Author: Specialist

U.S. indices closed lower on Friday even though the market rebounded off the lows of the day. Shares in the Energy (-1.95%), Retailing (-0.74%) and Consumer Services (-0.57%) sectors were under pressure. On the economic data front, housing starts advanced to 1.23M units in January (estimated 1.195M) from 1.037M in December while building permits rose to 1.345M (forecasted 1.287M) from 1.326M. In other news, nonfarm payrolls increased to 20K in February (expected +180K, +311K January), while the jobless rate fell to 3.8% (estimated 3.9%) from 4.0%. The S&P 500 (2,743.07) stays below its 20d moving average (2,769.26 – positive slope) but remains above its 50d moving average (2,673.93 – positive slope).

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

BRENT Crude Technical Snap (Daily)

Pivot: 66.25 Our preference: short positions below 66.25 with targets at 65.30 & 65.00 in extension. Alternative scenario: above 66.25 look for further upside with 66.60 & 67.00 as targets. Comment: the RSI calls for a new downleg.

Today’s Economic Events

US FEB Average Hourly Earnings (MoM) exp: NA prev: 0.1%
US FEB Average Weekly Hours exp: NA prev: 33.7
07:45 FR JAN Trade Balance (M) exp: NA prev: -4653
13:30 US FEB Change in Manufact. Payrolls (k) exp: 13 prev: 13
13:30 US FEB Change in Nonfarm Payrolls (k) exp: 183 prev: 304
13:30 US FEB Unemployment Rate exp: 3.9% prev: 4%
13:30 US JAN Bulding Permits (k) exp: 1288 prev: 1326
13:30 US JAN Housing Starts (k) exp: 1194 prev: 1078

U.S. indices closed lower on Thursday, led by shares in the Retailing (-1.72%), Food & Staples Retailing (-1.69%) and Automobiles & Components (-1.34%) sectors. On the economic data front, initial jobless claims declined to 223K in week ended March 2 (vs 225K estimated) from 226K in the previous week and continuing claims fell to 1.755M in week ended February 23 (vs 1.772M expected) from 1.805M a week earlier. The S&P 500 (2,748.93) breaks below its 20d moving average (2,767.41 – positive slope) but remains above its 50d moving average (2,666.09 – positive slope).


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

BRENT Crude Technical Snap (Daily)

Pivot: 65.55 Our preference: long positions above 65.55 with targets at 67.15 & 67.50 in extension. Alternative scenario: below 65.55 look for further downside with 65.00 & 64.60 as targets. Comment: the RSI advocates for further upside.

Today’s Economic Events

10:00 EC 4Q F Euro-Zone: GDP (QoQ) exp: 0.2% prev: 0.2%
12:45 EC ECB: Rates decision exp: 0% prev: 0%
13:30 US 4Q F Nonfarm Productivity exp: 1.5% prev: 2.2%
13:30 US 4Q F Unit Labor Costs exp: 1.7% prev: 0.9%
13:30 US W8 Initial Jobless Claims (k) exp: 224 prev: 225
20:00 US JAN Consumer Credit (B USD) exp: 17.5 prev: 16.6

US indices closed lower on Wednesday, pressured by shares in the Automobiles & Components (-1.83%), Semiconductors & Semiconductor Equipment (-1.67%) and Health Care Equipment & Services (-1.51%) sectors. On the economic data front, the ADP private jobs increased 183K in February (vs +190K estimated, +300K in January). In other news, the trade deficit widened to $59.8B in December (vs $57.9B deficit expected) from $50.3B in November. Finally, the Federal Reserve released its Beige Book, stating a continued expansion in the economic activity in late January and February despite the Government shutdown and reported upward price pressures from tariffs on certain goods and services. The S&P 500 (2,771.45) stays above its 20d moving average (2,766.45 – positive slope) and 50d moving average (2,659.44 – positive slope).

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

BRENT Crude Technical Snap (Daily)

Pivot: 66.00 Our preference: short positions below 66.00 with targets at 65.05 & 64.60 in extension. Alternative scenario: above 66.00 look for further upside with 66.35 & 66.60 as targets. Comment: the RSI is bearish and calls for further decline.

Today’s Economic Events

13:15 US FEB ADP Employment Report (k) exp: 192 prev: 213
13:30 US DEC Trade Balance (B USD) exp: -55.7 prev: -49.3
15:30 US W8 Crude Oil Inventories (WoW chg) exp: NA prev: -8647

U.S. indices closed lower on Tuesday, dragged lower by shares in the Capital Goods (-0.74%), Consumer Durables & Apparel (-0.66%) and Insurance (-0.56%) sectors. On the economic data front, final readings of February Markit U.S. services PMI posted 56.0 (vs 56.2 expected and previously estimated) and Markit U.S. composite PMI was 55.5 (vs 55.8 preliminary). Also, the ISM Non-manufacturing Index rose to 59.7 in February (vs 57.4 forecasted) from 56.7 in January. In other news, new home sales climbed to 621K in December (vs 600K expected) from 599k in November. The S&P 500 (2,789.65) stays above its 20d moving average (2,764.86 – positive slope) and 50d moving average (2,653.36 – positive slope).

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