Podcast: USD breaks higher, Gold lower, Tesla Battery Drain
Today we look at the US market's ongoing bounce attempt as Europe has been sidelined this week, breakdown Tesla's disappointing Battery Day even, the USD move higher overnight and gold move lower, highlight credit developments in high yield and Italian yields and much more. Today with Althea Spinozzi on fixed income, Ole Hansen on commodities, Peter Garnry on equities and John J. Hardy hosting and on FX.
Investors thought Tesla ’Battery Day’ was disappointing, but was it?
Tesla disappointed investors at its 'Battery Day' yesterday not delivering the major breakthrough that had been hyped in the media. Instead the EV maker announced many small improvements and details including its usual lofty expectations for the future.
Market Quick Take - September 23, 2020
Overnight, the US dollar rally extended and took out a number of key levels across major USD pairs, helping gold punch back down through 1900 dollar/ounce as well. In US equities, the bounce yesterday found resistance at a locally important moving average, while Europe hardly managed anything resembling a bounce.
Short update: the bond market is a dangerous place
US corporate bond primary market stops, Zambia defaults on its Eurobond debt, and Argentina's recently restructured dollar bonds fall in the distressed territory. How more bad news does the bond market need to receive to understand the music is stopping?
Gold bulls challenged on a sustained break below $1900/oz
Gold dropped below $1900/oz on technical selling yesterday only to climb back above when the break was met with strong buying interest through exchange-traded funds. While maintaining a positive outlook, the latest price action has turned the short-term outlook more neutral with additional dollar strength and stock market weakness being the two key downside risks for the market