Oil corrects higher


Oil corrects higher and US indices trade negatively US stock indices ended trading on Monday sharply lower as US government bond yields continued to grow ahead of the publication of first-quarter corporate reports

Evest follows market developments in the following report



Wall Street indices in the Red Zone

High consumer prices in Germany

Oil rises after falling more than 4% yesterday





Wall Street indices in the Red Zone

By the end of trading, the Dow Jones Industrial Index value fell by 1.19% to 34308.08 points
Microsoft stocks lost 3.9% and Cisco 2.6%
Only four companies ended trading in the positive zone – Verizon Communications
Dow Inc. and Travellers Cos., and 3M, while its growth was less than 0.7%

Standard & Poor’s 500 Index fell by 1.69 percent to 4412.53 points

While the Nasdaq composite index fell by 2.18% to 13411.96 points

The yield on the 10-year US Treasury rose during trading on Monday to 2.779%
updating the cap since the beginning of 2019
The reason for the increase in the government bond yield was the expectation of an active increase
in the prime interest rate by the Federal Reserve in the current year and next year

In the meantime, the first-quarter reporting season begins on Wednesday
with the financial statements of JPMorgan Chase&Co
and other leading Wall Street banks, as well as insurer UnitedHealth Group and investment firm BlackRock
are also expected to report later this week

According to experts: “Even if the US reporting season shows good profit growth
we suspect companies will start revising the increase forecast
For this reason, we expect only a slight increase in the US stock market until the end of the year


Artical name: Oil corrects higher



Market attention this week

is turning to March inflation data in the United States, which will be published on Tuesday
Analysts surveyed by Trading Economic projected consumer price growth to accelerate to 8.5% last month
from 7.5% in February when inflation reached its highest level since 1982

Twitter stocks rose by 1.7 percent
Earlier, the company’s president announced that Tesla CEO Elon Musk would not join the board of the social network

Tesla’s capitalization fell 4.8%
despite data that the Shanghai manufacturer’s electric vehicle shipments in the first quarter of 2022 grew 2% on a quarterly basis

SailPoint Technologies Holdings’ stock prices rose by 29%
Investment firm Thoma Bravo agreed to acquire a US cybersecurity information technology company for $6.9 billion

In the US IT sector, another big deal was made on Monday – cybersecurity software developer Kaseya Ltd
The company reached an agreement to acquire rival Datto Holding Corp
worth $6.2 billion, and Datto’s stock price jumped 21% and reached its highest since the company went public in October 2020

American Express Ltd.’s market cap fell by 3.3% after analysts at JPMorgan downgraded the recommendation for payment service shares to “neutral” from “superior performance” amid mounting uncertainty about the growth of the US economy
Analysts maintained their price target at $200 per stock

In the meantime, AT&T Inc. jumped 7.7% on JPMorgan’s purchase recommendation





High consumer prices in Germany

Consumer prices in Germany, in line with EU standards, rose 7.6% on an annual basis in March, according to final data from the country’s federal statistical office

This figure is the highest since autumn 1981
The inflation rate was 2.5%

Energy prices in Germany rose by 39.5% in annual terms in March, and the cost of food rose by 6.2%

Services in Germany rose by 2.8% in March


Artical name: Oil corrects higher



Oil rises after falling more than 4% yesterday

Oil prices rose on Tuesday, correcting after a 4% decline in the previous session

Traders’ focus remains on the situation in China, where the worst coronavirus outbreak has been recorded in two years
Shanghai authorities have eased some lockdown measures, but most people are still forced to stay home, and the city promised to tighten restrictions again if the COVID-19 infection rate begins to rise

The cost of June Brent oil futures on the London Stock Exchange Futures is $100.12 per barrel on Tuesday, $1.64 (1.67%) higher than the closing price of the previous session
As a result of Monday’s trading, these futures fell by $4.3 (4.2%) to $98.48 per barrel

The price of West Texas Intermediate oil futures for May in electronic trading on the New York Mercantile Exchange (NYMEX) was $96 per barrel by this time, $1.71 (1.81%) higher than the final value of the previous session
The day before, these futures fell by $3.97 (4%) to $94.29 per barrel

According to analysts: “What we see in the market today is a short-term rise
Investors remain wary of the negative impact of the virus on Chinese economic growth and oil demand

In the meantime, OPEC Secretary-General Mohamed Barkindo explained to EU representatives that the organization would not be able to offset the decline in Russian oil supplies to the global market, Bloomberg reports

OPEC estimates that the global market could lose more than 7 million barrels per day of supply as a result of current and future sanctions on Russia, as well as a boycott of Russian oil buyers
Barkindo warned that this is much higher than the quantities that OPEC can replace

Artical name: Oil corrects higher