- Eurozone inflation rate at over 1-year high
- S&P 500 reached new record high
- President Biden unveils infrastructure plan
- Private payrolls rose at the fastest pace since September 2020
European indices finished today's session mostly in red as the inflation rate picked up in March and reached the highest level in over a year. However this increase is expected to be short lived due to the base effect and weaker economic outlook for the region. Europe is struggling to contain the third wave of the pandemic and is clearly behind the US and the UK when it comes to Covid-19 vaccination. Germany limited the use of the AstraZeneca vaccine to people over 60 while France reported the highest number of patients in intensive care units since the beginning of this year.
US indices rose sharply as today is the last session of March as well as the end of the quarter. Investors should expect volatile trading to continue as pension funds and other big investors rebalance their portfolios. During today’s session S&P 500 reached a new all-time high and the Nasdaq rose nearly 2%, as investors awaited President Biden's speech and more details regarding the stimulus package which includes spending on infrastructure and green-energy. On the data front, the ADP report showed the private sector created 517K jobs, the most since September 2020 although figures came below analysts’ expectations of 550K.
WTI crude fell more than 1.20% and is trading slightly below $59.80 a barrel, while Brent is trading 0.70% lower, around $63.70 a barrel ahead of tomorrow’s OPEC+ meeting where major producers are likely to extend the current production cut into May. Meanwhile, US crude oil inventories fell by 0.876 million barrels, breaking a five-week period of increases and missing market forecasts of a 0.107 million advance, according to the EIA Petroleum Status Report. A lot has happened today in the precious metals market. At the end of the day gold is rising 1.7%, while silver is trading 1.9% higher. The prices of platinum (+ 1.5%) and palladium (+ 2.2%) also saw solid increases. Looking at the gold market from a technical point of view, one can see a rebound after yesterday's declines. Buyers appeared near the recent lows around $1680, which indicates that potential double bottom structure is forming. If buyers will manage to uphold momentum, then another upward impulse towards the resistance zone at $ 1750 could be launched.
Gold interval H4. Source: xStation5
Daily Summary - Powerful NFP report could delay Fed rate cuts
BREAKING: Massive increase in US oil reserves!
US OPEN: Blowout Payrolls Signal Slower Path for Rate Cuts?
BREAKING: US100 jumps amid stronger than expected US NFP report
The content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.
