ast trading session review
Us and European stock markets fell as apple cut its revenue forecast on Tuesday, prompting investors to assess the impact of the new pneumonia outbreak on the company and the economy. The us dollar moved head-to-head with gold, pushing the us index to a four-month high of 99.48 and spot gold up nearly $20 to above the 1,600 mark.
On Wednesday, watch for fed minutes, fed mester and Kaplan speeches, U.S. producer prices, building permits, and housing starts.
Fx: eur/usd at 1.0790; GBP/usd closed at 1.2995; Australian dollar/us dollar 0.6684; Usd/jpy 109.86; Usd/cad closed at 1.3259; Dollar/Swiss franc closed at 0.9890.
Commodities: spot gold closed at $1,601.19 / oz; Comex gold closed at $1,603.60 an ounce; Spot silver at $18.16 an ounce; Comex futures closed at $18.150 an ounce; Brent closed at $57.75 a barrel; NYMEX crude closed at $52.29 a barrel.
In the currency market
The euro/dollar last traded near 1.0793 in New York after trading higher during the session, before closing around 1.0793. From a technical point of view, MACD green kinetic energy column continued to shrink, KDJ index low level, indicating that the exchange rate short-term redirection energy slightly insufficient. The initial resistance on the upward side of the exchange rate is 1.0824, the further resistance is 1.0858, and the key resistance is 1.0877. The initial support for the decline of the exchange rate was 1.0772, further support was 1.0753, and more critical support was 1.0720.
GBP/USD: this session opened at 1.3028, fell during the session under pressure, and was last trading around 1.2999. From the technical side, MACD red kinetic energy column moderate stretch, KDJ index high dead fork down, indicating that the recent bounce in the exchange rate has been suppressed. The initial resistance to the upward movement of the exchange rate is 1.3039, the further resistance is 1.3083, and the more critical resistance is 1.3118. The initial support for the downward trend of the exchange rate is located at 1.2960, further support is located at 1.2926, and more critical support is located at 1.2882.
Usd/JPY: this session opened at 109.84, during the period of turbulence consolidation, the last trading around 109.85. Technically, the MACD red momentum column contracted slightly, and the KDJ indicator moved down out of the overbought zone, suggesting that the currency retracement risk began to climb. The initial resistance to the upward movement of the exchange rate is 109.99, the further resistance is 110.12, and the more critical resistance is 110.29. The initial support for the decline of the exchange rate is at 109.70, further support is at 109.53, and more critical support is at 109.40.
The stock market
Us and European stocks: European markets closed lower on Tuesday after apple warned it might miss revenue forecasts amid a coronavirus outbreak amid continuing concerns about the potential economic impact. The pan-European Stoxx 600 index closed down about 0.5 percent, with most sectors and major exchanges in the red. The basic resources sector fell 2.1 percent, leading the lead sector lower, while the telecoms sector bucked the trend with a 1.1 percent gain.
On Tuesday, the dow fell for a third straight day as investors fretted about a dire warning from tech giant Apple. The dow jones industrial average fell 165.89 points, or 0.6%, to 2,9232.19. The s&p 500 fell 0.3 percent to 3,370.29. However, the NASDAQ rose slightly to close at a record high of 9,732.74.
The bond market
The yield on the benchmark 10-year Treasury note, which moves inversely to price, fell 4 basis points to about 1.544 percent, while the 30-year yield also fell to about 1.992 percent. The yield on the 10-year Treasury note fell three months, a sure sign of recession.
Spot gold rose slightly after opening at $1583.20 an ounce in Asia on Tuesday, maintaining a tight trading range ahead of the European open. Gold continued to trade in a tight range after a failed attempt to break through the $1,590 barrier at the start of the European session. However, around the opening bell, the bulls suddenly sounded a counterattack, and gold surged in the short term, breaking through the $1590 and $1,600 levels before settling near that level to close at $1,601.19 an ounce.
COMEX gold for April delivery ended up $17.20, or 1.10 percent, at $1,603.60 an ounce, its highest close since late March 2013.
U.S. WTI April futures ended down 3 cents, or 0.06 percent, at $52.29 a barrel on Tuesday. Brent April closed up 19 cents, or 0.33 percent, at $57.75 a barrel on Tuesday. The development of the disease remains uncertain, while the market is also concerned about whether major oil producers can expand production cuts, the current oil market is anxious. U.S. WTI crude hit an intraday low of $51.15 a barrel, while Brent hit an intraday high of $57.83.