Senior Relationship Manager
Summary: 1 down 3 to go - Tesla gains more than 10% after hours - PMs recover.
Good morning,
Risk Sentiment improved yesterday with the USD a little weaker and Equities friendly. Gold and Silver found some buyers and Tesla soared in the aftermarket.
Divergent PMI with Europe better expected and the US worse weighed on the USD, the USD Index fell from 105.70 from 106.10 yesterday.
Indexes rose with the Dow up 0.7%, the S&P500 +1.2% and the Nasdaq 100 +1.5%, Tesla and TI reported after hours and while Tesla failed to meet analyst expectations, results were apparently much better than traders feared. An updated strategy will also have helped. Tesla closed at 144.70 and rose to 163.93 in extended trading, Texas instruments also rose 7%. Tesla announced it would introduce new models based on existing platforms and with expected cost of USD 25,000.
Please remember you can trade US Equities in the premarket – if you go to the trade ticket, select Algo as Order type and Pre Market Limit. Orders will be executed from 13:00 CET. This can be great to manage positions before the regular market opens.
This morning, Roche reports a significant decline in sales, as expected.
Gold and Silver initially traded under pressure yesterday before finding buyers, Silver traded as low as 26.68 and Gold 2290 now we are at 27.40 and 2330 again.
The moves seem to indicate that there is a lot of willingness to buy the dip.
Today we are expecting the German IFO Index, US Durable goods orders and significant earnings, also the Sino-US tensions will be of great importance and can have significant market impact if there are any news.
The US Congress passed the bills to fund Ukraine and Israel with a great majority and approved legislation to either ban TikTok or force ByteDance to divest it.
The week is likely to continue with high volatility so consider your risk willingness.
Wednesday
- Data AU PMI, DE IFO Index, US Durable Goods Orders, CA Retail Sales
- Earnings: Boeing, AT&T, General Dynamics, Bioogen, Meta, Ford, IBM,
Thursday
- Data Turkey Rate Decision, US Initial Jobless Claims, GDP Advance
- Earnings: American Airlines, Caterpillar, AstraZeneca, Microsoft, Alphabet, Intel, Snap, Roku, T-Mobile, Gilead
Friday
- Data US PCE
- Earnings: Exxon Mobil, Chevron, Colgate Palmolive,
Expiries
Physically Settled Futures
ECOK4 will expire on 24 Apr 2024 at 15:00
RCK4 wil expire on 24 Apr 2024 at 15:00
Expiring CFDs
NATGASUSMAY24 will expire on 24 Apr 2024 at 15:00
2024: The wasted year
Markets are driven by election optimism, overshadowing growing debt and liquidity concerns. The 2024 elections loom large, but economic fundamentals and debt issues warrant cautious investment.
As US economic slowdown hints at a shift away from exceptionalism, USD faces downside with looming Fed cuts. AUD and NZD set to outperform as their rate cuts lag. JPY gains on carry unwind bets and BOJ pivot.
Amid AI and obesity drug excitement, equities see varied prospects: neutral on overvalued US stocks, negative on Japan due to JPY risks, positive on Europe. European defence stocks gain appeal.
With the economic slowdown, quality assets will gain favour, especially sovereign bonds up to 5 years. Central banks' potential rate cuts in Q2 suggest extending duration, despite policy and inflation concerns.
Commodities poised for rebound. The "Year of the Metal" boosts gold and silver, copper awaits rate cuts. Grains may recover, natural gas stabilises. Gold targets $2,300-$2,500/oz, copper's breakout could signal growth.
Markets are driven by election optimism, overshadowing growing debt and liquidity concerns. The 2024 elections loom large, but economic fundamentals and debt issues warrant cautious investment.
As US economic slowdown hints at a shift away from exceptionalism, USD faces downside with looming Fed cuts. AUD and NZD set to outperform as their rate cuts lag. JPY gains on carry unwind bets and BOJ pivot.
Amid AI and obesity drug excitement, equities see varied prospects: neutral on overvalued US stocks, negative on Japan due to JPY risks, positive on Europe. European defence stocks gain appeal.
With the economic slowdown, quality assets will gain favour, especially sovereign bonds up to 5 years. Central banks' potential rate cuts in Q2 suggest extending duration, despite policy and inflation concerns.
Commodities poised for rebound. The "Year of the Metal" boosts gold and silver, copper awaits rate cuts. Grains may recover, natural gas stabilises. Gold targets $2,300-$2,500/oz, copper's breakout could signal growth.