Senior Relationship Manager
Summary: Is the storm past or are we in the eye of it?
Good Morning,
EURUSD is back above 1.08 at 1.0811, Cable has breached the 1.23 again and USDJPY is below 131. GER40 is testing the 15200 but needs a close abor 15300 to break the downtrend, the US500 should reclaim the 4000 for more upside.
Markets remained in a consolidation phase yesterday with the most important news being the lack of bad news. Yields gained slightly, the USD Index fell a little, stocks could post moderate gains and Gold and Silver remained stable.
The agenda is thin today with the key events being the US Consumer Confidence and the US Senate Banking Committee.
It is a little early to see which topic will emerge as market driver next – for the banking crisis, we need more time for it to fade front eh top of the mind but inflation, the US-China rift, the debt ceiling or the unknown unknown may emerge or reemerge at any point in time.
Remain cautious while we see if the storm is past or if we are in the eye of it.
Update on Technical levels:
Yields are on the bounce in both US and EU. Both 2 and 10-year Government yields have formed bottom and reversal patterns indicating strong rebounds.
DAX Broken bearish out of rising wedge like pattern formed over the past 4-6 months. Three times last week tried buyers to lift DAX above 55 daily MA only to close below. The Index is in a short-term downtrend with lower lows and lower highs. To reverse that a closed above 15,300 is needed.
FTSE 100/UK100 and FTSE 250/UK250MID are the weakest of the leading European Indices. Currently testing key supports minor bounce could be seen before sellers are likely regain control
Tuesday, 28 March
Wednesday, 29 March
Thursday, 30 March
Friday, 31 March
Earnings on watch this week:
A new fragmented world order can render some of today's infrastructure obselete, but it also calls for massive new investments across the globe, which requires a new set of strategic and tactical investment strategies.
Steen Jakobsen,
Chief Investment Officer
As globalisation turns to fragmentation, China seems set on playing a role in the global economy, while simultaneously working towards proofing its own economic situation from external shocks and crises.
Redmond Wong,
Market Strategist
The recent bank runs and ensuing challenges are reminicent of something we've seen before. Will it end like the S&L crises of 1986 and 1995?
Chris Dembik,
Head of Macroeconomic Research
Equity markets need to recalibrate to another - fragmented - global world. What's your view on equities in this market - are they going up or down?
Peter Garnry,
Head of Equity Strategy
With every development comes new opportunites, some of which could be in India. Have you considered the country as a part of your diversification strategy?
Charu Chanana,
Market Strategist
A collar is an option strategy that allows some protection while maintaining some upside potential. What investment would you like to use a collar strategy for?
Hans Oudshoorn,
Trainer Academy
There are arguments to be made for many commodities to have upside. Which are you paying the most attention to this quarter?
Ole S. Hansen,
Head of Commodity Strategy
In a very challenging macro environment, which currencies do you think will come out on top?
John J. Hardy,
Head of FX Strategy