Losses are for everyone.. Asia and America indicators are in the red zone.. Goods are trying to recover

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Losses are for everyone.. Asia and America indicators are in the red zone.. Goods are trying to recover

Losses are for everyoneToday, Asian stocks retreated to their lowest level in 2 weeks.

Oil fell further and the dollar reached its highest levels in 4 months after closures in Europe.

A potential increase in US taxes led to reducing the desire for risk, pushing yellow metal higher.


Evest is following up with you on all developments in the market,
besides the effects of global events on trading.


Oil is trying to hold together after yesterday’s sharp drop

On Wednesday morning, oil prices fled between gains and declines after reducing by more than 10%
of their highest levels in recent days.

Brent crude futures for May delivery on London Stock Exchange fell by $ 0.02 or 0.03%,
compared to Tuesday’s closing session, as they traded at $ 60.77 a barrel.

During the previous trading session, a contract fell by $ 3.83 (5.9%) to record $ 60.79 a barrel.


West Texas

West Texas Intermediate futures for May delivery in electronic trading on New York Mercantile Exchange (NEMEX)
were cheaper by $ 0.01 or 0.02%, to trade at $ 57.75 a barrel.

On Tuesday, West Texas Intermediate fell by $ 3.8 (6.2%) to record $ 57.76 for a barrel.

Earlier during the trading session, both futures have been temporarily turned to rising, making things clearly unstable.

Yesterday, two oil fell to their lowest levels since February.

Brent crude decreased by 12.7% from a recent high of $ 69.63 a barrel on March 11,
according to market data by Dow Jones.

West Texas Intermediate crude fell by 12.6% since March 5, when it reached its top at $ 66.09 a barrel.


the largest economy in the euro area

On other hand, Germany, the largest economy in the euro area,
extended quarantine procedures until April 18 and it imposed some new restrictions to contain rising Coronavirus infections.

This will cause damage to oil demand.


The US Regulatory authorities announced that AstraZeneca Plc had provided potentially outdated data about its vaccine for the new Coronavirus.

This led to increasing fears of investors regarding recovery.


An increase in the number of cases of Covid-19 in Europe, as well as a slowdown in vaccinations,
led to a decrease in sentiment again, regarding recovery of oil demand, especially in the travel and aviation sector.


Today, investors are waiting for publishing official data by US Energy Department about energy reserves in the country.

Yesterday, US Petroleum Institute (API) reported that US oil inventories rose by 2.9 million barrels last week.


According to API, gasoline reserves in the country reduced by 3.7 million barrels,
while distillation products rose by 246,000 barrels.


Analysts polled by Standard and Poor’s Global Platts expected that US Energy Department data will show a decrease in oil reserves by 1.7 million barrels amid a recovery in oil refining after severe frost in southern states of America in February.

For the first time, oil stocks might fall since mid-February,
when weather conditions in the Gulf Coast led to a closure of 4.4 million barrels of refining capacity a day.


Participants in oil are waiting for any positive news to support prices.

This news may come from OPEC during the start of next month if decisions are taken to raise prices.


Gold rises through far-from-risk support

All of the negative events in markets led to supporting gold after investors turned away from risks,
which by its turn led to its rise today.


In New York, gold had declined during yesterday’s tradings from $ 1739 to $ 1727 an ounce.

This morning, in both Shanghai and Hong Kong, the price of gold has been recovered.

It is currently traded at $ 1732 an ounce, higher by $ 5 an ounce than the previous day.


The collective decline for Asia indicators

Today, Asian stocks have been fallen to new levels, as the Asian and Pacific MSCI index has decreased today by 1%,
after it declined by 0.9%, yesterday.

This index fell to 676.46 points. This is its lowest level since March 9.


In March, this index recorded a disappointing performance, after rising for 5 months in a row.

In Japan, the Nikkei index decreased by 1.8%, while in South Korea, the Kospi index fell by 0.5%.

Chinese stocks are in a negative area for the second day in a row, as the leading CSI 300 index fell by 1.2%.

In Hong Kong, Hang Seng Index recorded a 1.7% decline.


A decrease in Three American indicators

Yesterday, in Wall Street, the Dow Jones Industrial index fell by 0.94%, while Standard and Poor’s lost 0.76%.

Nasdaq Composite index closed down by 1.12%.


Investors’ concerns were raised as US Treasury Secretary Janet Yellen,
informed Us Congress that US economic risks are still found.


US government bonds for 10 years rose by 1.6153% after Federal Reserve Chairman Jerome Powell reduced inflation risks.

United States production data are expected to be released,
as Powell will address Senate Banking Committee later today.


The dollar is close to its highest level in 4 months

The dollar index approached its highest level in 4 months at 92506 against a basket of several major currencies.


Euro fell to its lowest level during 4 months to reach 1.18355 against the US dollar,
especially after Germany had extended its closure.

Japanese Yen, which is a haven for currency, rose while the Australian dollar retreated more today,
according to Reuters reports.