Market Overview - Page 32

The US dollar continues to strengthen, reaching its highest level in months, fueled by policy changes and concerns over protectionist measures. The euro and Japanese yen have weakened, and further declines are expected if support levels are broken.

The oil market has a bearish outlook due to factors such as reduced supply risks and disappointing demand. Oil inventories in the US are increasing. Natural gas prices have increased due to a temporary shutdown in production, but high inventories suggest a likely downward momentum.

Political developments will impact financial markets, with the focus on policies from Trump's administration and influential Republicans. Key events include UK employment data, US consumer inflation, and China's October statistics. US retail sales and industrial production will also be monitored.

The Federal Reserve cut the key rate, causing minimal market reaction. The market predicts a decline in rates next year, making the dollar more attractive. Inflation and retail sales reports will provide further insight.

Gold has experienced a correction, losing over 5% since late October. Further declines are expected, with potential support at $2400 and a possibility of a pullback to $2000.

The dollar index rallied on the US presidential election results, picking its way up after consolidation and correction in recent weeks

Gold lost over 3% on Wednesday and now evaluating an important support line at the 50-day moving average of $2,640.

The US stock market experienced a rally after the presidential election results, with several key indices reaching all-time highs. Investors are paying attention to Tesla and Amazon. The oil industry, associated with the Republican Party, has seen increased stock prices.

The single currency has been one of the losers from Trump’s victory, losing 2% on Wednesday to 1.07, its lowest since July. And it’s not just a story of a strong dollar, with the euro also losing around 0.7% against.

Market volatility is likely to peak this week, setting the stage for the next two to three months. Typically, volatility is synonymous with declines in equity indices, although that’s not entirely accurate. The pattern of market volatility fits well with.

The Dollar Index DXY is poised for a new trend after a strong October. Recent pullback to 78.6% retracement level consolidates liquidity. f DXY falls below 103, it may drop to 100 or even 90. A rise above 104.5 could signal an upward trend towards 107.4 or even 114.7.

Market Picture Crude oil gained around 2.5% on Monday after OPEC+ reported that it intends to delay the cartel’s production quota increase by one month from December. The November 2023 agreement calls for eight major producers, including Saudi Arabia and.