Wall Street and Europe indices are declining collectively and a rebound in Asia

2022-01-09T18:51:21
bitcoin indices Oil Red Zone Wall Street
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Wall Street and Europe indices are declining collectively and a rebound in Asia

Wall Street and Europe indices are declining collectively and a rebound in Asia:  Concerns continue to dominate markets, especially the oil market,
which is moving seriously and fast according to global changes,
as morale has declined again with turmoil in Kazakhstan, and some production has been suspended in Libya. 

Evest follows market developments in the following report.

Topics:

Oil is moving towards the Red Zone because of global concerns

 A collective decline in stock indices in America and Europe

A Collective rally of Asian indices And Nikkei declines alone

Bitcoin is falling to the lowest level in 3 months

 

Oil is moving towards the Red Zone because of global concerns

World oil prices rose markedly the previous day and showed positive dynamics for much of January 7 with concerns about the potential disruption of fuel supplies from Kazakhstan and Libya.

Only on Friday evening, oil prices moved moderately lower as part of the correction but remained at a fairly high level.

Brent crude futures for March in London declined by 0.3٪ to $81.74 By this time,
February futures prices on West Texas Intermediate crude in New York was 0.68% to $76.84 per barrel.

Mass protests in Kazakhstan, during which dozens of people were killed, remain the focus of the traders’ attention.

The Collective Security Treaty Organization has decided to send joint peacekeeping forces to the country at the request of the Kazakh authorities and for stability

Investors are also concerned about the sharp decline in production in Libya.

Production declined by about 500 thousand barrels per day due to riots and pipeline damage.

The global capital market situation on the last day of last week came under pressure,
from traders amid concern about an imminent tightening of monetary policy by the US Federal Reserve,
which intensified after the minutes of the December Fed meeting were released. 

A collective decline in stock indices in America and Europe

US stock indices fell in early trading on January 7th by 0.2-0.9%.

Meanwhile, the US 10-year Treasury yield rose by 5 basis points – up to 1.77% annually.

Stock markets in Western Europe declined dramatically on January 7. The French CAC 40 index lost 0.7% on Friday evening,
the German DAX – 0.84%, the Italian FTSE MIB – 0.44%, and the Spanish IBEX 35 – 0.68%; The British FTSE 100 index alone increased by 0.24%.

The minutes of the last meeting of the Federal Reserve last year showed that the central bank’s leadership does not rule out the possibility ,

that US economic status would require the US central bank to raise its prime interest rate faster than previously predicted.

Some Fed leaders have also drawn attention to the fact that the Fed may have to start reducing the size of assets on the balance sheet shortly after the interest rate increases.

US indices declined by 0.1-0.5٪ on Thursday after the release of the minutes of the December meeting of the United States Federal Reserve,
which showed the “hard-line” attitude of the leaders of the United States Central Bank.

“The meeting participants generally noted that, given their outlook for the economy, labor market and inflation,
there may be a need to raise prices at a faster rate than previously expected,” according to the minutes of the meeting on December 14 and 15. 

Some Fed leaders have also drawn attention to the fact that the Fed may have to start reducing the size of assets on the balance sheet shortly after the interest rate increases.

 

A Collective rally of Asian indices And Nikkei declines alone

Stock indices in the Asia-Pacific region mostly rose on Friday morning: China’s CSI 300 index rose by 0.36%, Hong Kong’s Hang Seng – 1.15%,
South Korean Kospi – 1%, and Australian S & P/ASX 200 – 1.3%; Only Japan’s Nikkei 225 index fell by 0.3%.
US S & P 500 index futures are growing by about 0.2% against the previous day’s close, indicating a possible improvement in morale in the US stock market on January 7.

 

 

Bitcoin is falling to the lowest level in 3 months

Bitcoin fell to three-month lows on Friday as the minutes of the Federal Reserve Board’s,
latest meeting raised the possibility that the central bank will boost interest rates as soon as March.

Bitcoin closed at $41907.50 at 5 pm GMT on Friday and has fallen by 2.8% over the past 24 hours, according to CoinDisk. 

CoinDisk reported that the world’s largest cryptocurrency fell to $40,745, its lowest level since September.

Bitcoin’s all-time high was $68,990.90.

Analysts at Fundstrat  noted that short-term technical and coded currency sessions are still falling,

“They point to a further decline this spring before there’s any actual decline.”

Analysts said that the major short-term support for Bitcoin is estimated at about $39,500,
and then $29,900 was “more serious”, as this support continued from May to July 2021.”

For his part, Geoffrey Haley, an analyst at Oanda, said that the weekly close of Bitcoin,
less than $42,400, would be a negative technical signal, but added that $40,500 and $39,500 are “the real levels to be monitored.”

The Bitcoin falter followed the release of the minutes of the Fed Board meeting on Wednesday,
which indicated that inflation readings and tight working conditions may require interest rates to increase “sooner or faster than participants had previously predicted.”
The Central Bank also hinted at a possible reduction in its balance sheet of $9 trillion.

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