Market Update – February 17 – Risks raised – Russia reports being fired on
US Stock markets flat into close (US500 +3 pts) after a weak day, no surprises in FED minutes (Jan 25/26) no talk of 50bps rate rises but a lot has happened in 3 weeks. USD & JPY bid on more jitters regarding Ukraine. Gold rallied back to $1875, Oil – very volatile after inventories, contract expiry & news from Iran. Yields widened again but remain elevated. Asian markets also slipped Nikkei (-0.83%) but have cooled into close. US & UK – “Russian troop withdrawal claims “false”. Ukraine denies any missiles from Donbass were fired.
- USD (USDIndex 95.85) cools from spike to 96.00 earlier.
- US Yields 10-yr closed 2.045 trades at down now 1.998%, 2-yrs remain elevated.
- Equities – USA500 +3.94 pts (+1.58%) 4475 -(NVDA beat,) FB -2.02% US500 FUTS cooler now at 4455.
- USOil – Topped at $93.00, after inventories, collapsed to $88.00 after contract expiry and positive nuclear deal headlines from both the US and Iran. Trades at $90.80 now.
- Gold – Rallied $1850 support to $1875 now.
- Bitcoin remains in the $45,000 to $42,000 range.
- FX markets – EURUSD down to 1.1364 USDJPY down to 115.25 & Cable to 1.3585, from a test of 1.3600 after hot inflation yesterday.
Overnight – JPY machinery orders much better than expected, Trade balance slipped significantly. AUD Job creation better than expected and Unemployment steady at
European Open – The March 10-year Bund future is up 32 ticks, U.S. futures are also moving higher. Investors are keeping a weary eye on central banks, which are trapped between fears of out of control inflation and concern that hasty and aggressive central bank action could hit the recovery. DAX and FTSE 100 futures are down -0.75 and -0.4% respectively.
Today – US Initial Claims, CBRT Policy Announcement, ECB’s Lane, Schnabel, de Cos, Fed’s Bullard & Mester Earnings Standard Chartered (beat); Airbus (beat), Orange, Commerzbank, Walmart
Biggest FX Mover @ (07:30 GMT) NZDCAD (+0.43%) Rallied from lows of 0.8400 yesterday to 0.8510 now. MAs aligned higher, MACD signal line & histogram significantly above 0 line, RSI 68.25 & rising, H1 ATR 0.0015 Daily ATR 0.0060.
Click here to access our Economic Calendar
Head Market Analyst
Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in Leveraged Products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distribution.
Comments are closed