EQUITIES
S&P 500 Index : $3,080.82, gain 25.09 points or 0.82%
Dow Jones Industrial Average : $25,742.65, gain 267.63 points or 1.05%
Nasdaq Composite Index : $9,608.37, gain 56.33 points or 0.59%
European exchanges also closed trading on green, with London's FTSE 100 gained 0.87%, Germany's DAX up 3.75%, and France's CAC up 2.02%. Italy's FTSE MIB Index closed 2.42% higher and pan-European Stoxx 600 index increased 1.57% closed Tuesday.
Asian share markets opened early trading day with positive note, with Japan's Nikkei 225 up 2.01%, Hong Kong's Hang Seng up 1.11%, China's Shanghai Composite up 0.20% and Singapore’s gained 1.60%. Meanwhile, shares in Australia also traded higher, as the S&P/ASX 200 increased 0.91%, while South Korea’s KOSPI gained 2.62% in early trading.
OIL
Brent crude futures ended the session higher on Tuesday at $39.57 per barrel, a rise of 3.26%, while WTI crude futures rose 3.87%, at $36.81 per barrel.
Currently, oil prices traded higher in the morning of Asian trading hours, with Brent is trading at $40.37, while WTI is trading at $37.80 as of writing time.
CURRENCIES
The dollar index against a basket of major currencies fell 0.28% to 97.46 after going as low as 97.41, the lowest since March 13.
Dollar mostly retreated against other world currencies, including AUD (-1.05%), NZD (-0.70%), MXN (-0.70%), NOK (-0.65%), RUB (-0.40%), SEK (-0.34%), GBP (-0.28%), SGD (-0.28%), DKK (-0.20%), EUR (-0.19%), JPY (-0.17%), CAD (-0.16%), CHF (-0.07%), and CNY (-0.04%) at latest reading.
GOLD
Gold currently trading at $1,727.20 per ounce, while stands around $1,732.40 per ounce for gold futures as of writing time. Previously closed at $1,726.40 and $1,734.00, respectively.
Silver trading at $17.91, platinum trading at $826.00 and palladium trading at $1,897.00.
ECONOMIC OUTLOOK
Asian stocks were poised to follow the global rally on Wednesday as hopes of more government stimulus bolstered riskier assets and overshadowed a host of other worries from the coronavirus to Hong Kong and growing U.S. civil unrest.
Oil rose on Wednesday to a near three-month high ahead of OPEC+ meeting on output cuts.
U.S. shale producers also has begun restoring output as oil prices turn higher.
The dollar fell against most currencies on Wednesday as unrest and issuance of statewide state of emergency in several cities in U.S, coupled by Sino-U.S. tensions, and people requesting prospects of more government stimulus and a global economic recovery.
South Korea unveiled on Wednesday a 35.3 trillion won ($28.8 billion) supplementary budget, to raise the total stimulus to 270 trillion won for an economy facing its worst growth since the 1998 Asian financial crisis. Support measures equivalent to about 14% of GDP.
To date, number of confirmed worldwide cases for COVID-19 pandemic has now reached more than 6,485,000 today affecting 213 countries and territories around the world and 2 international conveyances, recording more than 382,000 fatality globally.
TECHNICAL OUTLOOK
[USDJPY]
Our Preference:
- Long positions, with target at 109.235.
- There is a possibility of temporary retracement to suggested support line of 107.911
Commentary/ Reason:
- Despite dollar weakness across the board, USD/JPY has held its ground. This is because the current risk-on market sentiment doesn't support the safe-haven JPY.
- Stochastic oscillator entering an oversold range, indicating impending upward movement.
- RSI value is at 52.
