Month: May 2019

U.S. indices closed mixed on Wednesday. Shares in the Utilities (-1.38%), Semiconductors & Semiconductor Equipment (-1.2%) and Telecommunication Services (-0.58%) sectors were in the red while shares in the Household & Personal Products (+0.29%), Health Care Equipment & Services (+0.22%) and Software & Services (+0.14%) sectors ended on a positive note. The S&P 500 (2,879.42) stays below its 20d moving average (2,915.44 – flat slope) but remains above 50d moving average (2,856.46 – positive slope).

European markets are expected to start on a negative note. read more

Base oil prices reportedly remain under downward pressure throughout Europe, the Middle East and Africa as buyers appear to have the upper hand.

Given the number of recent and upcoming holidays, though, markets may require a few weeks of settling before showing reliable signs of where values are headed. Easter and related holidays have passed both in Russia and elsewhere in Europe, while Ramadan is now beginning for Muslim communities in the Middle East Gulf and parts of Africa.

Group I levels are under the microscope because of margins being squeezed and aggressive countering from buyers. Group II prices are still being eroded but perhaps not as fast as over the past six weeks. In the Group III segment, all grades are under downward pressure as supply increases. read more

BRENT Crude Technical Snap (Daily)

Pivot: 69.50 Our preference: long positions above 69.50 with targets at 70.90 & 71.30 in extension. Alternative scenario: below 69.50 look for further downside with 69.00 & 68.45 as targets. Comment: the RSI calls for a rebound.

Today’s Economic Events

07:00 GE MAR Industrial Production (MoM) exp: -0.6% prev: 0.7%
15:30 US W17 Crude Oil Inventories (WoW chg) exp: NA prev: 9934

U.S. indices closed lower on Tuesday as the Dow fell by appx 475 points. Technology Hardware & Equipment (-2.43%), Semiconductors & Semiconductor Equipment (-2.31%) and Pharmaceuticals, Biotechnology & Life Sciences (-2.17%) sectors were under pressure. The S&P 500 (2,884.05) broke below its 20d moving average (2,915.37 – flat slope) but remains above 50d moving average (2,856.75 – positive slope).

European markets are expected to start on a negative note.

Foreign Exchange read more

BRENT Crude Technical Snap (Daily)

Pivot: 70.70 Our preference: long positions above 70.70 with targets at 71.75 & 72.30 in extension. Alternative scenario: below 70.70 look for further downside with 70.05 & 69.50 as targets. Comment: the RSI has just landed on its neutrality area at 50% and is turning up.

Today’s Economic Events

07:45 FR MAR Trade Balance (M) exp: NA prev: -4002
20:00 US MAR Consumer Credit (B USD) exp: 16.9 prev: 15.2

U.S. indices closed lower on Monday after President Trump tweeted that he will increase tariffs on $200B worth of Chinese goods from 10% to 25% on Friday. Shares in the Consumer Durables & Apparel (-1.63%), Semiconductors & Semiconductor Equipment (-1.52%) and Technology Hardware & Equipment (-1.38%) sectors took a hit while shares in the Health Care Equipment & Services (+1.13%), Food & Staples Retailing (+0.39%) and Pharmaceuticals, Biotechnology & Life Sciences (+0.17%) sectors gained a bit of strength. The S&P 500 (2,932.47) stays above both its 20d moving average (2,915.96 – positive slope) and 50d moving average (2,854.99 – positive slope).

European markets are expected to open on a negative note. read more

BRENT Crude Technical Snap (Daily)

Pivot: 71.15 Our preference: short positions below 71.15 with targets at 69.65 & 69.35 in extension. Alternative scenario: above 71.15 look for further upside with 71.60 & 72.00 as targets. Comment: the RSI has just struck against its neutrality area at 50% and is reversing down.

Today’s Economic Events

US APR Average Hourly Earnings (MoM) exp: NA prev: 0.3%
US APR Average Weekly Hours exp: NA prev: 33.7
10:00 EC MAR Euro-Zone: PPI (MoM) exp: 0.1% prev: 0.1%
13:30 US APR Change in Manufact. Payrolls (k) exp: 10 prev: -6
13:30 US APR Change in Nonfarm Payrolls (k) exp: 187 prev: 196
13:30 US APR Unemployment Rate exp: 3.8% prev: 3.8%
13:30 US MAR P Wholesale Inventories exp: 0.6% prev: 0.2%
14:45 US APR F Markit Composite PMI exp: NA prev: 52.8
14:45 US APR F Markit Services PMI exp: 52.8 prev: 52.9
15:00 US APR ISM – Non Manufacturing exp: 56.9 prev: 56.1 read more