Financial Markets Daily

In the currency market

Euro: The euro fell for the third day in a row to close 0.42% lower at $1.1745. On the technical front, the initial resistance to the upward movement of the exchange rate is at 1.1787, the further resistance is at 1.1829, and the key resistance is at 1.1864. The initial support is at 1.1710, further support is at 1.1676, and more critical support is at 1.1634.

Sterling: Sterling turned lower against the DOLLAR, closing down 0.51% at $1.2980. Technically, the initial resistance to the exchange rate upward is at 1.3057, further resistance is at 1.3133, and key resistance is at 1.3204. The initial support is at 1.2910, further support is at 1.2840, and more critical support is at 1.2763.

Yen: DOLLAR/jPY fell for a second day, closing down 0.17% at 104.23. Technically, the initial resistance to the exchange rate upward is at 104.49, further resistance is at 104.74, and key resistance is at 104.93. Initial support for the lower exchange rate is at 104.04, further support is at 103.86, and more critical support is at 103.60.

The stock market

The surge in coVID-19 infections in Europe and the US has shaken investors’ confidence in the economic recovery. Stocks in Europe and the US fell on Wednesday. Germany’s latest announcement of a new nationwide partial lockdown added downward pressure to U.S. stocks, which plunged more than 900 points in the middle of the Dow Jones industrial Average. The Dow Jones Industrial Average closed down 942.40 points, or 3.43%, at 26,520.74, its fourth straight day of losses. The S&P 500 ended down 119.50 points, or 3.53%, at 3,271.15, below its 100-day moving average. The Nasdaq Composite Index closed down 421.70 points, or 3.69%, at 11009.67.

Madrid (Marketwatch) – European stocks plunged Wednesday amid reports that Germany and France are preparing new blockages to stem the viral explosion of a Novel Coronavirus in Europe. The Pan-European Stoxx 600 index closed down 10.41 points, or 2.95%, at 342.17, its biggest one-day drop since May 22. Germany’s DAX30 index ended down 503.06 points, or 4.17%, at 11560.51. Britain’s FTSE 100 index closed down 146.19 points, or 2.55%, at 5,582.80. France’s CAC-40 index closed down 159.54 points, or 3.37%, at 4,571.12. In Europe, the Stoxx 50 index closed down 106.55 points, or 3.47%, at 2,964.05. Spain’s IBEX35 index closed down 173.30 points, or 2.61%, at 6,478.00. Italy’s FTSE MIB index closed down 757.16 points, or 4.06 per cent, at 17,897.79.

Commodity markets

Spot gold closed at $1,876.83 an ounce, down $30.66, or 1.61 percent, after hitting an intraday high of $1,910.77 an ounce and a low of $1,869.23.

Gold futures for December delivery on COMEX fell 1.7 percent to $1, 879.20 an ounce.

Oil prices closed sharply lower on Wednesday as soaring crude inventories in the US and a surge in confirmed CASES of COVID-19 in the US and Europe raised concerns about oversupply and weak demand for fuel. U.S. WTI crude for December delivery ended down $2.18, or 5.51 percent, at $37.39 a barrel, its lowest level since October 2. Brent Crude for January delivery ended down $2.08, or 5.05 percent, at $39.12 a barrel. In the previous session, U.S. Oil closed up $1.01, or 2.62 percent, at $39.57 a barrel. Cloth oil closed up 74 cents, or 1.83 percent, at $41.20 a barrel.

Leave a Reply

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