Daily Market Report by GulfBrokers 2020-2021

[syamfx2020]

U.S. gross domestic product surged at a 33.1% annualized rate in the third quarter, the Commerce Department said on Thursday. The data was stronger than the estimate of 32.0% and comes after a staggering decline of 31.4% in Q2. Wall Street closed slightly higher on Thursday after the upbeat GDP numbers while the US dollar climbed fresh monthly high.

EQUITIES

Global stocks struggling to find the upside momentum due to the uncertainty ahead of the US election and continuous surge in coronavirus cases across the US and Europe.

OIL

Crude oil prices slipped to a fresh monthly low as rising coronavirus cases continued to dent expectations for demand and data from both API and EIA showed a bigger-than-expected build in US oil inventories.

CURRENCIES

In the currency market, the EURO plunged new weekly low on Thursday driven by a strong dollar and negative comments from the ECB president. The ECB left its main refinancing and deposit rates unchanged in October, at 0.00% and -0.5%, respectively, as expected. " The downside risks had increased and that softer economic activity in the fourth quarter was witnessed’ Christine Lagarde, the head of the ECB, said. The fourth quarter would almost certainly be weak, with a "very negative" November, she added.

GOLD

The gold price extends lower on Thursday following strong US GDP and weekly employment claims numbers. Later in the session, the yellow metal slightly rebounded from daily session lows after weaker-than-expected September US Pending Home Sales figures.

Economic Outlook

On the data front, the US released the latest jobless claims data for the week to 24 October, the data showed that 751,000 Americans filed for unemployment benefits, down from 791,000 in the previous week and lower than estimates of 770,000.

On the earnings front, the big tech stocks closed higher before the Q3 earnings. Amazon.com Inc (NASDAQ: AMZN) jumped 1.2%, Apple Inc (NASDAQ: AAPL) gained 3.5%, Alphabet Inc (NASDAQ: GOOG) rose 2.9% and Facebook Inc (NASDAQ: FB) was up 5.3%. Meanwhile, the stocks pull back from the short-term rally after the closing bell on Thursday.

Moving ahead today, the important events to watch:

EUROZONE – Consumer price index: GMT – 10.00

CANADA – GDP: GMT – 12.30

Coronavirus update:

The global coronavirus pandemic has now infected near 44 million people and claimed more than 1 million lives. The United States is the most affected country both in terms of the number of deaths and cases, with 227,701 deaths for 8,859,300 recorded cases, according to the Johns Hopkins University count.

Technical Outlook

DOLLAR INDEX: From a technical analysis standpoint, the immediate bias will remain bullish as long as prices are held above 93.90. On the other side, the immediate support at 93.30.

The important levels to watch for today: Support- 93.70 and 93.30 Resistance- 94.20 and 94.50.



GOLD: On Thursday, the yellow metal tested support at $1859 in the North American session. Any break below this level the next crucial support to watch $1850/48.

The important levels to watch for today: Support- 1859 and 1848 Resistance- 1875 and 1886.

Quote of the day: Understanding how to be a good investor makes you a better business manager and vice versa – Charlie Munger.

Read more- https://gulfbrokers.com/en/daily-market-report-198

 

[syamfx2020]

The US dollar climbed to a fresh monthly high on Wednesday ahead of the US election after it struggled a couple of days to find buyers. Early voting is well underway across the U.S. while most of the voters are opting to mail their ballots rather than casting them in-person due to the ongoing coronavirus pandemic. As of October 29, more than 28 million people had voted early in-person. As per the opinion polls results, former US Vice President Biden has a strong lead in most national polls.

The currency pair also supported by the recent equity market sell-off. Wall Street slumped sharply this month after republicans failed to push a stimulus deal before the election. Despite months of negotiations between the White House and Congress, the hopes for a new coronavirus stimulus agreement before the election have faded away.

On Thursday, the dollar received a further boost following the strong US GDP and weekly employment claims numbers. At the time of writing, the Dollar Index hovers near the monthly high boosted by the uncertainty about the actual outcome of the US presidential election next week.

On the short- term perceptive, the immediate bias will remain bullish as long as prices are held above 93.90. On the flip side, any break below 93.30 the next support at the 93/92.70 level. Moving ahead to the next month, the investors and traders across the globe waiting for the result of the November 3 US presidential election to get a clear picture of the greenback long term direction.

Read more- https://gulfbrokers.com/en/king-dollar-steady-ahead-of-next-weeks-us-election

 

[Ollly555]

It'll be anything but steady next week

 

[syamfx2020]

Crude oil prices open the week on a bearish note. The recent sell-off furled by Libya's announcement that it is ramping up production and rising new coronavirus cases in Europe and the US. As a result, France and Germany have announced a return to lockdowns for at least a month. This week the Oil investors and traders will closely monitor the US inventory reports and US presidential election results.

EQUITIES

US futures slightly rebounded on Monday after experiencing the biggest weekly loss since March ahead of the results from the US presidential elections, which will be held tomorrow. Asian stocks traded higher supported by strong Chinese data. China’s manufacturing PMI increased to 53.6 from 53.0 in September.

OIL

Crude oil prices slightly reversed from the Asian session lows. The Oil futures fell more than 2% on Monday morning.

CURRENCIES

In the currency market, the British pound slipped to a fresh session low on Monday after UK Prime Minister Boris Johnson announced Saturday a new month-long lockdown for England. Meanwhile, during the European session, the currency pair slightly reversed boosted by better-than-expected manufacturing PMI data.

GOLD

The gold price trading higher on Monday as investors moved into the safe-haven assets ahead of the political event of the year - the US presidential election.

Economic Outlook

On the data front, UK Manufacturing PMI was revised higher to 53.7 in October 2020, from a preliminary estimate of 53.3 and compared to September's final reading of 54.1.

This week the main event will be U.S. election day on Tuesday. Elections aside, the other important events to watch RBA, FED, and BOE interest rate decision and statement, Non-farm payroll numbers, and Manufacturing data from the US, Europe, and the UK.

On the US election front, Democrat Joe Biden is still in the lead according to most opinion polls while his polling lead has fallen to around 7.9% from above 10% a few weeks ago.

Moving ahead today, the important events to watch:

US– Manufacturing PMI: GMT – 14.45

US – ISM manufacturing PMI: GMT – 19.00

Coronavirus update:

Worldwide, there were 46.3 million known cases of COVID-19 and nearly 1.2 million deaths, according to Johns Hopkins University. The United States had 9.1 million cases and 230,870 deaths. France recorded near 46.29K new infections in the last 24 hours, higher than 35.641K on Saturday.

Technical Outlook

DOLLAR INDEX: The index slightly retreated from the fresh highs on Monday ahead of US election results. In 2016, the US Dollar Index rose nearly 6 percent in the 2 months after Donald Trump was elected.

The important levels to watch for today: Support- 93.90 and 93.60 Resistance- 94.30 and 94.70.



GOLD: The yellow metal price hovers below the $1890 resistance level ahead of US ISM manufacturing data. Any break above this level the next upside to watching $1900(psychological level) and $1910. On the flip side, the immediate support at $1882 followed by $1874.

The important levels to watch for today: Support- 1882 and 1874 Resistance- 1891 and 1900.

Quote of the day: Good day traders do not have big swings or big losing days. A good day trader is very conservative and picks his spots closely- Edward Franco.

Read more- https://gulfbrokers.com/en/daily-market-report-199

 

[syamfx2020]

This week the main event will be U.S. Election 2020. Elections aside, the other important events to watch RBA, FOMC, and BOE meetings and the US NFP report.

Earnings to watch: PayPal, Ferrari, Uber, Alibaba, and AstraZeneca

 

[ForexTus]

Thats nice and clear and concise. Thank you. Fireworks tomorrow with the election incoming

 

[syamfx2020]

Financial markets are expected to continue to be volatile ahead of US election results. The latest polls show Biden has a clear lead nationally, but there is concern Democratic support is being over-counted. The best way of protecting your portfolio from the downside that an election offers is to ensure they have a truly diversified portfolio.

EQUITIES

Global stocks trading higher on Tuesday supported by expectations of a win for Joe Biden in the US presidential election and also strong manufacturing data from the US, Eurozone, and China.

OIL

Crude oil prices rebounded from the fresh weekly lows on Monday after reports that Russia is considering a possible extension of oil output restrictions into the first quarter of 2021 in the light of rising coronavirus cases worldwide.

CURRENCIES

In the currency market, the US dollar extends lower as the market participants expect that a win for Democratic candidate Joe Biden will pave the way for another stimulus package that the US markets had been long expecting.

GOLD

The gold price climbed back to near the $1900 psychological area supported by the weaker dollar, US election uncertainty, and surging new COVID-19 cases.

Economic Outlook

On the data front, The US ISM Manufacturing Report on Business PMI for October came in at 59.3, up 3.9 percentage points from September’s 55.4 level.

During the Asian session, the Reserve Bank of Australia reduced its official cash rate to historic lows of 0.1% from 0.25% during its November meeting. "At its meeting today, the Board decided on a package of further measures to support job creation and the recovery of the Australian economy from the pandemic," RBA Governor Philip Lowe said.

Coronavirus update:

Globally, more than 46.6 million people have been confirmed infected and more than 1.2 million have died, according to Johns Hopkins University. India has recorded 38,310 new COVID-19 infections - the ninth straight day that numbers have been under 50,000.

"We need countries to again invest in the basics so that measures can be lifted safely, and governments can hopefully avoid having to take these measures again," WHO Director-General Dr. Tedros Adhanom Ghebreyesus said.

Technical Outlook

DOLLAR INDEX: The index trades below 93.70 during the European session after it climbed to a fresh weekly high of 94.30 on Monday.

The important levels to watch for today: Support- 93.35 and 93 Resistance- 94.10 and 94.35.



GOLD: The yellow metal hovers near the $1900 zones. If the bullish momentum continues the next upside to watch $1906 and 1920. On the other side, the immediate support at $1890 followed by $1882.

The important levels to watch for today: Support- 1890 and 1882 Resistance- 1906 and 1920.

Quote of the day: Buy things that are going up, sell things that are going down. And when they stop, get out. – Rob Smith.

Read more- https://gulfbrokers.com/en/daily-market-report-200

 

[syamfx2020]

The cleaning- and consumer-products company Clorox (NYSE: CLX) reported strong quarterly earnings on Monday. According to the results the company had sales of $ 1.92B in the first quarter of its fiscal year ending September, up 27% from $ 1.506B a year earlier.

During these days, many industries are facing major disruptions and slowdowns while cleaning firms have benefited from the outbreak as consumers and businesses adopt more thorough cleaning and disinfecting routines.

• Earnings per share: $3.22 vs. $2.32 expected
• Revenue: $1.92 billion vs. $1.76 billion expected

“At a time of global uncertainty, these results speak to the strength of our brands and passion of our people as they stepped up to meet the needs of consumers around the world,” said Clorox CEO Linda Rendle. “Our priority remains maximizing the supply of our products — leveraging all available resources to help ensure people can access what they need” she added.

Most people know about Clorox from its cleaning supplies while the company also makes common household brands like Kingsford Charcoal, Liquid Plumr, and Fresh Step kitty litter.

Clorox’s stock closed almost 4% higher on Monday after the company posted stronger-than-expected earnings results. Clorox shares have risen 35% since the beginning of the year.

Read more- https://gulfbrokers.com/en/clorox-earnings-boosted-by-high-demand-for-cleaning-products

 

[syamfx2020]

Global markets trading volatile especially US futures and precious metals as investors await the US presidential election outcome. The precious metals retreated from the highs after the early election outcomes proved far closer than polls had predicted. At the time of writing, Biden has 49.9% votes at a national level, while Trump has 48.5%. Meanwhile, the final result of the election might be disclosed later the week as some battleground states did not get a head start in the counting. In Michigan, with just under half of ballots counted, Trump led with 54% of counted ballots, compared to 43% for Biden.

EQUITIES

Global stocks trading higher on Wednesday. While during the Asian session the US futures slightly retreated from the highs after the comments from US President Donald Trump, he called the election a fraud and said that he plans to go to the Supreme Court to stop all vote counting.

OIL

Crude oil prices trading steady on Wednesday supported by a strong API inventory report, the data showed the inventory dropped by 8.01 million barrels for the week ending October 30, while analysts expected a 600,000-barrel build.

CURRENCIES

In the currency market, the US dollar rebounds from the early session lows after the investors turned back to the safe-haven greenback following the fear of a repeat of the 2016 scenario when Trump won against most predictions.

GOLD

The gold price up and down movement continues, the price rallied to above $1910 during the Asian session but failed to keep the bullish momentum. At the time of writing, the gold price trading below the $1900 psychological level.

Economic Outlook

On Tuesday, Ant Group has officially confirmed that its listing has been suspended by Shanghai Stock Exchange. The IPO was expected to rake in a record $37 billion, the highest for any company ever. Ant Group issued a statement late last night “sincerely apologizing” to investors for any inconvenience caused by the suspensions of the IPOs.

Apart from the election, investors are awaiting the Federal Reserve's decision on its interest-rate policy on Thursday and US non-farm payrolls data on Friday.

Moving ahead today, the important events to watch:

US – ADP employment report: GMT – 13.15

US – ISM non-manufacturing PMI: GMT – 15.00

US – Crude oil inventories: GMT – 15.30

Coronavirus update:

Worldwide, more than 47.4 million people have been confirmed infected and more than 1.2 million have died, according to Johns Hopkins University. France reported 854 deaths from the coronavirus on Tuesday, bringing the death toll to 38,289, the world’s seventh-highest reported death toll. Meanwhile, Spain reported nearly 18,700 new coronavirus cases and 238 deaths on Tuesday.

Technical Outlook

DOLLAR INDEX: At the time of writing, the index hovers near the 93.80 level. During the Asian session, the greenback surged back to above 94 zones but failed to break above this week's high of 94.30.

The important levels to watch for today: Support- 93.30 and 93 Resistance- 94.30 and 94.70.



GOLD: The yellow metal trading below $1900 zones. The important breakout levels to watch for today $1880 and $1920.

The important levels to watch for today: Support- 1880 and 1872 Resistance- 1900 and 1910.

Quote of the day: The fastest way to lose your whole trading account is to try to quickly double it – Steve Burns.

Read more- https://gulfbrokers.com/en/daily-market-report-201

 

[ForexTus]

Looking forward to next Monday if im honest. Hopefully well have a clear understanding about some of the pairs.