The US dollar index rose to a fresh year high while the Dow Jones climbed to a new record high on Tuesday ahead of confirmation of President Biden’s infrastructure package on Wednesday. Biden expected to announce an infrastructure plan that is expected to cost more than $3 trillion.
Global stocks trading higher on Tuesday in hopes of a quick economic recovery as the vaccination campaigns have gained momentum.
On the US earnings front, Chewy (NYSE: CHWY), Blackberry (NYSE: BB) and Lululemon Athletica (NASDAQ: LULU) reporting earnings today after the market close.
Crude oil prices trading steady on Tuesday on the expectation that OPEC+ will hold their supply cuts steady into May as well. The investors also waiting for the inventory reports from the API and the EIA later in the day and on Wednesday.
In the currency market, the commodity currencies the Australian dollar and New Zealand dollar trading steady while the Euro slipped to a fresh session low against the US dollar.
The precious metal dropped to a fresh weekly low pressured by strength in the U.S. dollar and Treasury yields. At the time of writing, the metal trades below the $1700 psychological area.
Japan’s retail sales declined 1.5% in February from a year earlier, according to data released by the country’s Ministry of Economy. Meanwhile, the unemployment rate held steady at 2.9% mom in February, slightly below estimates.
Moving ahead today, the important events to watch:
Germany – CPI: GMT – 12.00
US – Consumer confidence: GMT – 14.00
Worldwide, more than 127 million people have been confirmed infected and more than 2.78 million have died. The United States has confirmed over 30.2 million cases and has had more than 549,300 deaths from COVID-19, the highest totals in the world. In the US it was reported that COVID-19 cases are on the rise again in some states and President Joe Biden asked some states to pause their re-opening procedures.
US DOLLAR: The dollar index is trading strong just above the 93 levels during the European session. Overall, the momentum remains bullish throughout this week.
The important levels to watch for today: Support- 92.90 and 92.60 Resistance- 93.20 and 93.40.
GOLD: The yellow metal trading weaker below $1700 supported by $1690. Today, gold is again expected to face resistance around $1710/15 along with support around $1790 and $1685.
The important levels to watch for today: Support- 1690 and 1685 Resistance- 1710 and 1715.
Quote of the day: When we own portions of outstanding businesses with outstanding managements, our favourite holding period is forever – Warren Buffet.
Read more- https://gulfbrokers.com/en/daily-market-report-275