Daily Markets Broadcast 2020-02-04

Daily Markets Broadcast

2020-02-04

Wall Street edges higher on containment hopes

Investors focused on the global measures put in place to control the spread of the coronavirus, pushing US indices slightly higher yesterday. That may change as the number of confirmed cases has hit the 20,000 mark. The RBA is widely expected to leave rates unchanged at today’s policy meeting.

 

US30USD Daily Chart

Source: OANDA fxTrade

  • The US30 eked out small gains yesterday but only managed to recoup a small part of Friday’s hefty losses
  • The index closed on the 55-day moving average 28,442 while the 100-day moving average sits below at 27,796
  • US factory orders probably rose 1.1% m/m in December, according to the latest survey of economists, a strong rebound from November’s -0.7%.

 

DE30EUR Daily Chart

Source: OANDA fxTrade

  • The Germany30 index rose modestly yesterday after manufacturing PMI readings suggested stability is returning to the region
  • The index regained the 100-day moving average at 12,964, closing at 13,028. The 200-day moving average is at 12,536
  • Germany’s Markit manufacturing PMI rose to 45.3 in January, better than estimates of a 45.2 print. The Euro-zone number rose to 47.9. There are no major economic releases scheduled today for both Germany and the Euro-zone.

 

WTICOUSD Daily Chart

Source: OANDA fxTrade

  • Crude oil prices continue to be crushed by global growth fears stemming from the spread of the Wuhan virus
  • West Texas Intermediate (WTI) touched the lowest in more than a year in early trading this morning but has managed a slight rebound from the low. The 200-day moving average is at $57.03
  • The American Petroleum Institute (API) releases weekly stockpiles data to January 31 today. Last week saw a drawdown of 4.27 million barrels.

 

 

 

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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