- Global indices fell sharply on Tuesday, with DAX down 0.6%, Dow Jones is trading 1.4% lower, after Fed Chair Powell during his testimony in front of congress said the US central bank would likely need to hike interest rates more than expected to combat inflation.
-
ECB Knot said central bank can be expected to keep raising rates for quite some time after March
-
German factory orders unexpectedly rose by 1% in January, boosted by strong external demand. In the UK, house prices rose for the first time in three months.
-
Facebook parent Meta Platforms came into the spotlight after it was reported that the tech company was preparing to shed thousands more employees
-
The yield on the US 10-year Treasury note rose to 4% before easing back to 3.95%, remaining marginally below the three-month high of 4.07% touched on March 2. Despite the slight pullback, Powell's remarks drove investors to price a 60% chance of a 50 bps interest rate hike instead of back-to-back 25bps increases.
-
US dollar jumped after Powell flags higher dot plot and the chance of a 50 bps hike and is the top performer among G10 currencies. EURUSD fell below 1.0560 level, while other risk-sensitive currencies tested multi-weeks lows. AUDUSD pair recorded sharpest decline amid dovish RBA.
-
Oil prices fell over 3.0% amid broad risk-aversion sentiment. Oil.WTI broke below major support at $77.80. Saudi foreign minister said no change needed in oil production this year, while EIA now expects that the Brent crude oil spot price will fall from an average of $84 in Q2 to $81 in 4Q23 and then average $78 in 2024.
-
Precious metals also fell sharply amid stronger dollar and higher yields. Gold fell over 1.8% and is testing local support at $1815, while silver is losing nearly 6.0% and approaches psychological support at $20.0
-
Despite negative sentiment major cryptocurrencies are holding relatively well. Bitcoin managed to defend key support at $22,000, while Ethereum hovers above the $1550 mark.
USDJPY is moving towards crucial resistance at 137.50, which is marked with previous price reactions and 200 SMA (red line). Source: xStation5
Daily summary: Wall Street climbs higher as oil falls 📈 SpaceX surges 28%
Oil slides 2.5% to $88 as Middle East tensions ease 📉 Is the uptrend over?
Wall Street Rebounds as Oil Prices Fall 📈 Adobe Shares Drop 8% After Earnings
French luxury companies and banks gain as the inflation rises
The material on this page does not constitute as financial advice and does not take into account your level of understanding, investment objectives, financial situation or any other particular needs.
All the information provided, including opinions, market research, mathematical results and technical analyses published on the website or transmitted to you by other means is provided for information purposes only and should in no event be interpreted as an offer of, or solicitation for, a transaction in any financial instrument, nor should the information provided be construed as advice of legal or fiscal nature.
Any investment decisions you make shall be based exclusively on your level of understanding, investment objectives, financial situation or any other particular needs. Any decision to act on information published on the website or transmitted to you by other means is entirely at your own risk. You are solely responsible for such decisions.
If you are in doubt or are not sure that you understand a particular product, instrument, service, or transaction, you should seek professional or legal advice before trading.
Investing in OTC Derivatives carries a high degree of risk, as they are leveraged based products and often small movements in the market could lead to much larger movements in the value of your investment and this could work against you or for you. Please ensure that you fully understand the risks involved, taking into account your investments objectives and level of experience, before trading, and if necessary, seek independent advice.
