Gold 1693,50
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EURUSD 1,0799
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DJIA 24115
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OIL.WTI 25,095
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DAX 10609
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While the markets are overflowing with optimism, many investors are trying to take everything from it. Stocks are selling like hotcakes, and many are buying everything. For good or bad, it’s not clear yet. Time will show what such growth during the economic crisis can lead to.
S&P500
The bulls have taken over the initiative completely. Excellent unemployment figures in the US give high hopes that the country has completely bottomed out. But it’s worth seeing that the macroeconomic data is far from perfect. From the current situation we can assume that investors are too optimistic. Analyzing the market, we can see that there is a correction. It is quite possible that in the near future the market will be corrected downwards to reduce the pace of the current growth. On Monday, the S&P500 index went beyond 3200. The DAX index was traded mixed and closed almost at the opening level – 12819.
AUSTRALIAN DOLLAR
The Australian dollar continues to grow following the American stock market. On Monday, a very important resistance level of 0.70 was reached. It can be argued that the Australian dollar has fully recovered from the Coronavirus Pandemic and reached annual highs. The whole world economy will be waiting for the Fed’s statements, which will take place this week. In the stock markets there is a correction, which will obviously pull the Australian dollar. In the current situation we can expect the rebound up to the level of daily SMA200 – 0.6650.
Oil
Smooth recovery in economic growth in major countries is beneficial for the price of oil. On Monday WTI oil traded at $38.5 per barrel. Now the price of black gold is in the hands of OPEC+. The way exporters will behave further depends on actions and decisions. The option of reducing the production constraint since July is being worked out, which may pull the price down.
Gold
Now we see another historical record in gold. The volume of gold in physical ETFs has exceeded 100 million troy ounces. However, it is strange that such purchases are not accompanied by a price rally. It could be about central banks trying to hold the price given the gold and currency reserves. Most likely in the near future the markets seized by the euphoria of growth will negatively affect the price of gold, but all this is temporary. The rise in price on Monday to $1700 per ounce still shows the strength of the precious metal.
What’s waiting for us today?
08.00 Trade balance in Germany.
11.00 EU GDP.
12.00 OPEC meeting
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