Thursday, February 2, 2023

Crude Oil And FX Setting The Stage For Further Stocks Growth


Global markets made record highs on Wednesday morning following a rally of key US indices. managed to close above 30,000 for the first time in history, climbed above 12,000 and closed above 3,600 on Tuesday. We have seen slippages and short-term pullbacks near these levels since September.

So it will be interesting to see if the markets are ready to reach a new level this time. The dynamics of other markets are still indicating that the growth momentum of the markets will continue for now.

Not only has oil managed to move above the highs of August, but it has also increased its growth at an exit above $46.6 per barrel of . This morning, the price of a barrel reached $48.6. These are the highs from the 6th March, before the US and European lockdowns. So, in this case, we can say that oil has managed to escape the coronavirus corridor.

The continues to siege lows of two and a half years. The rebound from 92 earlier in the week was unsustainable, as one would expect from the dollar’s growth on strong macro data. is again flirting with 1.19 and with 1.3350.

Since the beginning of November, purchases in these pairs have been starting from increasingly higher levels. Although the growth impulses have previously rested on resistance, the sequence of shallow pullbacks is more likely to happen sooner rather than later. This is also an argument in favor of maintaining the momentum of buying risky assets.

The price of gold fell yesterday close to $1800, where a 200-day moving average is now situated. The recovery in market optimism has washed away the demand for gold as a refuge for capital during stock market turbulence.

This weakening of gold may be short-lived, as interest in gold is fuelled both by rising commodity market prices and abundant liquidity at extremely low government bond yields.

The FxPro Analyst Team

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Source link


Please enter your comment!
Please enter your name here



Related Stories