Morning Brew March 9 2022
Erik Schafhauser
Senior Relationship Manager
Summary: Markets calms a little but avoid complacency as event risk remains extremely high.
Good Morning,
US Indexes lost a little ground yesterday with the Dow -0.56%, the S&P 500 - 0.72%, and the Nasdaq -0.28%, Dax and European Equities made up ground and over night Equities again across the board, app 1% in most indexes.
Gold rose to 2050 with a high at 2069, pulling silver to 26.65, oil rises on the U.S. imposing an immediate ban on Russian oil and other energy imports.
The EUR gained a little in value ahead of tomorrows ECB Meeting, rising to 1.0915, GBPUSD is trading at 1.3120 and the USD Index retreated to 99.
Bitcoin could add 8% to 41600 but US regulation loos as a risk event.
The London Metal Exchange halted trading in Nickel yesterday and cancelled trades yesterday the price doubled to more than $100,000 per ton.
Pls see Peters Equity Update here:
Sanctions on Russia are causing ripple effects everywhere
Summary: Today's equity update touches on the EU's new plan to issue joint bonds to fund massive investments in energy and defence adding further short-term tailwind for Europe's oil and gas industry. The sanctions against Russia are causing all sorts of unintended consequences and ripple effects with the nickel market yesterday jumping in a spectacular way due to a massive short squeeze. The rapid rise in nickel and also lithium carbonate prices are putting enormous pressure on electric vehicle makers such as Tesla.
There is little on the economic Agenda today so all focus will be on Ukraine and the overall fallout of the sanctions that are evolving.
Remain cautious and careful in your position sizes.