- BOJ widens yield target band
- France imposed a 4-week lockdown in 16 areas of the country
- Fed announces no SLR exemption for banks
European indices finished today's session lower amid rising yields, and negative news on the pandemic front. French government has announced a new four-week lockdown in regions hardest hit by the pandemic, including the Ile-de-France region around Paris. Yesterday Britain confirmed that due to supple delays its vaccine rollout would be slower than expected in the coming weeks. Elsewhere, Bank of Japan left interest rates unchanged but announced that it will adopt a 0 +/- 0.25% target yield band for Japanese 10-year government bonds. Central bank dropped the 6 trillion JPY ETF buy target but maintained the 12 trillion JPY ETF buy ceiling. DAX 30 fell 0.9%, CAC40 lost 1.07% and FTSE100 finished 1.05% lower.
Mixed moods prevail on the US stock market, with Dow Jones fell more than 0.7% while S&P 500 is trading slightly below flatline and Nasdaq rose 0.6% after the Fed decided not extend the supplementary leverage ratio (SLR) exemptions– a measure that had allowed banks to hold lower capital reserves – beyond the March 31 deadline. Bond yields bounced off their lows after the announcement. The 10-year Treasury yield jumped to 1.74%, hovering near its 14-month high above 1.75% hit a day earlier. However later in the session yields retreated slightly, which allowed tech stocks to recover after sharp sell-off the day before. On the corporate front, delivery company FedEx posted better than expected fiscal third-quarter results while Nike revenue figures disappointed.
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Create account Try a demo Download mobile app Download mobile appWTI crude rose more than 2.5% and is trading around $61.50 a barrel, while Brent is trading 2.10% higher around $64.60 a barrel. Elsewhere gold rose 0.3% to $ 1,742.00 / oz, while silver is trading 0.7 % higher near $ 26.25 / oz.
Crude oil (OIL.WTI) is trying to recover from yesterday's very strong sell-off. The price of WTI crude oil today tested important support around $ 59.00 a barrel and returned to the $ 61.50 level. Currently price is trying to break above the lower limit of the upward channel. Source: xStation5
