Daily Market Updates 14.08.2020
Friday 14.08.2020
Asian Session
Asian equities fell today as investors’ worries about a delay in U.S fiscal stimulus. Japan’s index Nikkei 225 has gained +0.17% and finishes at 23,289.36, while Hong Kong’s Hang Seng HSI fell -0.19% to 25,183.01. In South Korea, the Kospi index fell -1.23% to 2,407.49 and the Shanghai Composite index gained +1.19% to 3,360.10.
| Asian Stock | Closed |
| Nikkei | +0.17% |
| Hong Kong HSI | -0.19% |
| China Shanghai SSE | +1.19% |
| KOSPI – South Korea | -1.23% |
US Stocks
Due to the lack of progress in fiscal stimulus talks the US stock market closed mixed. According to Jim Paulsen, Leuthold group chief investment strategist, the US economy’s “depression-like collapse” is setting stocks up for a “wartime boom,”. The Dow Jones Industrial Average fell 80.120 points or -0.29%, S&P500 fell 6.92 points, a loss of -0.2% and Nasdaq rose by 30.27 points a gain of +0.27%.
| U.S Stocks | Closed |
| DOW | -0.29% |
| S&P500 | -0.20% |
| NASDAQ | +0.27% |
Major Currencies
Euro/Dollar is currently trading slightly above 1.18 and it is in a consolidation setting for most of this month with prices ranging between 1.1916 and 1.1696. Australian Dollar against US Dollar is currently trading at 0.71528 and maintains its recovery from Thursday’s drop to 0.71355 at the time being. GBP/USD is currently trading at around 1.3069 and it is above the critical psychological support level of 1.3050. EUR/JPY it is currently trading at 126.012. Even though currently the price is almost on the previous day low there is a possibility that the current week can be the 5th straight week of gains. For the records, the last time this happened was December 2016.
Gold Market
The price of gold on this morning was down and currently is trading at $1946. From technical point of view at around that price and more specifically at $1945 there are support levels with the strongest one to be the Fibonacci level of 38.2% on the daily timeframe. The precious metal has fallen 4% so far this week. Due to the fall of the Dollar gold became cheaper for holders of other currencies. Michael McCarthy, chief strategist at CMC Markets said that the fall that took gold below $1,900, has flushed out a lot of weak longs and it looks like now we’re going for a bit of consolidation and gold is preparing for another move higher.
Oil Market
Benchmark U.S. crude oil for September delivery CLU20, inched down 1 cent to $42.23 to per barrel in electronic trading on the New York Mercantile Exchange. It dropped 43 cents to settle at $42.24 per barrel on Thursday. Brent crude oil for October delivery BRNV20 -0.44% settled 93 cents or 2.1% to $45.43 per barrel.
European Stocks
European equities slipped on Friday due to the uncertainty of the travel industry and sluggish Chinese economic data which their not leaving much room for hope for a quick economic recovery. In early morning trades Europe Stoxx 600 index was down -1.16%, Germany’s DAX index was down -0.92%, FTSE index -1.93% and CAC40 index -1.43%.
On the data front 14-08-2020
| Time (GMT+3) | Event | Impact |
| 02:30 am | AUD RBA Gov Lowe Speaks | High |
| 03:30 pm | USD Core Retail sales m/m | High |
| 03:30 pm | USD Retail Sales m/m | High |
