US stock indexes showed another positive momentum as Dou Maekelawi, the largest in 2022. The Dow gained 834 points or 2.51 percent on the day. The Nasdaq performed poorly, but rose 1.64% after yesterday’s 3.35% gain. S&P rose 95.95 or 2.24 percent. European stocks closed sharply, gaining 3.5% or more of the major indexes.
For the week, the Nasdaq, S&P and Russell 2000 closed higher (0.8%, 1.07% and 1.58%) but the Dow remained unchanged and European stocks were lower for the week.
Nevertheless, the gains made by Russia in gaining control of Ukraine (under the new puppet government) were impressive today.
There have been reports that Russia is now willing to meet with Ukraine and that it may be squeezing those shorts and investing heavily, but come next week, if meetings with Ukraine end with “your choice” is another story. Putting aside new leaders: “Neto may not like that idea, especially if the Russian leader wants to build more monopolies and the Ukrainian border with Belarus, Poland, Slovakia, Hungary, Romania, Moldova is a potential resource.”
NATO member states have imposed additional sanctions on Russia, while the United States and Europe have announced sanctions against Putin.
In other news today.
- Sustainable goods went up more than expected last month as well as major reviews
- The January core PCE is expected to be 5.2% vs 5.1%. Inflation persisted, expecting a 50 BP increase in March. Just as Fed Waller said last night – click here – to join Fed Bulalard (Bullard still calls 100 BP until July, indicating that a 50 BP movement will go from now on and between). The chairman of the federation will testify at Capitol Hill next week and his comments will be closely monitored.
In the forex market, cash flow hints at rising stocks and the “risk” theme. The strongest of the major ones were AUD and NZD. The weakest were the JPY and the USD.
Some technical comments on some major pairs
- EURUSD closes at 1.1270 highs. The pair is testing the 100 hour MA at 1.12726 (moving up and down). The pair are on the verge of reversing all losses that have occurred since the invasion of Russia (1.1285 Ish). Traders above the 100 Hour MA will have trades at around 1.1300 and the 200 Hour MA at 1.1315.
- GBPUSD up and down trades strengthened Friday at 1.3412. The 38.2% drop from February 18 comes at 1.13134. It could be a barometer for buyers and sellers next week.
- USDJPY traded back on Friday. The low rose to 115.685 from Thursday before rising to 115.53 in the 200 hours MA at 115.53. See 115.368 early next week for support. As of February 10, the peak is 50% of the region. Move below and we can go back to 200 hours MA.
- NZDUSD moved higher today and is currently trading for most of the NA session at 0.6729 from 100 hours MA. That level will be the level of discrimination at the beginning of the week. Stay tuned is more obscene. Scroll down and see more side search. The price is set at 0.6745
- The AUDUSD AUDUSD moved back 100 hours MA at 0.7205 and remained in North American session on Friday. It is even worse to stay on top during the new trading week.
In other markets:
- Spot Gold is trading – $ 14.86 or -0.78% at $ 1888.08. This is $ 86 less than yesterday’s day-to-day high and lowers its weekly price. The gold price closed at $ 1898.23 last Friday.
- Crude oil futures are closing at $ 91.94, down $ -0.87or -0.94%. Like gold, it is worth $ 100.15 from Thursday and is low for the week (last week the contract closed at $ 92.00.
This week, Russia and Ukraine are the largest exporters of soft drinks, such as wheat and corn.
- For wheat, the $ 0.75 daily limit closed today at $ 8.59 after trading a day earlier, up from $ 9.60 (down -10.5%).
- For the future of corn, parts of the stock traded at $ 7.189 yesterday and are down $ 6.59 today (8.39% higher than yesterday)
In the U.S. debt market, stocks are closing in on the day-to-day prices, but they are mixed. For the week, the 2-year production has reached a record high of 1.644% since December 2019, but has returned to 1.57% by the end of the week. Last week’s 10-year yield closed 1.934 percent. The lowest yield rose 1.847% this week (on-the-fly safety bid), but returned at a modest gain of 1.963% this week. This week, the Treasury auctioned the 2B notes 52B, the 5 year notes $ 53B and the $ 50B 7 year notes with all the international and domestic demand. What we do know is that if stocks in the mall, the high demand for US debt is a good option.
Next week is a busy week.
- RBA rate decision Tuesday (Monday 10 ፡ 30 30). No change is expected but the market is looking for differences from the statement
- US ISM Tuesday at 10 AM ET
- OPEC meeting on Wednesday. There is no change from the expected increase in production.
- Non-ADP farm pay (was late) on Wednesday 8 ፡ 15
- Wednesday’s BOC price decision with expectations for a 25 BP walk
- Fed Paul will testify on Wednesday at 10 AM and again on Thursday.
- ISM service on Thursday at 10 AM ET
- US Employment Friday at 8 AM 30 AM ET (+400,000 estimates).