Daily Market Update 11.11.2020
Wednesday 11.11.2020
Asian Session
Some giants’ companies had losses due to China’s State Administration which announced guidelines aimed at curbing monopolistic behavior on internet platforms. Hong Kong-listed shares of Chinese tech giants Alibaba and Tencent dropped 8.28% and 5.63%, respectively. JD.com also fell 8.17% while Meituan declined 7.07. In Japan, the Nikkei 225 rose 1.78% to close at 25,349.60, while South Korea’s Kospi added 1.35% to close at 2,485.87. Shanghai was up by 0.53% and Hang Seng index gained 0.1%.
| Asian Stock | Closed |
| Nikkei | +1.78 |
| Hong Kong HSI | +0.1% |
| China Shanghai SSE | +0.53% |
| KOSPI – South Korea | +1.35% |
US Stocks
U.S. equities on futures market began even higher in today’s early morning trading, amid this week’s rotation out of technology stocks into cyclical names. Dow Jones on futures added 211 points. S&P 500 futures and Nasdaq 100 futures both traded in positive territory. The tech sector most probably will be affected negatively due to that vaccine gave hopes of economic resurgence. S&P closed lower yesterday by 0.14%, while Nasdaq index lost almost 1.4% and Dow added 0.90%.
| U.S Stocks | Closed |
| DOW | +0.90% |
| S&P500 | -0.14% |
| NASDAQ | -1.4% |
Major Currencies
According to Dutch multinational banking and financial services company Rabobank Euro/Dollar will targeting to trade within 1.16-1.20 range in the coming months, due to presidential elections uncertainty. The upside momentum in Pound/Dollar prevails, with long positions be seen above 1.3215 targeting resistance level near 1.33, otherwise below 1.3215 further downside near 1.312 may occur. Commerzbank expects the cable to fail in the 1.3310-1.3422 band. Dollar/Yen could go higher and try to reach 106 level and even higher in short-term as suggested FX Strategists at UOB Group.
Gold Market Gold prices advanced by 0.3% to $1,882.06 per ounce by early trading session, mainly supported by a softer dollar, while U.S. gold futures were up 0.2% at $1,880.20 per ounce. The dollar index was down 0.1% against a basket of currencies, making gold more attractive to other currency holders. Vaccine will be delay being brought and alongside with the expectations of new stimulus gold will rise even more.
Oil Market
Brent crude oil on futures markets went higher by 48 cents, or 1.1% to $44.09 per barrel at early trading session, while US West Texas Intermediate (WTI) crude oil on futures also increased 48 cents, or 1.2%, to $41.84 a barrel. Both benchmarks gained nearly 3% on during yesterday. Crude stockpiles fell by 5.1 million barrels last week to about 482 million barrels, as American Petroleum Institute (API) data showed yesterday against 0.913 million of barrels that analysts expected.
European Stocks
European equities keep following the positive trend seen earlier this week, after Pfizer and BioNTech’s announcement that their virus vaccine was more than 90% effective in preventing the disease. European stocks opened higher today, amid hopes rising hopes over coronavirus vaccine. The pan-European Stoxx600 climbed 0.4% in early trade and yesterday closed higher by 0.90%
On the data front 11-11-2020
| Time (GMT+2) | Event | Impact |
| 15:00 pm | EUR ECB’s President Lagarde speech | High |
| 15:30 pm | EUR ECB’s De Guindos speech | Medium |
| 15:30 pm | EUR ECB’s Lane speech | Medium |
