by JustForex
US equities tumbled from all-time highs as investors weighed the start of the corporate earnings season and an increase in the total amount of bond offerings that triggered the rally.
Intel plunged together with Nvidia Corp., making the Nasdaq 100 fall as well. Yields rallied as the US Treasury auctioned 3- and 10-year bonds amid weaker demand than in the previous bond sales. The government will place 30-year bonds tomorrow.
While the US recovery is accelerating, several countries in Europe and South America are suffering from rising Covid-19 cases and vaccination problems. The rotation to cyclical and small-cap stocks also appears to have stopped, prompting concerns over the strength of the US economic recovery early in the earnings season.
At the same time, colossal government spendings and stimulus from the central bank can trigger excessive inflation. On Sunday, in an interview with CBS’s 60 Minutes, Federal Reserve Chairman Jerome Powell tried to reassure that any spike in price pressures would be short-lived.
In the world market, oil rose slightly above $60 per barrel. The yield on US government bonds rose just above 1.67%.
Free Reports:
Download Our Metatrader 4 Indicators – Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter
Get our Weekly Commitment of Traders Reports - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.
Main market quotes:
S&P 500 (F) 4,119.62 -0.63 (-0.02%)
Dow Jones 33,745.40 -55.20 (-0.16%)
DAX 15,255.30 +40.30 (+0.26%)
FTSE 100 6,884.67 -4,45 (-0.06%)
USD Index 92.218 +0.074 (+0.08%)
- – UK Monthly GDP (3m/3m) at 09:00 (GMT+3);
- – UK Manufacturing Output (m/m) (Feb) at 11:30 (GMT+3);
- – The ZEW Indicator of Economic Sentiment in Germany (Apr) at 12:00 (GMT+3);
- – US Core Consumer Price Index (CPI) (m/m) (Mar) at 15:30 (GMT+3).
by JustForex
This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.
- Brent crude oil experiences modest uptick amid mixed market signals May 7, 2024
- FXTM’s Wheat: Touches fresh 2024 high! May 7, 2024
- The RBA kept all monetary policy settings. Oil rises amid the breakdown of negotiations between Israel and Hamas May 7, 2024
- Investors expect a hawkish stance from the RBA. Natural gas prices returned to growth May 6, 2024
- Trade Of The Week: Ripple ready to create waves? May 6, 2024
- COT Metals Charts: Speculator bets led by Gold & Steel May 4, 2024
- COT Bonds Charts: Speculator bets led lower by SOFR 3M & 10-Year Bonds May 4, 2024
- COT Soft Commodities Charts: Speculator bets led by Wheat, Soybean Meal & Corn May 4, 2024
- COT Stock Market Charts: Speculator bets led lower by S&P500 & MSCI EAFE May 4, 2024
- The British index has updated the historical maximum. Oil lost 5% over the week May 3, 2024