Financial Markets Daily

In the currency market

Euro: The euro fell against the dollar for the first time in five days, closing down 0.52 percent at 1.1810. On the technical level, the initial resistance to the upward movement of the exchange rate is at 1.1890, further resistance is at 1.1967, and the key resistance is at 1.2015. The initial support is at 1.1765, further support is at 1.1718, and more critical support is at 1.1641.

Sterling: Rose for the third day in a row to close up 0.05% at 1.3162. On the technical front, the initial resistance to the exchange rate upward is at 1.3208, the further resistance is at 1.3252, and the key resistance is at 1.3297. Initial support for the lower exchange rate is at 1.3118, further support at 1.3073, and more critical support at 1.3028.

Jpy: DOLLAR/JPY fell for the first time in four days, closing up 1.98% at 104.38. Technically, the initial resistance to the exchange rate upward is at 105.77, further resistance is at 106.16, and key resistance is at 106.68. Initial support for the lower exchange rate is at 104.86, further support is at 104.34, and more critical support is at 103.95.

The stock market

U.S. drug maker Pfizer and German drug maker BioNTech have reported strong data on their covid-19 vaccine. The two companies said they had found no serious safety problems so far and expected to apply for emergency U.S. licensing later this month, sending stocks on Both sides of the Atlantic soaring. By the close, the Dow Jones Industrial Average was up 834.57 points, or 2.95%, at 29157.97, its biggest one-day gain since June 5. The intraday index rose as much as 1,600 points, or 5.7 percent, to hit an all-time high earlier in the day. The S&P 500 closed up 40.29 points, or 1.15%, at 3,549.73, also setting an all-time intraday high. However, as technology stocks took a beating, the Nasdaq Composite index closed down 181.45 points, or 1.53%, at 11,713.78.

Commodity markets

Spot gold closed at $1,861.78 an ounce, down $89.08, or 4.57 percent, after hitting an intraday high of $1965.52 and a low of $1,849.43. Last week, spot gold closed up $72.07, or 3.84 percent.

Gold futures for December delivery on Comex fell $97.3 to $1,854.40 an ounce, after touching an intraday low of $1,848.0. Gold futures rose 3.8 percent last week, their biggest weekly gain in more than three months.

Data from the American Petroleum Institute showed a sharp drop in crude inventories last week, and oil prices remained near current levels ahead of Wednesday’s Opec meeting to assess the effectiveness of the deal: U.S. WTI crude for September closed flat at $42.89 on Tuesday. Brent crude for October delivery rose 9 cents, or 0.2 percent, to $45.46 a barrel.

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