Market Wrap: Stocks, Bonds, Commodities
The S&P 500 and Dow Jones indexes hit record highs on Thursday, as upbeat earnings reports from companies including Bank of America and BlackRock as well as a strong rebound in March retail sales bolstered hopes of a broader economic rebound.
The Dow Jones Industrial Average rose 305.1 points (0.90%) to 34,035.99; the S&P 500 gained 45.76 points (1.11%) at 4,170.42; and the Nasdaq Composite added 180.92 points (1.31%) at 14,038.76.
Asian shares were little changed on Friday ahead of a raft of Chinese economic data, while world stocks, on the whole, flew at a record level, fuelled by strong U.S. economic data that may herald a solid recovery ahead.
MSCI’s index of Asia-Pacific stocks outside Japan gained 0.57% to 883.10 levels. Australian index gained 0.10% to 7,063.50. Japanese Nikkei traded 0.14% higher to 29,683.37.
European stocks were advance on Friday, with the Stoxx Europe 50 Index gained 0.28% to 4,004.50, Germany’s DAX rose 0.71% to 15,364.50, and France’s CAC higher 0.26% to 6,250.35 and U.K.’s FTSE 100 advance 0.46% to 7,015.12.
Benchmark 10-year U.S. Treasury down as demand for risky asset grow again, today 10-year bond yield jumped 3.60% to 1.585.
Oil prices were lower on Thursday though holding near one-month highs after futures jumped in the previous as the International Energy Agency (IEA) and others upgraded forecasts for oil demand as major economies recover from the pandemic.
Spot Brent crude oil rose 0.30% to $67.14 per barrel. US West Texas Intermediate crude up 0.22% to $63.60 a barrel.
The yellow metal traded flat to 1765.80 dollars per ounce.
Market Wrap: Forex
The dollar headed for its worst back-to-back weekly drop this year amid an extended retreat in Treasury yields as investors increasingly bought into the Federal Reserve’s insistence of keeping an accommodative policy stance for a while longer.
Today, the U.S. dollar index, which measures the greenback against a trade-weighted basket of six major currencies, flat to 91.630.
The Euro US Dollar (EUR/USD) widely traded pair gained 0.10% today. This left the pairing trading around $1.19750.
The Japanese yen fell against the U.S. dollar on Friday as stock pushes higher. Today US/JPY advance 0.16% to 108.900 level.
Another commodity-related currency lower against the U.S dollar, AUD/USD lost 0.18% to 0.77350 and NZD/USD fell 0.20% to 0.71540.
EUR/USD Intraday: Support at 1.19520
Our pivot point is at 1.19520
Preferable Price Action: Take long positions above pivot level with targets at 1.19780 & 1.19950 in extension.
Alternative Price Action: Below pivot looks for further downside to 1.19260 & 1.19090.
Comment: Pair above its 20MA and RSI near 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 1.37710
Our pivot point is at 1.37710
Preferable Price Action: Sell positions below pivot with targets at 1.37220 & 1.37000 in extension.
Alternative Price Action: The price above pivot would call for further upside to 1.38200 & 1.38420.
Comment: Price below its 20MA & 55MA and RSI at oversold 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: Trend may reverse
Our pivot point is at 108.760
Preferable Price Action: Buy position above with the target at 109.020 and 109.200 in extension.
Alternative Price Action: The downside breakout of pivot would call for 108.500 and 108.320.
Comment: price above 20MA & 50MA 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 upside
Our pivot point is at 0.77210
Preferable Price Action: Buy Positions above pivot with targets at 0.77570 & 0.77800 in extension.
Alternative Price Action: Below pivot looks for further downside with 0.76850 & 0.76600 as targets.
Comment: Pair at its 20MA & 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: Break consolidation area
Our pivot point is at 63.20
Preferable Price Action: Above pivots buy Oil with 64.20 & 64.70 as targets.
Alternative Price Action: Sell crude below pivot with targets at 62.20 and 61.70 in extension.
Comment: Crude above its 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
XAU/USD Intraday: Trend on the upside
Our pivot point is at 1759.20
Preferable Price Action: Further upside to 1766.50 & 1771.20.
Alternative Price Action: If the price gives a downside breakout of a pivot, then the price extends to 1751.50 and 1746.70.
Comment: MACD in positive territory and price above 55MA.
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: Trend on the upside
Our pivot point is 33,950.00
Preferable Price Action: Take buy positions above pivot with targets at 34,060.00 & 34,120.00.
Alternative Price Action: Below 33,950.00 looks for further downside to 33,840.00 & 33,780.00.
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 produced7