Russia-Ukraine Conflict - Ceasefire? DAX, FTSE100, CAC40 Gained, EUR Strengthened, USD Weakened. Is Crude Oil Price Likely To Decrease?
Swissquote Bank 30.03.2022 10:06
MarketTalk: What’s up today? | Swissquote
Risk appetite improved, equities extended rally as talks between Ukraine and Russia hinted at progress, with Russia retreating from Kyiv to concentrate its military efforts in the Donbas region. The de-escalation gave a sigh of relief to investors, although many, including Joe Biden remain skeptical regarding the pullback from Kyiv, that could be ‘limited and tactical’. US crude dived to the 50-DMA yesterday, but that critical support held strong, and the price of a barrel rebounded back above the $105 level. The short-term outlook remains positive and price pullbacks are still seen as interesting dip buying opportunities if the 50-DMA is not cleared. The three major US indices followed up on the European session gains on de-escalation of the situation in Ukraine, but the US 2-year yield caught up, and even briefly surpassed the 10-year yield for the first time since 2019. Rising US yields, and de-escalation in Ukraine weigh on gold prices. But, the curve inversion, nor rising inflation prevent US stock indices from extending gains and the meme stocks are on fire, with GameStop up by 158% in the past two weeks and AMC up by more than 160%. Could the meme craze stretch higher? Yes, it could! Today, the Eurozone flash inflation figures for March start flowing in, and the US will reveal how many private jobs it added in March today. Strong economic data could revive the Fed hawks, push US yields even higher and dampen the mood. Watch the full episode to find out more!
0:24 Ukraine: light at the end of the tunnel?
1:50 Equities rally on de-escalation hope
2:49 US crude rebounds from 50-DMA
4:08 US 2-10 year yield inverts briefly
5:10 Rising yields, de-escalation weigh on gold
5:49 US indices, meme stocks defy rising yields
6:41 Bitcoin tests 200-DMA
7:12 Today's macro calendar & latest FX moves
Ipek Ozkardeskaya has begun her financial career in 2010 in the structured products desk of the Swiss Banque Cantonale Vaudoise. She worked at HSBC Private Bank in Geneva in relation to high and ultra-high net worth clients. In 2012, she started as FX Strategist at Swissquote Bank. She worked as a Senior Market Analyst in London Capital Group in London and in Shanghai. She returned to Swissquote Bank as Senior Analyst in 2020.