Last session market review
The dollar index fell to a low of 97.63 at the start of trading on Monday as the federal reserve cut interest rates in an emergency move, while spot gold jumped to the $1,575 area.
The rest of the day will focus on a series of economic data from China and the New York fed manufacturing index for the march.
Fx: Eur/USD closed at 1.1105; The pound closed at $1.2276; The Australian dollar closed at 0.6182; The dollar closed at 107.91 yen; Us $1.3801; The dollar was last at 0.9496 Swiss francs.
Commodities: spot gold closed at $1,529.31 an ounce; Comex gold ended at $1,516.70 an ounce; Spot silver settled at $14.70 an ounce; Comex silver ended at $14.500 an ounce; Brent crude settled at $33.85 a barrel; NYMEX crude closed at $31.73 a barrel.
In the currency market
The euro opened at $1.1109 in the previous session in New York, bounced off a session low and closed around $1.1105 before retreating 1.6 percent for the week. From the technical point of view, the MACD red kinetic energy column steadily contracted, KDJ indicators point to the Central Line below, indicating the exchange rate upside risk has subsided. The initial resistance of the exchange rate upward is 1.1327, further resistance is 1.1470, the key resistance is 1.1607; The initial support of the exchange rate down at 1.1048, further support at 1.0912, more critical support at 1.0769.
GBP/dollar: the session opened at 1.2496 and ended the session under heavy pressure, closing around 1.2276, down 5.91 percent for the week. From the technical point of view, MACD green kinetic energy column significantly stretched, KDJ index down into the low, showing the exchange rate short line downward pressure is still greater. The initial resistance to the exchange rate rise is at 1.2780, further resistance at 1.2994, the more critical resistance at 1.3139; The initial support of the exchange rate down at 1.2420, further support at 1.2276, more critical support at 1.2061.
Usd/jpy: the session opened at 107.15, recovered strongly in the session, and ended around 107.91, up 2.48% for the week. From the technical point of view, MACD green kinetic energy column moderate contraction, KDJ indicators pointing above the Central Line, indicating that the upward momentum is expected to continue. The initial resistance of the exchange rate upward is at 106.13, further resistance at 107.62, more critical resistance at 109.15; The initial support for the decline in the exchange rate is at 103.10, further support at 101.57, more critical support at 100.08.
The stock market
U.S. and European stocks closed higher on Friday but posted big losses this week as the rapid spread of the coronavirus epidemic continued to dominate investor sentiment. The pan-European Stoxx 600 closed up nearly 1 percent, with the basic resources sector up 5.3 percent, the automotive sector up 1.5 percent and the utility sector up 2.7 percent. Almost all sectors and major exchanges were steadily higher.
New York (ap) — stocks rose sharply Friday, rebounding from a steep drop in the previous session, the biggest since the Black Monday crash of 1987. The dow jones industrial average closed up 1,985 points, or 9.4%, at 23,185.62. Friday was the dow’s biggest one-day gain ever. The standard & poor’s 500 index rose 9.2% to 2,711.02 and the NASDAQ composite index gained 9.3% to 7,874.23. The index posted its biggest one-day gain since October 2008.
The bond market
Us Treasury yields jumped on Friday as the federal reserve stepped up its stimulus efforts to counter signs of market failure caused by the spread of the coronavirus. The yield on the benchmark 10-year Treasury note jumped 15 basis points to just over 1 percent. The yield on the 30-year Treasury note jumped 19 basis points to 1.60 percent.
International spot gold started at $1,576.80 an ounce in early trading on Friday, then rose slightly, before quickly falling more than $30 before rebounding from the lows. Gold settled in a tight range after trading in London, trading at $1,597.70 an ounce. After the U.S. market opened, the price of gold fell more than $90 to a new session low of $1504.40 an ounce, before recovering slightly to close at $1,529.31 an ounce.
COMEX gold futures closed down 4.6 percent at $1,516.70 an ounce, the lowest level since December.
U.S. WTI crude for April delivery closed up 23 cents, or 0.7 percent, at $31.73 a barrel on Friday, after plunging 23 percent this week. Brent crude for May delivery closed up 63 cents, or 1.9 percent, at $33.85 a barrel on Friday, down 25 percent this week. Oil prices fell this week by the most since December 2008 amid a fierce oil price war between Saudi Arabia and Russia, but U.S. President Donald trump’s decision to buy oil from a stockpile has stopped some of the damage. U.S. WTI crude futures hit an intraday low of $30.33 a barrel, while Brent crude hit an intraday low of $32.50.