Daily Markets Broadcast 2019-12-11

Daily Markets Broadcast

2019-12-11

Wall Street mixed on tariff uncertainty

US indices gave back early gains into the close yesterday with the question whether the US will impose the next set of tariffs on Sunday, or not, the major talking point. The Fed is not expected to make any changes to its benchmark interest rate today, especially after last week’s stellar US jobs report.

US30USD Daily Chart

Source: OANDA fxTrade

  • The US30 index was little changed at the close yesterday with investors largely shrugging off US House Democrats’ introduction of two articles of impeachment against President Trump
  • The index remains above the convergence area of the 55-day moving average at 27,287 and trendline support around the 27,215 level
  • US consumer prices are expected to rise 0.2% m/m in November, according to the latest survey. That’s slower than October’s +0.4%.

DE30EUR Daily Chart

Source: OANDA fxTrade

  • The Germany30 index recovered from losses to six-week lows to finish little changed
  • The index is still above the 55-day moving average at 12,854, and has been since October 10
  • ZEW surveys for December for both Germany and the Euro-zone showed some improvement in December. There are no major data releases scheduled for both Germany and the Euro-zone today.

WTICOUSD Daily Chart

Source: OANDA fxTrade

  • West Texas Intermediate (WTI) is holding near three-month highs in the aftermath of the OPEC+ production cuts announced last week
  • WTI has been above the 200-day moving average, which is at 57.55 today, for a week
  • Weekly stockpiles data from the Energy Information Administration are expected to show a smaller drawdown of inventories in the week to December 6. Latest surveys suggest a 3.05 million barrel shortfall compared with 4.86 million barrels the previous week.

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.