Financial market daily

Last trading session review

Over the weekend, 157 cases were confirmed in Italy, 838 in Japan and 602 in South Korea. Gold surged nearly us $40 to more than 1,680, crude oil fell nearly 3 percent, U.S. futures fell more than 1 percent and the Australian and New Zealand dollars remained under pressure.

Investors will continue to watch the development of a new outbreak of coronary pneumonia during the trading session, which has been closely watched in other regions besides China.

Fx: eur/usd at 1.0843; GBP/usd closed at 1.2969; Australian dollar/usd closed at 0.6627; Dollar/yen at 111.57; Usd/cad closed at 1.3222; Dollar/Swiss franc closed at 0.9780.

Commodities: spot gold at $1, 643.20 / oz; Comex gold closed at $1,648.80 an ounce; Spot silver settled at $18.47 an ounce; Comex futures closed at $18.530 an ounce; Brent closed at $58.50 / BBL; NYMEX crude closed at $53.38 a barrel.

In the currency market

The euro/dollar closed at 1.0808 in New York after a modest rally to close around 1.0843, up 0.12% for the week. From a technical point of view, MACD green kinetic energy column significantly contracted, KDJ index low up out of the oversold area, indicating that the exchange rate down momentum has subsided. The initial resistance on the upward side of the exchange rate is 1.0811, the further resistance is 1.0838, and the key resistance is 1.0855. The initial support for the decline of the exchange rate was 1.0767, further support was 1.0751, and more critical support was 1.0724.

GBP/USD: the session opened at 1.2930 and was moderately higher during the session before ending around 1.2969, down 0.59% for the week. Technically, the MACD green momentum column continued to contract, while the gold fork under the KDJ index rose, indicating a moderate slowdown in the recent decline of the exchange rate. The initial resistance to the upward movement of the exchange rate is 1.2924, the further resistance is 1.2966, and the more critical resistance is 1.3004. The initial support for the decline of the exchange rate is located at 1.2845, further support is located at 1.2807, and more critical support is located at 1.2765.

Dollar/yen: the session opened at 111.91 and fell under pressure during the session, ending at around 111.57, up 1.67 percent for the week. From the technical point of view, the MACD red kinetic energy column is slightly contracted, and the KDJ index is high and dead fork downward, indicating that the upward momentum of the exchange rate is blocked. The initial resistance to the upward trend of the exchange rate is at 112.48, further resistance is at 112.89, and the more critical resistance is at 113.58. The initial support for the decline of the exchange rate is at 111.39, further support is at 110.70 and more critical support is at 110.29.

The stock market

U.S. and European stocks: U.S. stocks sold off on Friday as a surge in new coronavirus cases in China and other countries and data showing U.S. business activity stalled in February added to investor concerns about the economy. Microsoft, Amazon, and Apple led the decline for a second straight day. The s&p 500 fell 2.4%. Chipmakers with strong links to China also fell sharply, with the PHLX semiconductor index falling 3 percent.

European stocks closed lower Friday afternoon as investors focused on a slew of economic data and the latest developments in the outbreak of the new coronavirus. The pan-European Stoxx 600 index, which fluctuated for much of the day, closed down 0.6 percent on Wall Street’s gloom.

Commodity markets

Spot gold started Friday morning trading in Asia at 1618.94 yuan, dipping as low as $1618.60 and rising as high as $1649.10 to close at $1643.20, up $23.80 or 1.47 percent. Spot international silver started Friday’s Asian session at $18.36 an ounce, dipping as low as $18.32 an ounce and rising as high as $18.63 to close at $18.47, up 12 cents or 0.65 percent.

COMEX gold for April delivery closed up $28.30, or nearly 1.8 percent, at $1,648.80 an ounce, up about 3.9 percent for the week.

U.S. crude WTI for April delivery closed down 50 cents, or 0.9 percent, at $53.38 a barrel on Friday, up 2 percent for the week. Brent crude for April delivery ended down 81 cents, or 1.4 percent, at $58.50 a barrel on Friday, up 2.1 percent for the week. The risk of a rupture in the Saudi and Russian oil partnership and renewed uncertainty over the outbreak have dealt a blow to the morale of oil bulls. U.S. WTI crude hit an intraday high of $53.86, while Brent hit an intraday high of $59.25.

Leave a Reply

Your email address will not be published. Required fields are marked *