Last session market review
Last week, the may WTI crude contract fell into negative territory for the first time in its history, ending at -$37.63 a barrel, down 306%, as a drop in oil prices to an all-time low, dragged U.S. stocks lower and investors turned to safety, while gold briefly rose above the $1,700 mark and the dollar edged higher against a basket of currencies.
On Tuesday, may crude oil futures in New York finished their final trading session, with a focus on U.S. oil regulators discussing crude production limits, U.S. existing home sales, the ZEW economic sentiment index for the euro zone and Canadian retail sales.
Fx: eur/usd 1.0862; The pound closed at $1.2444; The Australian dollar closed at 0.6334; The dollar closed at 107.61 yen; Us dollar/Canadian dollar closed at 1.4145; The dollar was last at 0.9678 Swiss francs.
Commodities: spot gold closed at $1,694.82 an ounce; Comex gold ended at $1,711.20 an ounce; Spot silver settled at $15.30 an ounce; Comex silver ended at $15.614 an ounce; Brent crude settled at $25.54 a barrel; NYMEX crude closed at $37.63 a barrel.
In the currency market
Euro: as the dollar resumed its rally, the euro turned lower against the dollar to close at 1.0862, down 0.13%. On the technical plane, the pivot point of the currency pair is at 1.0866, the initial resistance to the exchange rate rise is at 1.0891, the further resistance is at 1.0921, and the key resistance is at 1.0946. The initial support of the exchange rate down at 1.0836, further support at 1.0811, more critical support at 1.0781.
Sterling: the pound turned lower against the dollar, closing down 0.44% at 1.2444. On the technical level, the pivot point of the currency pair is 1.2449, the initial resistance to the upward trend of the exchange rate is 1.2481, the further resistance is 1.2532, and the key resistance is 1.2564. The initial support for the fall in the exchange rate is at 1.2398, further support at 1.2366, more critical support at 1.2315.
Yen: usd/jpy rose with the greenback, closing up 0.08% at 107.61. On the technical plane, the pivot point of the currency pair is at 107.67, the initial resistance to the exchange rate rising is at 107.89, the further resistance is at 108.17, and the key resistance is at 108.40. The initial support for the fall in the exchange rate is at 107.39, further support at 107.17, more critical support at 106.89.
The stock market
U.S. and European stocks: U.S. stocks fell sharply Monday, retreating after a week of gains. The dow jones industrial average closed down 592.05 points, or 2.5%, at 23,650.44, still 29% above its intraday low on March 23. The s&p 500 fell 1.8% to 2,823.16, up 28.8% from its intraday low on March 23. The NASDAQ composite index fell 1% to 8,560.73. Among individual stocks, Boeing fell more than 6 percent, leading the dow lower, while chevron and ExxonMobil both fell more than 4 percent. Energy, real estate and utilities were the worst performers in the s&p 500, all down more than 3 percent.
European stock markets ended slightly higher on Monday as the focus of the latest global outbreak and the fall in us oil prices came to the forefront. The Stoxx 600 index closed up more than 20% from its March low, entering a bull market. Germany’s DAX closed up 39.42 points, or 0.37%, at 10,665.20. Britain’s FTSE 100 index closed up 32.24 points, or 0.56 percent, at 5,819.20. France’s CAC40 index closed up 29.30 points, or 0.65 percent, at 4,528.30. Spain’s IBEX35 index closed down 42.80 points, or 0.62%, at 6833.00. Italy’s FTSE closed up 5.03 points, or 0.03 percent, at 17060.50. Europe’s Stoxx 50 index closed up 21.75 points, or 0.75 percent, at 2910.05.
International spot gold Monday morning trading at $1683.38 an ounce, rose as high as $1701.90 an ounce, and touched as low as $1670.89 an ounce, closing at $1694.82, up $10.63 or 0.63 percent.
COMEX gold futures for June delivery closed up 0.7 percent at $1,711.20 an ounce, the first gain in four sessions, as investors turned their attention to the gold market following the collapse of WTI crude oil futures in May.
With few buyers coming forward to buy crude for immediate delivery in the newly infected market, us crude prices turned negative for the first time in their history on Monday: us WTI crude for may fell $55.9, or 305.97 percent, to close at $37.63 a barrel. Since WTI futures began trading on the New York stock exchange in April 1983, the lowest price for the U.S. benchmark before then was $9.75 a barrel in April 1986. Brent crude for June delivery was at $25.54 a barrel. Brent prices fell 9 percent last week, 48 percent last month and 61 percent in the first quarter.