Dow Eyes Session Highs, Led by Energy, Financials By Investing.com


© Reuters.

By Yasin Ebrahim 

Investing.com – The Dow rallied toward its highs of the day Monday, paced by strong gains in energy and financials as investors continued to assess efforts by governments worldwide to contain the Covid-19 outbreak.

The rose 3.26%, or 739 points, just below its session highs of 937 points. The gained 2.77% and the added 2.14%.

For the second day in a row, investors are cheering signs that restrictive measures, including social distancing, have been effective in slowing the pace of coronavirus infections.

Underscoring a fall in the rate of hospitalizations, New York Governor Andrew Cuomo said the state was still indicating that the spread of the virus was plateauing, even as the state reported its biggest increase in deaths of 731 overnight.

Cuomo said, however, that death was a lagging indicator in the fight against the virus. He also pointed to a significant drop in patients admitted to intensive care units.

Sentiment on stocks was also helped by reports that Congress is looking to beef up its $349 billion small business loan package by a further $200 billion.  

Senate Majority Leader Mitch McConnell said he hopes to approve further funding for the small business loan program this Thursday, CNBC reported.

The broader market rally was led by a surge in energy, with Exxon Mobil (NYSE:) cutting its capital spending plans by 30%, but pledging to maintain its dividend, sending its stock more than 5% higher.

Financials, mostly banks, were also among the biggest gainers on the day as Treasury yields climbed higher.

JPMorgan (NYSE:) rallied 5%. while Goldman Sachs (NYSE:) and Bank of America (NYSE:) were both 6% higher.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Dollar Weakens as Risk Sentiment Improves By Investing.com


© Reuters.

By Peter Nurse

Investing.com – The dollar has been on the back foot Tuesday, with risk sentiment boosted by further evidence that the virus has peaked in some countries in Europe, while the U.S. has also seen scattered evidence of improvement.

At 3:10 AM ET (0710 GMT), the , which tracks the greenback against a basket of six other currencies, stood at 100.235, down 0.5%, with the , and all rising over 1%. fell 0.3% to 108.88, while rose 0.6% to 1.0859. gained 0.7% to 1.2316 even as Prime Minister Boris Johnson was moved into intensive care overnight due to his worsening COVID-19 symptoms.

Spain’s daily death toll fell on Monday for the fourth day running to 637, its lowest level since March 24, while Italy reported 525 deaths on Sunday, the fewest since March 19 (although deaths ticked up again on Monday). In New York, the epicenter of the outbreak in the U.S., Governor Andrew Cuomo said Monday that the state’s death rate has been ‘effectively flat for the last two days.’

The euro will be in focus later as eurozone finance ministers hold a teleconference call to discuss strategies for funding the region’s policy response to the virus.  Various ideas and schemes are competing for attention, but the desire of Spain and Italy for jointly-issued and guaranteed ‘coronabonds’ is likely to be rejected by Germany, the Netherlands and others. 

The price of oil has become another factor impacting the strength of the dollar. 

“USD and oil have become an increasingly uneven relationship with US oil production now a key liability for USD,” said Danske Bank, in a research note. 

Looking at Thursday’s meeting of the major crude producers to discuss a reduction of supply, “we think risks are tilted towards a disappointment and expect to stay sub-USD40/bbl. This could fuel USD/JPY moving towards 106 again near term,” Danske added.

 By extension, “we generally also find it too early for commodity currencies to see a forceful recovery, even if NOK remains an exception due to notably its fiscal support,” Danske added.

At 3:10 AM ET, dropped 1.4% to 10.2866, while the price of Brent rose 3.1% to $34.09 a barrel.

The dollar also gave up ground against most emerging market currencies, with the rising around half a percent. 

 

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





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Oil Prices Drop as OPEC Meeting Postponed to Thursday By Investing.com


© Reuters.

By Gina Lee

Investing.com  Oil prices slid in Asia on Monday morning as OPEC+ delayed a meeting scheduled for later in the day to Thursday.

International  lost 6% to $32.74 by 9:55 PM ET (2:55 AM GMT) and U.S.  also dropped 6.1% to $26.61, continuing their slide from the last session.

The announcement of the meeting, called to mediate a truce between Saudi Arabia and Russia in their ongoing price war sent oil prices soaring last week.

But tensions between the two producers led to a three-day postponement and increased investor fears that these latest talks will also end in failure like the last meeting in March.

“It’s probably going to crater,” Again Capital’s John Kilduff told CNBC. “There was a lot of optimism priced into oil Thursday and Friday. With this new Saudi, Russia spat, it doesn’t look like it’s going to come together.”

Saudi oil minister Khalid A. Al-Falih called for producers “outside of OPEC+,” such as the United States, Canada and Norway, to lend their support on Sunday.

As the COVID-19 pandemic continues to reduce global demand, oil still cannot resolve its inevitable oversupply dilemma.

“The energy sector is facing its most challenging fundamental period since the Great Energy Depression of 1981-1995,” Kurt HalleadRBC co-head of global energy research, told CNBC.

“On the oil front, demand is set to decline by amounts never before seen driven by the COVID-19 global economic shock while supply is surging due to the Saudi-Russia oil price war,” he added.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Forex – U.S. Dollar Strengthens as Oil Prices Come Off Record Session By Investing.com


© Reuters.

By Gina Lee

Investing.com – The U.S. dollar surged in Asia on Friday as crude oil prices came off a record session.

prices jumped almost 25% as U.S. President Trump hinted at a possible resolution to the Saudi Arabia – Russia price war yesterday.

The  that tracks the greenback against a basket of other currencies gained 0.04% to 100.31 by 11:32 AM ET (04:32 GMT).

Meanwhile, the United States faces record unemployment rates due to the COVID-19 epidemic as it announced overnight that 6.648 million people in the country claimed unemployment.

“The U.S. labor market has more or less collapsed,” Joe Capurso,  Commonwealth Bank of Australia currency analyst, said to CNBC.

“The increase in the dollar because of the poor U.S. economic data reflects the dollar’s status as a counter-cyclical currency. It lifts when the global economy deteriorates, even if the deterioration in the global economy is the U.S.,” he added.

The  pair was up 0.01% to 107.92.

Down Under, the  pair gained 0.09% to 0.6065 whilst the pair slid 0.12% to 0.5909.

The  pair gained 0.1% to 7.0890, and the  pair slid 0.14% to 1.2374.

As the World Health Organization said that the number of global COVID-19 cases exceeded 900,000 as of April 2, investors continue to bide their time.

Until the virus peaks, we anticipate the selling pressure will prevail and capital outflows will continue, although the biggest wave may have occurred in March,” Piotr Matys, senior emerging markets FX Strategist at Rabobank, told CNBC.

“If a synchronized global recession transforms into depression, then all bets will be off,” he added.

Japanese bank Nomura said in a note that it expects the world economy to contract by 18% in the first quarter, on an annualized basis, and is set to shrink about 4% in 2020.  

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





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U.S. Shed 701,000 Jobs in March in Foretaste of Worse to Come By Investing.com


© Reuters.

By Geoffrey Smith

Investing.com — The U.S. economy shed 701,000 jobs in the month to mid-March, the government said in a monthly labor market report that predates the worst of the impact from the Covid-19 pandemic on the U.S. economy.

The figures, normally the most eagerly-awaited data of the month in global financial markets, have already been rendered largely meaningless by the unprecedented spike in jobless claims over the subsequent two weeks. Nearly 10 million Americans – 6% of a total workforce of 164 million – have filed for unemployment benefit since the Bureau of Labor Statistics’ cut-off date of March 12.

Analysts had expected a drop of 100,000 in overall employment, according to an Investing.com poll, roughly in line with figures reported by private payrolls processor ADP (NASDAQ:) earlier in the week.

According to think-tank Oxford Economics, the jobs lost are just the tip of the iceberg. Its analysts expect the U.S. economy to shed more jobs through May than it created in the whole of the expansion since 2009. Oxford’s Greg Daco said he expects 24 million jobs to disappear in April.

As expected, the leisure and hospitality sector bore the brunt of the job losses, shedding 459,000 jobs.

According to the government’s data, the unemployment rate rose to 4.4% from a multi-year low of 3.5%, above forecasts for a rate of 3.8%. Cleveland Fed President Loretta Mester told Bloomberg on Thursday that she expected the jobless rate to rise to 15% as regional lockdowns feed through into the data.

Average hourly earnings growth accelerated to 3.1%, while weekly hours worked fell to 34.2 from 34.4, the Bureau of Labor Statistics said.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Pound Under Pressure as U.K. Services Suffer Worst Month Ever By Investing.com


© Reuters.

By Yasin Ebrahim 

Investing.com – The pound continued its selloff against the dollar on Friday, as the U.K. services sector suffered its worst month on record, exacerbating fears about the strength of the economy at a time when business activity has ground to a halt following a nationwide lockdown last week.

fell 1.15% to $1.2249 after hitting a high of $1.2411 on the day.

IHS’s Markit’s , which measures the change in monthly sector activity, fell to reading of 34.5, the worst ever recorded.

With restaurants, pubs and other businesses set to remain in lockdown in the coming weeks, many fear the worst is yet to come, particularly as the Covid-19 pandemic in the U.K. shows little sign of slowing.

Offering a sliver of optimism, Health Secretary Matt Hancock tentatively suggested infections in Britain could peak on April 12, Sky reported.

“I defer to the scientists on the exact predictions, I’m not going to steer you away from that. That is one perfectly possible outcome,” Hancock reportedly said, when asked about reports that the death rate could peak on April 12.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





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Gold Ends Week in $1,600 Zone After Epic U.S. Job Losses By Investing.com


© Reuters.

By Barani Krishnan 

Investing.com – Gold dug its heels into the $1,600 territory on Friday, ending its second week there, as investors turned again to the comfort of safe havens after epic U.S. job losses for March from the Covid-19 pandemic.

The United States lost 701,000 jobs in March as the pandemic bumped up the nation’s unemployment rate by the most in a month since 1975, the Labor Department said in its monthly employment report on Friday. 

The report came on the heels of Thursday’s weekly jobless claims by the department that showed a record 6.6 million Americans filed for unemployment insurance for the week ended March 28.

on New York’s COMEX settled up $8, or 0.5%, at $1,633.70 per ounce. For the week, the futures contract also gained about 0.5%.

, which tracks live trades in bullion, was up $7.48, or 0.5% at $1,621.76 by 4:00 PM ET (20:00 GMT). For the week, bullion dipped 0.1%.

“Gold volatility will remain high over the coming weeks, and despite this down week, prices should be supported in the long term as the impact of Covid-19 intensifies across the world,” said Edward Moya, analyst at online trading platform OANDA. 

”Fiscal and monetary stimulus will likely need to remain in place a lot longer and that should ultimately be the backbone of gold’s bullish stance.”

 

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



France stocks lower at close of trade; CAC 40 down 1.57% By Investing.com


© Reuters. France stocks lower at close of trade; CAC 40 down 1.57%

Investing.com – France stocks were lower after the close on Friday, as losses in the , and sectors led shares lower.

At the close in Paris, the declined 1.57%, while the index fell 1.67%.

The best performers of the session on the were Carrefour SA (PA:), which rose 6.08% or 0.86 points to trade at 15.09 at the close. Meanwhile, Publicis Groupe SA (PA:) added 4.22% or 1.10 points to end at 27.16 and Sanofi SA (PA:) was up 2.37% or 1.88 points to 81.36 in late trade.

The worst performers of the session were WFD Unibail Rodamco NV (AS:), which fell 9.05% or 4.50 points to trade at 45.22 at the close. Safran SA (PA:) declined 8.16% or 5.60 points to end at 63.00 and Societe Generale SA (PA:) was down 8.15% or 1.14 points to 12.80.

The top performers on the SBF 120 were Carrefour SA (PA:) which rose 6.08% to 15.09, Tarkett (PA:) which was up 5.94% to settle at 9.01 and Eutelsat Communications SA (PA:) which gained 4.47% to close at 9.62.

The worst performers were Natixis (PA:) which was down 18.72% to 1.84 in late trade, CNP Assurances SA (PA:) which lost 9.53% to settle at 8.07 and WFD Unibail Rodamco NV (AS:) which was down 9.05% to 45.22 at the close.

Falling stocks outnumbered advancing ones on the Paris Stock Exchange by 348 to 230 and 72 ended unchanged.

Shares in WFD Unibail Rodamco NV (AS:) fell to 5-year lows; falling 9.05% or 4.50 to 45.22. Shares in Societe Generale SA (PA:) fell to 5-year lows; down 8.15% or 1.14 to 12.80. Shares in WFD Unibail Rodamco NV (AS:) fell to 5-year lows; falling 9.05% or 4.50 to 45.22.

The , which measures the implied volatility of CAC 40 options, was up 3.16% to 43.18.

Gold Futures for June delivery was up 0.44% or 7.15 to $1644.85 a troy ounce. Elsewhere in commodities trading, Crude oil for delivery in May rose 6.71% or 1.70 to hit $27.02 a barrel, while the June Brent oil contract rose 9.49% or 2.84 to trade at $32.78 a barrel.

EUR/USD was down 0.62% to 1.0789, while EUR/GBP rose 0.75% to 0.8824.

The US Dollar Index Futures was up 0.60% at 100.875.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Dollar Still in Demand, For Now By Investing.com


© Reuters.

By Peter Nurse

Investing.com – The dollar was in demand in early trading in Europe on Friday, as investors sought safety following the dire U.S. unemployment figures which illustrated the extent of the economic fallout from the coronavirus pandemic.

At 3:05 AM ET (0705 GMT), the , which tracks the greenback against a basket of six other currencies, rose above 100 for the first time in over a week to stand at 100.460, up 0.2% on the day and up some 0.6% on the week. fell 0.3% to 1.0823, while rose 0.2% to 1.2367. climbed 0.1% to 108.02.

The outbreak of the pandemic has caused developed economies to virtually close down as governments attempt social distancing policies to stem the spreading of the virus.

Further evidence of the damage associated with these policies emerged in the United States Thursday, with an unprecedented number of workers – 6.6 million – filing jobless claims.

At the same time, the pandemic has shown few signs of abating Friday, with global cases surpassing one million, with more than 53,000 deaths, over 6,000 of which were in the U.S.

“The U.S. labor market has more or less collapsed,” said Commonwealth Bank of Australia currency analyst Joe Capurso, in a Reuters report.

“The increase in the dollar because of the poor U.S. economic data reflects the dollar’s status as a counter‑cyclical currency. It lifts when the global economy deteriorates, even if the deterioration in the global economy is the U.S.”

There’s more U.S. employment data to come at 8:30 AM ET (12:30 GMT), in the form of the for March. However, this was from the week of March 12, before any major U.S. state had gone into lockdown, and thus is likely to only have a limited impact.

Adding to the dollar’s appeal has been the sudden rebound in the price of oil, although Thursday’s sharp gains have been sold into early Friday. Oil is priced in dollars and the U.S. is also the world’s top oil and gas producer.

“The USD has once again proven to be King in times of crisis,” said analyst Andreas Steno Larsen at Nordea, in a research note, “probably as most debt is still denominated in USDs, which means that USDs are sought after when liquidity tightens globally as has been the case due to the corona lockdowns.”

However, the dollar could be hammered as soon as we approach a reopening of the economy, he warned.

“USD liquidity is sprayed at every single scarce corner of the market now. This is ultimately going to kill the USD momentum; it is just a matter of time in our opinion,” Larsen said.

The dollar “could face a hit of >15% over the coming 12-24 months if the global economy gets out of the woods in the meanwhile.”

 

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





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U.S. Dollar Rises on Back of Economic Uncertainty By Investing.com


© Reuters.

Investing.com  The U.S dollar rose in Asia on Thursday as investors continued to look for safe havens.

The , which tracks the greenback against a basket of other currencies, rose 0.01% to 99.761 by 11:16 AM ET (4:16 AM GMT).

U.S President Donald Trump warned Americans to brace for a “rough two weeks” overnight as the World Health Organization said that the number of global COVID-19 cases topped 800,000 as of April 1.

Data prepared by Investing.com predicts that another 3.5 million Americans filed for unemployment benefits as the U.S. announces its weekly initial jobless claims later today.

“If America’s optimistic president is warning the worst of the pandemic is yet to come, what factory in their right mind would keep the doors open and workers on the payroll?” Chris Rupkey, chief financial economist at MUFG Union Bank, asked in a CNBC interview.

“With only a few actual data points so far, the results indicate this is looking more like a depression than a garden-variety recession, he added.

The pair was down 0.33% to 107.5.

“As we’ve seen yesterday, a deterioration in the U.S. economic outlook is likely to lead to strength in the yen against the U.S. dollar,” Shin-ichiro Kadota, senior strategist at Barclays (LON:)said to CNBC.

Down Under, the pair lost 0.02% to 0.6069 whilst the NZD/USD pair gained 0.2% to 0.5917.

Meanwhile, the pair lost 0.1% to 7.1056 and the pair gained 0.02% to 1.2378.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





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