Erik Schafhauser Zürich

Morning Brew January 21 2022

Morning Brew 1 minute to read
Erik Schafhauser

Senior Relationship Manager

Summary:  Risk Off drives Yields Lower, Netflix and Peleton sell off


Good Morning

There are a number of margin changes today, you can see if you are affected by checking if you have a blue “I” in your account bar or in your account statement. If you see click on it, you will see the change. There should not be any dramatic impacts that we could see.

US Equities continues their descent yesterday with the Dow down 0.89%, the S&P sheds 1.1% and the Nasdaq 1.3%. Netflix dropped sharply from a close of 508 to 405 after a poor outlook. Peleton falls 24% on news of falling demand and production halts. Big tech down again, Apple -1%, Alphabet -1.3Meta -1% and Nvidia -3.6, Tesla is stable at 995. Yields fall sharply on a shift into bonds and the US 10 year is trading at 1.78 after testing the 2 just two days ago. The EU 10 year falls below 0 again.

Bitcoin down 6% on technical selling and Russia considering a ban. We are just trading at the 38k support line where the price turned in March 2021.

Oil falls 1.8%after data shows a build in US inventories -

The USD Index gives up ground on the falling yield, not following the risk off sentiment . There are no huge moves: EURUSD 1.1330 GBPUSD 1.3590 Gold 1840 and Silver 24.40 EURCHF 1.0365

U.S. Secretary of State Antony Blinken and Russian Foreign Minister Sergei Lavrov are scheduled to meet in Geneva today,

Rio Tinto fell almost 5% after Serbia withdrew a lithium exploration license, stating ecological concerns. There is open suspicion that Australia’s failure to let Novak Djokovic play in the Australian Open was the actual cause.

Schlumberger reports earnings today and Canadian Retail sales at 14:30as well as the EU Consumer confidence at 16:00 are of Interest. In the night from Sunday to Monday, the Australian and Japanese PMI will be released.

Expiries
Physically Settled Futures:

ECOG2 will expire 23th January 2022 at 10:00 GMT.

NGG2G2 will expire 27th January 2022 at 10:00 GMT.

GCG2, MGCG2 will expire 28th January 2022 at 16:00 GMT.

Expiring CFDs:

NATGASUSFEB22 will expire 25th January 2022 at 16:00 GMT.

INDIA50JAN22 & TAIWAN95JAN22 will expire 27th January 2022 at 02:00 GMT.

GASOLINEUSFEB22, GOLDFEB22 & HEATINGOILFEB22 will expire 27th January 2022 at 16:00 GMT.

Trade safely

 

Quarterly Outlook

01 /

  • Upending the global order at blinding speed

    Quarterly Outlook

    Upending the global order at blinding speed

    John J. Hardy

    Global Head of Macro Strategy

    We are witnessing a once-in-a-lifetime shredding of the global order. As the new order takes shape, ...
  • Equity outlook: The high cost of global fragmentation for US portfolios

    Quarterly Outlook

    Equity outlook: The high cost of global fragmentation for US portfolios

    Charu Chanana

    Chief Investment Strategist

  • Asset allocation outlook: From Magnificent 7 to Magnificent 2,645—diversification matters, now more than ever

    Quarterly Outlook

    Asset allocation outlook: From Magnificent 7 to Magnificent 2,645—diversification matters, now more than ever

    Jacob Falkencrone

    Global Head of Investment Strategy

  • Commodity Outlook: Commodities rally despite global uncertainty

    Quarterly Outlook

    Commodity Outlook: Commodities rally despite global uncertainty

    Ole Hansen

    Head of Commodity Strategy

  • Macro outlook: Trump 2.0: Can the US have its cake and eat it, too?

    Quarterly Outlook

    Macro outlook: Trump 2.0: Can the US have its cake and eat it, too?

    John J. Hardy

    Global Head of Macro Strategy

  • Equity Outlook: The ride just got rougher

    Quarterly Outlook

    Equity Outlook: The ride just got rougher

    Charu Chanana

    Chief Investment Strategist

  • China Outlook: The choice between retaliation or de-escalation

    Quarterly Outlook

    China Outlook: The choice between retaliation or de-escalation

    Charu Chanana

    Chief Investment Strategist

  • Commodity Outlook: A bumpy road ahead calls for diversification

    Quarterly Outlook

    Commodity Outlook: A bumpy road ahead calls for diversification

    Ole Hansen

    Head of Commodity Strategy

  • FX outlook: Tariffs drive USD strength, until...?

    Quarterly Outlook

    FX outlook: Tariffs drive USD strength, until...?

    John J. Hardy

    Global Head of Macro Strategy

  • Fixed Income Outlook: Bonds Hit Reset. A New Equilibrium Emerges

    Quarterly Outlook

    Fixed Income Outlook: Bonds Hit Reset. A New Equilibrium Emerges

    Althea Spinozzi

    Head of Fixed Income Strategy

The information on or via the website is provided to you by Saxo Bank (Switzerland) Ltd. (“Saxo Bank”) for educational and information purposes only. The information should not be construed as an offer or recommendation to enter into any transaction or any particular service, nor should the contents be construed as advice of any other kind, for example of a tax or legal nature.

All trading carries risk. Loses can exceed deposits on margin products. You should consider whether you understand how our products work and whether you can afford to take the high risk of losing your money.

Saxo Bank does not guarantee the accuracy, completeness, or usefulness of any information provided and shall not be responsible for any errors or omissions or for any losses or damages resulting from the use of such information.

The content of this website represents marketing material and is not the result of financial analysis or research. It has therefore has not been prepared in accordance with directives designed to promote the independence of financial/investment research and is not subject to any prohibition on dealing ahead of the dissemination of financial/investment research.

Saxo Bank (Schweiz) AG
The Circle 38
CH-8058
Zürich-Flughafen
Switzerland

Contact Saxo

Select region

Switzerland
Switzerland

All trading carries risk. Losses can exceed deposits on margin products. You should consider whether you understand how our products work and whether you can afford to take the high risk of losing your money. To help you understand the risks involved we have put together a general Risk Warning series of Key Information Documents (KIDs) highlighting the risks and rewards related to each product. The KIDs can be accessed within the trading platform. Please note that the full prospectus can be obtained free of charge from Saxo Bank (Switzerland) Ltd. or the issuer.

This website can be accessed worldwide however the information on the website is related to Saxo Bank (Switzerland) Ltd. All clients will directly engage with Saxo Bank (Switzerland) Ltd. and all client agreements will be entered into with Saxo Bank (Switzerland) Ltd. and thus governed by Swiss Law. 

The content of this website represents marketing material and has not been notified or submitted to any supervisory authority.

If you contact Saxo Bank (Switzerland) Ltd. or visit this website, you acknowledge and agree that any data that you transmit to Saxo Bank (Switzerland) Ltd., either through this website, by telephone or by any other means of communication (e.g. e-mail), may be collected or recorded and transferred to other Saxo Bank Group companies or third parties in Switzerland or abroad and may be stored or otherwise processed by them or Saxo Bank (Switzerland) Ltd. You release Saxo Bank (Switzerland) Ltd. from its obligations under Swiss banking and securities dealer secrecies and, to the extent permitted by law, data protection laws as well as other laws and obligations to protect privacy. Saxo Bank (Switzerland) Ltd. has implemented appropriate technical and organizational measures to protect data from unauthorized processing and disclosure and applies appropriate safeguards to guarantee adequate protection of such data.

Apple, iPad and iPhone are trademarks of Apple Inc., registered in the U.S. and other countries. App Store is a service mark of Apple Inc.