TOPICS MENTIONED IN THIS MARKET BRIEFING:
- LEuropean Stock Exchangesregain height
- Wall Street ends up
- Chart of the day –ETH/USD: ae channel output
European stock markets are on the rise again
European Stock Exchanges are up in early trading on Wednesday, helped by the rise on Wall Street and the decline in bond yields pending the data on consumer prices in the United States on Thursday.
European indices ended Tuesday in scattered order, affected by the rise in bond yields. But the progression of Wall Street, Asian places and the easing observed on the government bond market are supporting European equities.
US inflation figures for January, which will be released on Thursday, are a key deadline for investors this week amid uncertainty over the pace of interest rate hikes that central banks might adopt.
Wall Street ends higher
Wall Street regained confidence on Tuesday after a volatile start to the week and ended higher, digesting a new burst of corporate results and awaiting the publication of US inflation.
Bond yields rose sharply, with those on two-year notes climbing to 1.34% from 1.29% the previous day, and those on 10-year notes coming close to crossing the 2% mark, at 1.95 %, for the first time in more than two years.
Investors are also positioning themselves before the publication on Thursday of inflation in January in the United States (CPI index) which promises, according to analysts, to be the largest increase in consumer prices for 40 years.
Meta (Facebook) continued to evolve in negative territory, while one of its early investors, Peter Thiel, co-founder of PayPal, largest shareholder of Palantir and declared supporter of Donald Trump, announced that he was leaving the board of administration of Meta.
Othersfinancial market news
Oil prices slide into the red as concerns over a possible increase in Iranian supply take precedence over the American Petroleum Institute’s announcement of an unexpected drop in crude inventories in the United States last week according to market sources.
Today’s economic calendar:
Find the full economic calendar to know all the economic events to comer.
CHART OF THE DAY – ETH/USD: a channel exit
Ethereum recovers after seeing its value halve between early December and January 24. Graphically, the prices were moving in a downward channel, so the break of the upper limit suggests a continuation of the rise.
However, the market still stumbles on the 50-period moving average coupled with the resistance zone around $3,250. In case of failure on this level, a pull back on the 2,875 dollars would constitute an interesting level to carry out purchases. A slight pullback so that the market can breathe before recovering seems necessary.
As long as the market does not break through the support at $2,875, the buyers will hold their hand. It is therefore wise to look for purchases in the direction of the short-term flow. Thereafter, a crossing of $3,250 would release the upside potential and Ethereum would be well oriented to rally $3,675.
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