot with targets at 81.29 and 80.97 in extension.
Comment: RSI is above 50 levels and pairs above its 20MA & 55MA.
Green Lines Indicate Resistance Levels – Red Lines Indicate Support Levels
Light Blue is a Pivot Point – Black represents the price when the report was produced
XAU/USD Intraday: Trend on the upside
Our pivot point is 2324.30
Preferable Price Action: Further upside to 2330.00 and 2335.70.
Alternative Price Action: If the price gives an downside breakout of a pivot, then the price extends to 2318.20 and 2312.60.
Comment: MACD is above 50 levels.
Green Lines Indicate Resistance Levels – Red Lines Indicate Support Levels
Light Blue is a Pivot Point – Black represents the price when the report was produced
Dow Jones Intraday: Trend on the upside
Our pivot point is 39,203.40
Preferable Price Action: Take buy positions above the pivot with targets at 39,290.50 & 39,363.80.
Alternative Price Action: Below 39,203.40 looks for further downside to 39,120.30 & 39,051.90.
Comment: RSI is above 50 levels and pairs above its 20MA & 55MA.
Green Lines Indicate Resistance Levels – Red Lines Indicate Support Levels
Light Blue is a Pivot Point – Black represents the price when the report was produced