Daily Markets Broadcast 2020-02-26

Daily Markets Broadcast


Wall Street drop continues on virus fears

US indices slumped for a second straight day yesterday amid fears of an escalation of virus cases outside of China. US Treasury yields hit record lows on flight to safety. The US’ Centers for Disease Control and Prevention is preparing contingencies, even if President Donald Trump says the virus doesn’t post a threat. A report showed global trade contracted last year for the first time sine 2009.


US30USD Daily Chart

Source: OANDA fxTrade

  • The US30 index gave up a positive start to close lower again yesterday. Total losses over the last two weeks are now just under 10%, a level which technically would suggest a shift to a bear market
  • The index closed below the 200-day moving average at 27,285 for the first time since August 14
  • New home sales probably rose 3.5% m/m in January, according to the latest survey of economists, a turnaround from December’s 0.4% drop.


DE30EUR Daily Chart

Source: OANDA fxTrade

  • The Germany30 extended the recent decline to a fourth day yesterday as more companies warned that CoVid-19 would impact Q1 numbers
  • The index tested and closed below the 200-day average at 12,636 for the first time since August 23
  • Germany’s Q4 GDP growth was unchanged from preliminary estimates at 0% q/q and +0.3% y/y. There are no major data releases scheduled for today.


CN50USD Daily Chart

Source: OANDA fxTrade

  • The China50 index fell for a second consecutive day yesterday, dropping to a more than two-week low
  • The 50% retracement of the February 3 to February 20 rally is at 13,239
  • A number of China provinces have started to reduce their virus alert levels as the number of new cases stabilizes and recovery rates improve. Jiangsu province is the latest one.



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

Latest posts by Andrew Robinson (see all)