- Wall Street indices try to recover some losses
- Mixed closing in Europe
- Gold trades near $1800
- Canadian dollar strengthens after good employment data
- Bitcoin falls below $41,000
The declines on US indices triggered during the first part of the session are easing marginally, and markets are now trying to make up some of the losses suffered. US stocks fell after investors assessed weaker than expected NFP data. Fuel for the declines was once again added by rising US Treasury bond yields, which represent an increasingly hawkish monetary policy. The sectors doing best today are banking and energy. Declines on the US100 index have accelerated and if the bulls fail to rise above yesterday's closes, the index will complete a fourth consecutive session of declines and possibly set the worst week for the index since February 2021.
European markets ended today's session in mixed moods. UK equities did well, with the UK100 index up 0.57%. On the other hand, the DE30 saw declines, falling below the key 16,000 point barrier. Today we learned the EMU inflation reading, which surprised the market as the reading rose to 5% (versus the expected 4.8%). The inflation theme also reigned in Poland, as today the December reading was published by the Central Statistical Office (GUS). As reported by the office, inflation exceeded 8% and amounted to 8.6%, which is a real threat to cross the double-digit barrier.
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Open account Try demo Download mobile app Download mobile appThe currency market was dominated today, in addition to the two previously mentioned readings from the U.S. and Europe, by data from Canada, which indicated a much faster-than-expected increase in employment. The market reaction was immediate, and the CAD exchange rate strengthened by over 0.6%.
Good employment data caused a sharp appreciation of the Canadian Dollar, which is now approaching the supports marked by local minima and EMA 200 (gold line). The nearest resistance for the pair remains the 23.6% Fibo retracement. USDCAD, D1 interval. Source: xStation 5
As for precious metals, these have recorded mostly gains today. Gold prices are currently fighting to return above the level of $1800 per ounce. Only platinum is currently recording declines. Crude oil prices are slowing down from their recent strong gains, with the price for a barrel of US WTI oscillating near $79.
Bitcoin fell above the $41,000 barrier during today's session, and now the largest cryptocurrency is struggling to hold the September 2021 lows. The price of Ethereum falls below $3,200 and also appears to be heading towards its September lows.
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