The first trading session of the week did not bring excessive volatility to the markets due to the holiday in the US. Volatility was observed today mainly in the commodities market, Asian and Old Continent stocks, currencies and cryptocurrencies.
Stock markets in Asia and Europe recorded mixed levels. Germany's DAX gained 0.31%, Britain's FTSE 100 climbed 0.2% and is approaching its highest historical level. Japan's Nikkei index lost more than 1.14%.
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Create account Try a demo Download mobile app Download mobile appThis week we will hear more reports from the US financial sector. Morgan Stanley (MS.US) and Goldman Sachs (GS.US) will report results on Tuesday, followed by Charles Schwab (SCHW.US) on Wednesday and State Street (STT.US) on Friday.
On Monday, we did not see much change in the currency market. Investors are waiting for the return of capital from the US to the market after today's holiday. The quotations of the main currency pair slightly retreated from last week's highs, but the EURUSD rate still remains above support at 1.0800.
The JPY was one of the worst-performing currencies of the G10 economies today after the Bank of Japan conducted a bond-buying operation aimed at lowering yields. The Bank of Japan will be in the spotlight this week as it is expected to announce its next monetary policy decision on Wednesday. Although a change in the level of rates is not a baseline scenario and Governor Kuroda is likely to end his term without a major revolution in the bank's monetary policy, there have been some indications that the BoJ will conduct a major review of its policy and look more closely at the side effects of loose monetary policy.
New weather forecasts that foretell cooling temperatures supported NATGAS quotations today. The last week of January is expected to be colder, with lower-than-average temperatures across almost the entire US. It appears that February could stir up a lot more in the price of gas. Seasonality points to two local lows - January 21 and February 4.
Crude oil is trading about 1% lower today. The price of OIL.WTI once again bounced off the round level of $80, which remains an important resistance in the medium term. Currently, OIL.WTI is trading just below the level of $79 per barrel with OIL, on the other hand, holding slightly above the level of $84.
Despite the deceleration of the upward momentum in the gold market during today's session, the price of the precious metal remains clearly above the level of $1,900 per ounce. The current downward movement is related to the slight strengthening of the dollar, and it seems that the current retreat should be regarded only as a downward correction (at least for now, no technical or fundamental indications have emerged to suggest a change in bullish sentiment).
The cryptocurrency market is posting gains today, with cryptocurrency Cronos leading the gains. Bitcoin added more than 1.5% today and is trading above the $21,000 level.
NATGAS quotations ended Friday's session in the region of weekly lows. After the weekend, we are seeing an attempt at a rebound, but the price is still under selling pressure. Currently, the key short-term resistance remains the EMA50 average and the upper limit of the 1:1 system at $4.10. Source: xStation
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