Nasdaq 100, Grasp Seng, ASX 200 INDEX OUTLOOK:Dow Jones, S&P 500 and Nasdaq 100 closed +0.06%, +0.47%, and +1.05% respectively 10-year Treasur
Nasdaq 100, Grasp Seng, ASX 200 INDEX OUTLOOK:
- Dow Jones, S&P 500 and Nasdaq 100 closed +0.06%, +0.47%, and +1.05% respectively
- 10-year Treasury yield dropped to 1.43% whereas VIX fell to 16.11, boosting the expertise sector
- US headline CPI hit a 13-year excessive of 5.0% in Could, however traders remained calm and interpreted it as an indication of financial power
US Inflation, Tech Rally, Yields, VIX, Jobless Claims, Asia-Pacific at Open:
Wall Avenue shares rallied on Thursday regardless of stronger-than-expected US inflation knowledge. The headline CPI got here in at 5.0% YoY, in comparison with a forecast of 4.7%. The core price hit 3.8% YoY – the best stage seen since 1992 as rising demand, provide pressure and a low-base impact pushed value ranges larger.
Market members maybe considered the readings as an indication of financial power, and anticipate it to be ‘transitory’, in-line with what the Fed has been predicting. The 10-year Treasury yield fell over 4% to 1.43% to a three-month low, reflecting that inflation expectations are cooling. Longer-dated Treasury yields have fallen greater than 15 bps this week. (chart beneath)
Supply: Bloomberg, DailyFX
Sentiment was additional boosted by a good jobless claims report, with 376ok unemployment claims filed final week – the bottom for the reason that pandemic. The tempo of job creating seems to have accelerated over the previous three months, in line with the latest API and nonfarm payrolls stories. Wanting forward, UK GDP knowledge and the College of Michigan shopper sentiment index dominate the financial docket. Discover out extra from the DailyFX calendar.
The VIX volatility index fell 10% in a single day to 16.11 – a contemporary pandemic low. Whereas this factors to market confidence, it could additionally trace at a way of complacency. Subsequently, subsequent week’s Federal Reserve Open Market Committee (FOMC) assembly is a key threat occasion to be watched for clues concerning the central financial institution’s evaluation to inflation and financial development, in addition to when is likely to be an acceptable time to start out scaling again asset buying.
VIX Volatility Index
Wanting again at Thursday’s shut, ASML Holdings, PayPal, Amazon and Tesla had been among the many greatest performing main tech shares. Sector clever, healthcare (+1.69%), actual property (+0.95%) and knowledge expertise (+0.75%) led the good points, whereas financials (-1.12%) and supplies (-0.56%) trailed behind.
Nasdaq 100 High 10 Shares Every day Efficiency – 06-10-2021
Supply: Bloomberg, DailyFX
Asia-Pacific markets look set to open on the entrance foot, with futures in Australia, mainland China, Hong Kong, Taiwan, Singapore and Thailand buying and selling within the inexperienced. These in Japan, Malaysia and India are barely decrease nonetheless.
Hong Kong’s Grasp Seng Index (HSI) is consolidating at round 28,700 this week after President Joe Biden’s banned funding in a widened record of 59 Chinese language companies alleged to ties to protection or surveillance expertise sectors. The inventory connections registered internet outflow from Hong Kong for Three out of the final Four buying and selling periods, reflecting a tepid demand from mainland traders. In the meanwhile, the index could proceed to vary sure and watch for contemporary catalysts.
Australia’s ASX 200 index closed at all-time excessive of seven,302 on Thursday, propelled by restoration optimism and a dovish central financial institution. The index seems to be set to hold this momentum ahead and goal larger highs.
Nasdaq 100 Index Technical Evaluation
The Nasdaq 100 index is aiming to problem all-time highs at round 14,040, which can also be close to to the 200% Fibonacci extension stage. The index accomplished a bullish “Double Backside” chart sample and prolonged larger, underscoring sturdy upward momentum. The MACD indicator crossed above the impartial midpoint and trended larger, suggesting that upward momentum is constructing.
Nasdaq 100 Index – Every day Chart
Grasp Seng Index Technical Evaluation:
The Grasp Seng Index (HSI) did not breach the “neckline” of the “Double Backside” chart sample fashioned since early March and retreated to the 50-day SMA line on the lookout for near-term assist. An instantaneous resistance stage stays to be 29,350 – the 50% Fibonacci retracement. Breaching beneath a near-term assist of 28,730 could open the door for additional losses with a watch on 28,300 – the 78.6% Fibonacci retracement.
Grasp Seng Index – Every day Chart
ASX 200 Index Technical Evaluation:
The ASX 200 index is vary sure close to the 7,290 space, ready for contemporary catalyst to try one other breakout. An instantaneous resistance stage might be discovered at 7,340 – the 161.8% extension, whereas a right away assist might be discovered at round 7,194. The MACD indicator fashioned a bullish crossover and trended larger, underscoring upward momentum.
ASX 200 Index – Every day Chart
— Written by Margaret Yang, Strategist for DailyFX.com
To contact Margaret, use the Feedback part beneath or @margaretyjy on Twitter
factor contained in the
factor. That is most likely not what you meant to do!nn Load your software’s JavaScript bundle contained in the factor as an alternative.www.dailyfx.com