Financial Markets Daily

In the currency market

Euro: Fell for the fourth day in a row to close at $1.1658, down 0.41%. Technically, the pivot point of the currency is at 1.1676, the initial resistance to its upward movement is at 1.1702, further resistance is at 1.1744, and the key resistance is at 1.1770. Initial support for the lower exchange rate is at 1.1633, further support is at 1.1608, and more critical support is at 1.1565.

Sterling: Fell for the fourth day in a row, closing down 0.07% at 1.2720. Technically, the pivot point of the currency is at 1.2722, the initial resistance to its upward movement is at 1.2770, further resistance is at 1.2824, and the key resistance is at 1.2872. Initial support for the lower exchange rate is at 1.2668, further support at 1.2620, and more critical support at 1.2566.

Yen: DOLLAR/yen rose for the third day in a row to close at 105.36 yen, up 0.42%. Technically, the pivot point of the currency is at 105.23, the initial resistance to the upward movement of the exchange rate is at 105.61, further resistance is at 105.87, and the key resistance is at 106.25. Initial support for the lower exchange rate is at 104.97, further support is at 104.59, and more critical support is at 104.33.

The stock market

On Wednesday, the mood turned bearish after Federal Reserve officials warned that more stimulus was needed to pull the economy out of a covid-19 recession. The dollar’s continued rise also weighed on stocks: the Dow Jones Industrial Average closed down 525.00 points, or 1.92%, at 26763.13; The S&P 500 closed down 78.70 points, or 2.37%, at 3,236.92. The Nasdaq closed down 330.70 points, or 3.02%, at 10632.99.

London (Marketwatch) – European stocks rose on Wednesday as investors reacted to key economic data from the euro zone and pondered the possibility of further stimulus measures. The Pan-European Stoxx 600 index closed up 1.98 points, or 0.55%, at 359.53. Travel and leisure stocks rose 2.3%, with most sectors and major markets in positive territory. Germany’s DAX index closed up 48.58 points, or 0.39%, at 12,642.97. The FTSE 100 index closed up 69.80 points, or 1.20%, at 5,899.26. The CAC-40 index in France closed up 29.42 points, or 0.62%, at 4802.26. Spain’s IBEX35 index closed up 10.40 points, or 0.16%, at 6,659.00. Italy’s FTSE closed up 34.30 points, or 0.18%, at 18,915.50. In Europe, the Stoxx 50 index closed up 15.82 points, or 0.50%, at 3,179.95.

Commodity markets

Spot gold closed at $1,863.05 an ounce, down $35.76, or 1.88 percent, after hitting an intraday high of $1,905.16 an ounce and a low of $1,855.00.

COMEX gold for December delivery was down 2 percent at $1, 868.40 an ounce.

There is a lot of noise in the market right now amid closures caused by Hurricane Laura and tropical storm Beta and concerns about a second or third coVID-19 outbreak. Oil prices were mixed on Wednesday: U.S. WTI crude for November delivery was down 3 cents at $39.77 a barrel. Brent crude for November delivery ended up 5 cents, or 0.12 percent, at $41.77 a barrel. Earlier in the session, oil prices recovered slightly from Monday’s carnage. WTI crude for October delivery ended up 29 cents, or 0.74 percent, at $39.60 a barrel. Brent crude for November delivery ended up 28 cents, or 0.67 percent, at $41.72 a barrel.

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