Investors Enter Thursday in Slightly Better Mood
03 March 2022
Investors have entered the second half of the week in a positive mood. Yesterday’s session on Wall Street ended with an upswing and that’s also how today’s European session is about to start.
We can see investors fleeing from safe havens like Yen or Gold. Both assets lost value yesterday. Actually, the Yen lost quite significantly not only against the riskier assets, but also against safe havens like the Swiss Franc. CHFJPY beat the February highs and is now currently aiming for the January ones.
Traders on Wall Street made sure that the price is a safe distance from the necklines of the Head and Shoulders patterns, which can be seen on both SP500 and Nasdaq.
On the currency market, EURUSD continues the decline but the GBPUSD recorded a successful session yesterday. As a consequence, and as you may expect, we can see a huge decline in the EURGBP. The price is currently breaking an absolutely crucial support on the 0.83. Actually, we just made a new long-term low. The price touched the lowest level since 2016!
Sterling may be strong but of course the movement there is nothing compared to oil. Yesterday, we reported Brent at 113 USD/bbl and currently we see the price closer to 120 USD/oz. It’s not fun to visit petrol stations right now, not fun at all.
Today’s calendar is full of PMIs from Europe but also from the US. We will also have a speech from the Chairmen of FED and BOC. With that, I think that USDCAD could see some increased volatility later on.