Daily Markets Broadcast 2018-11-13

Daily Markets Broadcast

2018-11-13

Investors push Wall Street down further

US indices fell yesterday in modest activity due to the Veterans Day holiday. The Tech sector led declines amid concerns over demand for Apple’s iPhones. European exchanges were lower on Brexit stalemate. Oil gave back early gains to drop for an 11th straight day.

US30USD Daily Chart

Source: OANDA fxTrade

  • The US30 index fell for a second straight day yesterday amid souring investor sentiment in the Tech sector
  • The index closed below the 38.2% Fibonacci level of the Oct29 to Nov8 rally at 25,415. Next support level could be the 50% retracement of the rally at 25,158
  • No US data of note today, but we have Fedspeakers Brainard (dove, voter) and Daly (neutral, voter). Yesterday, Daly said wouldn’t be surprised by a Dec rate hike, and at least a couple more in 2019.

DE30EUR Monthly Chart

Source: OANDA fxTrade

  • The Germany30 index fell the most in almost three weeks yesterday, as Brexit impasse continued to haunt sentiment. European Commission said it’s ready to escalate its battle with Italy over its budget deficit
  • The index is heading toward the 55-month moving average at 11,221
  • Germany’s inflation rate is expected to rise 2.5% y/y in October, the same pace as September. An acceleration would pile more pressure on the index.

HK33HKD Monthly Chart

Source: OANDA fxTrade

  • The HongKong33 index fell for a third day yesterday, Weak sentiment on Wall Street is expected to pressure the index today
  • The index has retreated further from the 55-day moving average at 26,542 and is sitting just above the 55-month moving average at 24,987
  • China’s new loans and fixed asset investment data for October is scheduled for today. Numbers could influence China’s direction, and hence Hong Kong’s.

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Andrew Robinson

Andrew Robinson

Senior Market Analyst at MarketPulse
A seasoned professional with more than 30 years’ experience in foreign exchange, interest rates and commodities, Andrew Robinson is a senior market analyst with OANDA, responsible for providing timely and relevant market commentary and live market analysis throughout the Asia-Pacific region. Having previously worked in Europe, since moving to Singapore he worked with several leading institutions including Bloomberg, Saxo Capital Markets and Informa Global Markets, proving FX strategies based on a combination of technical and fundamental analysis as well as market flow information. Andrew began his career as an FX dealer with NatWest and the Royal Bank of Scotland in the UK.