12.08.2021 MARKET WRAP: Stocks, Bonds, Commodities

 

Trade Now On Wednesday, U.S. stocks advanced further pushing blue-chip indexes to record closes again. The Dow Jones Industrial Average gained 220.3 points (+0.62%) to 35,484, and the S&P 500 rose 10.95 points (+0.25%) to 4,447. Meanwhile, the tech-heavy Nasdaq 100 fell 25.82 points (-0.17%) to 15,027. U.S. official data showed that consumer prices jumped 5.4% on year in July (vs +5.3% expected). Core consumer prices, excluding energy and food prices, grew 0.3% on month, slower than a rise of 0.4% expected. The transportation, banks and materials sectors gained the most, while the pharmaceutical & biotechnology, semiconductor and automobiles sectors were under pressure. Unity Software (U) gained 13.25% after posting positive earnings results. Lumen Technologies (LUMN) gained 3.59% and Caterpillar (CAT) climbed 3.55%. On the other hand, Moderna (MRNA) tumbled 15.64%, BioNTech (BNTX) fell 13.76% and Pfizer (PFE) slid 3.9% The U.S. 10-year Treasury Yield dropped 2 basis points to 1.329%. European stocks closed higher. The DAX 30 gained 0.35%, the FTSE 100 rose 0.83%, and the CAC 40 added 0.55%. U.S. WTI crude charged $1.02 higher to $69.31 a barrel. Gold price rebounded $23 to $1,752 an ounce. Trade Now   MARKET WRAP: Forex   The U.S. dollar softened against other major currencies. The dollar index dipped back below 93.00. EUR/USD rose 21 pips to 1.1741, and GBP/USD climbed 23 pips to 1.3866. AUD/USD jumped 24 pips to 0.7374. In Australia, the Westpac-Melbourne Institute consumer confidence index fell 4.4% on month in August (vs +1.5% in July). USD/JPY dropped 14 pips to 110.43. Japanese official data showed that producer prices jumped 5.6% on year in July, faster than +5.0% expected. USD/CHF declined 6 pips to 0.9217, and USD/CAD slipped 16 pips to 1.2504. Bitcoin spent most of the session at levels above $46,000, and Ether exceeded $3,200. Download MFM Securities MetaTrader plugin for Trading Central     EUR/USD Intraday: continuation of the rebound.   Pivot: 1.1720 Our preference: Long positions above 1.1720 with targets at 1.1755 & 1.1770 in extension. Alternative scenario: Below 1.1720 look for further downside with 1.1705 & 1.1690 as targets. Comment: The RSI advocates for further upside.     Trade Now AUD/USD Intraday: towards 0.7410.   Pivot: 0.7340 Our preference: Long positions above 0.7340 with targets at 0.7390 & 0.7410 in extension. Alternative scenario: Below 0.7340 look for further downside with 0.7325 & 0.7310 as targets. Comment: The RSI calls for a bounce.   Trade Now You may also view our full Daily Technical Analysis inside your Client's Area. So what are you waiting for? Go get 'em!         Aim for Success with MFM Securities!