Daily Markets Broadcast 2019-05-30

Daily Markets Broadcast

2019-05-30

Wall Street slides on persistent growth fears

US indices fell for a second day yesterday as the flight from equities in to safe-haven bonds continued. The moves pushed 10-year US benchmark yields below 2.25% for the first time since September 2017.

 

US30USD Daily Chart

Source: OANDA fxTrade

  • The US30 index touched the lowest since February 8 yesterday, falling for a second straight day, but closed off the intraday lows
  • The index is falling toward the 38.2% Fibonacci retracement of the December to May rally at 24,668
  • Annual growth in the US economy is expected to slow to +3.1% in Q1, according to the latest survey of economists. That compares with 3.2% growth in Q4.

 

DE30EUR Daily Chart

Source: OANDA fxTrade

  • The Germany30 index fell for a second consecutive day yesterday, touching the lowest since April 3 at one point
  • The index closed below the 55-day moving average at 11,946 for the first time since February 8. The 100-day moving average at 11,630 is above the 200-day moving average at 11,629 for the first time since May last year
  • It’s a public holiday in Germany today so liquidity may be diminished. There are no data releases scheduled.

 

WTICOUSD Daily Chart

Source: OANDA fxTrade

  • Crude oil prices spiked lower to 11-week lows yesterday amid growth/demand concerns, but recovered in to the close to finish marginally in the red.
  • The index is holding above the 38.2% Fibonacci retracement of the December-April rally at $57.20 on a closing basis
  • EIA crude oil inventories are expected to show a drawdown of 800,000 barrels in the week to May 24, according to the latest poll of analysts. That would be the first reduction in three weeks.

 

 

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.
Andrew Robinson

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