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Five things traders need to know today

πŸ˜ƒ US stocks extended the winning streak Tuesday on growing hope for Russia-Ukraine ceasefire, ignoring the recession signal from the bond market. Major European and Asian indices closed higher, with China’s benchmark CSI300 -0.35% as Shanghai, China’s largest city and financial hub, is under lockdown.

πŸ”½ Gold broke below $1,900 in the session before closing at $1919.45. WTI crude (SpotCrude) rebounded to $106.70. Bitcoin failed to break above the 200-day SMA and edged lower to $47,428.

πŸ’° The US dollar index (USDX) slumped to 98.40, the first loss in the last five sessions. The yield on 10-year Treasury briefly dropped below the yield on 2-year Treasury for the first time since September 2019, with some other segments of the yield curve also flattening or inverting.

πŸ’Ά EUR jumped nearly 1% to 1.1086 on constructive geopolitical headlines. German 2-year bond yield rose sharply and rate markets priced in a 67bp hike by December. GBP was nearly unchanged at 1.3093. USDJPY eased back to 122.88.

🦘 AUD regained 0.75 handle on upbeat retail sales data in February. The Australian government is set to reduce the soaring living cost by some tax cut measures, according to the federal budget. NZD was up to 0.6934 and CAD remained strong against the dollar at 1.2502.
Five things traders need to know today

↕️ US stocks ended the final day of the quarter lower on worries of the highest inflation rate (PCE) since 1983 and aggressive tightening from the FED. S&P 500 lost 5.5% in Q1 and Nasdaq -9% despite the rally in the second half of March. European and Asian indices closed in red.

πŸ›’οΈ WTI plunged by nearly 6% as the Biden administration planned to release up to 180 million barrels of emergency oil supplies over six months. OPEC+ decided to stick with its plan to increase 430k bpd from May. Gold edged higher to $1,937.04 and Bitcoin wad down to $45,749.

πŸ€‘ The US dollar index (USDX) recaptured 98 handle, while the yield on 10-year Treasury eased back to 2.342%. Nonfarm payroll today is expected to see 490k more jobs created in April and unemployment rate down to 3.7%.

πŸ‡ͺπŸ‡Ί EUR gave up Wednesday’s gains to close at 1.1065 amid risk-off mood. GBP was unchanged at 1.3143. USDJPY dropped for a third straight session to 121.69.

πŸ”» AUD consolidated around 0.7500 following the weak China PMI data while NZD was lower at 0.6934. USDCAD rebounded from a two-month low to above 1.2500. NOK led the decline in G10 currencies.
Five things traders need to know today

πŸ“‰ US major equity indexes were little changed last week but ended the first quarter sharply lower. The inverted yield curve and Russia/Ukraine uncertainty continue to weigh on market sentiment. Tesla, which surged nearly 50% in the last three weeks, announced a record delivery in Q1. European and Asian indices closed the week mixed.

🌟Gold dropped to $1,924.19 Friday amid the rising Treasury yields. WTI and Brent plunged more than 10% for the week after the Biden administration planned to release up to 180 million barrels of reserve oil. Crude prices opened lower today, with more IEA members joining the US to increase supply. Ethereum climbed above the 200-day SMA.

πŸ’² The US dollar index (USDX) ended the week lower. Solid job report last Friday further lifted the rate hike expectation in the coming months and triggered a big jump in front end yield. USDJPY rallied for a fourth straight week to 122.55.

πŸ’Ά EUR finished the week slightly higher at 1.1045, with EU inflation rate hitting another record high of 7.5% in March. GBP was lower at 1.3110. The BoE governor is set to speak today.

πŸ”» Commodity linked currencies underperformed last week. AUD consolidated near the five-month high just below 0.7500. The BRA rate decision is due on Tuesday. NZD slumped to 0.6917. CAD weakened to 1.2515 per dollar.
JUST IN!
United States Crude Oil Inventories now at 8.235M❗

#Commodities #Oil #Trading
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