Daily Markets Broadcast 2018-11-30

Daily Markets Broadcast

2018-11-30

Wall Street edges higher; G-20 now in focus

Wall Street consolidated Wednesday’s gains yesterday, edging slightly higher but lacking real momentum to follow through. The German index was hit by a Deutsche Bank scandal, while today’s China PMI disappointed. All eyes now on the G-20 meeting this weekend for leads going in to next week.

 

US30USD Daily Chart

Source: OANDA fxTrade

  • The US30 index touched the highest in 10 days yesterday before settling marginally in the black
  • The index’s rally stalled just below the 61.8% Fibonacci retracement level of the November 8-23 drop at 25,481. The 55-day moving average was below the 100-day moving average for the first time since July 9
  • Fed minutes showed almost all members saw another rate hike warranted “fairly soon” (read: December). Statements to emphasize the importance of incoming data.

 

DE30EUR Daily Chart

Source: OANDA fxTrade

  • The Germany30 index lacked momentum yesterday and closed lower. Deutsche Bank’s offices were raided by police with regard to a money laundering investigation. Discussions with Italy on its 2109 budget are still ongoing
  • The 55-day moving average is at 11,685 and has capped prices on a closing basis since August 29
  • Italy government may vote on budget changes Dec 3-4. German retail sales data due today and are seen rebounding +2.7% y/y, which could help the index build a base.

 

CN50USD Daily Chart

Source: OANDA fxTrade

  • China shares gave back most of Wednesday’s gains yesterday as Trump increased his posturing on the US-China trade dispute ahead of the weekend G-20 meeting
  • The CN50 index remains capped near term by the 55- and 100-day moving averages at 11,253 and 11,295, respectively
  • China’s manufacturing PMI falls to 50.0 in November, lowest since July 2016, from 50.2. Forecast was for unchanged. Weaker data is putting a bit of pressure on equity markets.

 

 

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.