DAILY TECHNICAL ANALYSIS | FOREX NEWS | 22 February 2021 | Capital Street FX

 

Asia Pacific stocks were mostly down on Monday morning. The Shanghai composite is down 1.09% at 3,655.76. Overall, the Singapore MSCI up 0.45% at 331.40. Over in Hong Kong, the Hang Seng Index down 0.22% to 30,447. In Japan, the Nikkei 225 up 0.40% at 30,160, while the Topix index is up 0.41% at 1938.5. South Korea’s Kospi down 0.78% to 3083.45. Australia S&P/ASX 200 down 0.19% at 6780.9.

European equities Friday closing. The DAX futures contract in Germany traded 0.77% up at 13993.23, CAC 40 futures up 0.79% at 5773.6 and the UK 100 futures contract in the U.K. up 0.10% at 6,624.0.

In U.S. on Wall Street, the Dow Jones Industrial Average closed flat at 31494.3 the S&P 500 down 0.19% to 3906.7 and the Nasdaq 100 down 0.42% at 13580.8, NYSE closes at 15290.63 up 0.47%.

In the Forex market, GBPUSD up 0.11% at 1.40143. The USDJPY up 0.23% at 105.63. The USDCHF up 0.24% at 0.89776. EURUSD up 0.06% at 1.21218, EUR/GBP up 0.02% at 0.86503. The USD/CNY up 0.13% at 6.4631, at the time of writing.

In the commodity market U.S Gold futures up 0.51% at $1,792.42. Elsewhere, Silver futures up 1.18% to $27.561 per ounce, Platinum up 1.56% at $1289.77 per ounce, and Palladium up 1.38% to $2,417.50.

Crude Oil mix on Monday; Brent crude oil up 1.84% to $63.82 barrel while U.S. West Texas Intermediate (CLc1) is down 0.50% at $58.17.

In the Cryptocurrency Markets, BTCUSD at 56251.95 down 2.16%, Ethereum at 1877.44 down 2.99%, Litecoin at 221.76 down 2.60%, at the time of writing.

TOP STOCKS TO WATCH OUT TODAY:

AMERICAN AIRLINES up 5.477% at $18.68, CARNIVAL Corp. up 7.427% at $24.59, KRAFT HEINZ Co. down 3.799% to $37.48, MODERNA Inc. up 3.049% to $174.74, FACEBOOK down 2.907% to $261.56, PEPSICO Inc. down 2.113% at $132.51.

Economic news:

US: The U.S. stock market has so far digested a surge in Treasury yields, but some investors are worried that a continued ascent could prove more problematic.

The yield on the benchmark 10-year Treasury notes, which rises when bond prices fall, climbed to a one year high of 1.36% this week, fuelled by expectations that progress in the countrywide vaccination program and further fiscal stimulus would further spur economic growth.

So far, stocks have responded with little more than a wobble. But some investors worry that a continued rise in yields on Treasuries — which are backed by the U.S. government — could dim the allure of comparatively riskier investments such as equities and weigh on the S&P 500 that has risen about 75% since last March.

Eurozone: British finance minister Rishi Sunak is set to increase a tax on business to pay for an extension to COVID-19 support schemes in the budget next month, The Sunday Times reported.

Sunak, in his speech on March 3, will announce he is increasing corporation tax from 19 pence in the pound and will outline a pathway where it rises to 23 pence in the pound by the time of the next general election, the report said. The move will raise an expected 12 billion pounds ($16.8 billion) a year, the report added.

According to the report, at least 1 penny is set to be added to the bill for business from this autumn, at a cost to business of 3 billion pounds, with further rises in subsequent years.

Allies of Sunak clarified he would not increase corporation tax higher than 23%.

These measures will be helpful in paying for an extension to the furlough scheme, VAT cuts and business support loans until at least August.

Important Data: German Ifo Business Climate Index (Feb) today at 4:00 this time estimated 90.5, previously which was 90.1. BRAZIL   CAGED Net Payroll Jobs today at 9:00 previously which was -67.9K. NEW ZEALAND Retail Sales (QoQ) (Q4) today at 16:45 this time estimated -0.5%, previously which was 28.0%. US FOMC Member Bowman Speaks today at 15:30.

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