Morning wrap (27.01.2021)

8:38 AM January 27, 2021

  • US indices finished yesterday's trading lower. S&P 500 dropped 0.15%, Nasdaq and Dow Jones declined 0.07% each while Russell 2000 slipped 0.62%

  • Stocks in Asia traded mostly lower today. S&P/ASX 200 dropped 0.65%, Kospi declined 0.4% while Nikkei added 0.3%

  • DAX futures point to a slightly lower opening of the European session

  • European Central Bank is looking into USD weakness and will monitor impact of Fed and ECB policies

  • Conte said that he is seeking to form a pro-European government following his resignation

  • Total coronavirus case count exceeded 100 million. UK became the first country in Europe to report over 100 thousand coronavirus deaths

  • Janet Yellen said that Treasury will work together with the Federal Reserve

  • United States and South Korea agreed that North Korean nuclear issue is an urgent matter

  • China plans to limit steel output in 2021

  • Chinese industrial profits increased 20.1% YoY in December 2020

  • API report pointed to a 5.27 mb decline in oil inventories (exp. +0.6 mb)

  • Microsoft published better-than-expected Q4 results. EPS came in at $2.03 (exp. $1.64) while revenue reached $43.08 billion (exp. $40.18 billion). Intelligent Cloud revenue increased 23% YoY to $14.60 billion (exp. $13.77 billion)

  • Agricultural commodities gain along with oil. Precious metals trade slightly lower

  • GBP, USD and EUR are the best performing major currencies while NZD and CAD lag the most

Total coronavirus case count exceeded 100 million this week. Source: worldometers, XTB

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