Todays’ Market Summary
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On Monday, the US dollar index was almost unchanged.
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Yesterday, the US stock indexes S&P 500 and Nasdaq continued to rise, while the Dow fell slightly.
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Today world oil prices are slightly downward corrected.
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Gold quotes rose today on the back of the fall in the US dollar index.
Top daily news
The US dollar index has dropped markedly this morning. It’s yet difficult to say what was the reason. Today world oil prices are slightly downward corrected. U.S. Energy Information Administration expects US shale oil production to increase in November
Forex news
| Currency Pair | Change |
|---|---|
| EUR USD | +0.37% |
| GBP USD | +0.38% |
| USD JPY | -0.18% |
On Monday, the US dollar index was almost unchanged. It dropped noticeably this morning. It’s yet difficult to say what was the reason. Yesterday’s data on industrial production in the US for September turned out to be worse than forecast, but there was no catastrophic collapse in production. It decreased in comparison with August, but increased in annual terms. U.S. yield 10-Year Bond remained almost unchanged and is just below 1.6% per annum. Today in the US there will be data on the housing market for September (Housing Starts and Building Permits), as well as speeches by several representatives of the Fed. This morning, the minutes of the Reserve Bank of Australia published materials from the September meeting of the Australian Central Bank, which contains a discussion of tightening monetary policy amid a surge in inflation. This contributed to the strong growth of the Australian and New Zealand dollars, which won back all yesterday’s losses and renewed their highs for the month. The British pound is also up noticeably this morning. Earlier, Bank of England Governor Andrew Bailey announced a possible rate hike if inflation in Britain rises in September. It will be released tomorrow, October 20. The forecast is + 3.4% against + 3.2% in August. Bitcoin rallied slightly this morning in anticipation of the start of trading in its futures ETFs on the US exchanges. It is trading just below yesterday’s high of $ 63,000. Some players expect a correction in the cryptocurrency market based on the traders’ adage “Buy the rumor, sell the fact”.
Stock Market news
| Indices | Change |
|---|---|
| Dow Jones Index | -0.1% |
| S&P 500 | +0.34% |
| Nasdaq 100 | +0.84% |
| US Dollar Index | -0.33% |
Yesterday, the US stock indexes S&P 500 and Nasdaq continued to rise, while the Dow fell slightly. Facebook (+ 3.3%) announced the creation of 10 thousand new jobs in Europe in order to develop an online “metaverse”. Apple (+ 1.2%) held a presentation of its new devices: HomePod - mini, AirPods and the new MacBook Pro. Against this background, shares of Amazon.com, Netflix, Alphabet and Microsoft also rose by about 1%. Walt Disney shares fell 3% on lower valuation by Barclays. This caused the Dow to fall. Quarterly reports of major companies will be published in the United States today: Johnson & Johnson, Procter & Gamble, Netflix, Bank of New York Mellon, United Airlines and others.
Commodity Market news
Brent Crude Oil
| Commodities | Change |
|---|---|
| WTI Crude | +0.62% |
| +0.55% | |
| COPPER | 2.04% |
Today world oil prices are slightly downward corrected. Investors reacted to the slowdown in Chinese economic growth in the third quarter and US industrial production in September. An additional negative was the forecast of the U.S. Energy Information Administration on an increase in shale oil production in the United States in November by 76 thousand barrels per day (bpd) to 8.3 million bpd. The main increase in production will take place at the Permian basin fields in the states of Texas and New Mexico. Note that oil refining in China in September 2021 decreased to a minimum since May 2020. On a monthly basis, the decline in US industrial production in September was the largest in 7 months on the back of a chip shortage.
Gold Market News
| Metals | Change |
|---|---|
| Gold | +0.69% |
| Silver/US Dollar | +1.52% |
Gold quotes rose today on the back of the fall in the US dollar index. The recovery in palladium demand may slow slightly amid stagnation in electronics production due to a shortage of computer chips. The world’s largest producer of palladium, Norilsk Nickel, has lowered its forecast for the global deficit of this metal this year to 200-300 thousand ounces compared to the previous estimate of 400-500 thousand ounces. The forecast for the global deficit in 2022 was reduced to 300 thousand ounces from 700 thousand.