As we approach Wednesday, 30 October 2024, markets are likely to experience heightened activity, driven by significant economic data releases, central bank announcements, and geopolitical events shaping investor sentiment.
KEY INDICATORS
Energy markets and oil price movements
Geopolitical events, especially those affecting oil-producing regions, continue to fuel volatility in energy markets.
Investors are closely monitoring crude prices, as these may impact energy stocks and amplify inflation concerns across global markets.
European economic data and ECB commentary
Europe will see the release of key inflation figures and preliminary GDP data.
Combined with any insights from European Central Bank officials, these reports will provide a clearer picture of the region’s economic health, influencing sentiment in both European and global markets.
Corporate earnings wrap-up
As Q3 earnings season concludes, investors will be digesting results from large-cap companies across tech, healthcare, and industrial sectors.
Companies’ guidance on future performance, given economic headwinds, could influence market momentum, especially in technology and cyclical stocks.
MARKET MOVERS
Crude Oil WTI
Possible short preference Short positions below 67.30 with targets at 66.73 & 66.12 in extension. Alternative scenario Above 68.08 look for further upside with 68.37 & 68.82 as targets. The upward potential is likely to be limited by the resistance at 68.37.
Oil hovers near one-month lows with supply drivers back in focus:
Oil prices held steady near one-month lows on Wednesday, after sliding in the previous two sessions, as markets weighed a potential ceasefire between Israel and Hezbollah and rising OPEC+ crude supplies against a possible drop in US fuel stocks and demand concerns.
Brent crude futures gained 38 cents, or 0.5%, to USD 71.50 a barrel by 9:57 AM GMT.
US West Texas Intermediate crude futures edged up 35 cents, or 0.5%, to USD 67.56 per barrel.
Prices on Tuesday fell for a second straight session when an Axios reporter said on X that Israeli Prime Minister Benjamin Netanyahu would hold a meeting with several ministers, the heads of the military and intelligence community about talks on a diplomatic solution to the war in Lebanon.
GBP/USD
Possible long indication Long positions above 1.29969 with targets at 1.30097 & 1.30244 in extension. Alternative scenario Below 1.29590 look for further downside with 1.29417 & 1.29261 as targets. Even though a continuation of the consolidation cannot be ruled out, its extent should be limited.
Nasdaq100
Possible long preference Long positions above 20617.25 with targets at 20704.25 & 20817.72 in extension. Alternative scenario Below 20454.61 look for further downside with 20343.03 & 20248.47 as targets. The RSI is bullish and calls for further advance.
TODAY’S NEWS HEADLINES
Gold hits record high as US election anxieties ignite safe-haven rush
Gold hit a lifetime high on Wednesday on safe-haven demand ahead of the US presidential election, while investor focus is also on US economic data for clues on the rate cut outlook.
Spot gold was up 0.3% to USD 2,783.38 per ounce after hitting an all-time high of USD 2,789.73 earlier in the session.
US gold futures rose 0.5% to USD 2,795.90.
Spot silver shed 0.6% to USD 34.24 per ounce.
Palladium fell nearly 4% to USD 1,175.59 per ounce.
Platinum lost 0.3% to USD 1,042.40.
European stocks slip lower, UK budget, earnings and growth data in focus
European stock markets slipped lower Wednesday, as investors digested more quarterly earnings results while awaiting regional growth data as well as the UK budget.
At 8:15 AM GMT, the DAX index in Germany traded 0.4% lower.
The CAC 40 in France fell 0.8%.
The FTSE 100 in the U.K. dropped 0.5%.
There are also GDP numbers due today from Spain and Italy, but the focus will be on the German release amid fears the eurozone’s largest economy is in recession.
Oil prices steady on shrinking US crude inventories
Oil prices stabilized on Wednesday on industry data showing a surprise drop in US crude and gasoline inventories, following two previous sessions of losses on the prospect of hostilities easing in the Middle East.
Brent crude futures gained 21 cents, or 0.3%, to USD 71.33 a barrel by 12:02 AM GMT.
US West Texas Intermediate crude futures rose 22 cents, or 0.3%, to USD 67.43 per barrel.
Crude stocks dipped by 573,000 barrels in the week ended Oct. 25, the sources said on condition of anonymity.
Gasoline inventories lost 282,000 barrels, and distillate stocks fell by 1.46 million barrels, the sources said.
