TOPICS DISCUSSED IN THIS MARKET BRIEFING:
- LEuropean stock exchanges look to american jobs
- Wall Street gently digests the Fed’s announcements
- Graph of the day – XRP / USD : a bearish channel
European stock markets turn to American employment
European stock exchanges evolve lower at the start of the session Friday before the publication of the monthly report on US employment, which could fuel speculation on monetary policy in the United States.
On Wednesday, European stock indices ended in the red in reaction to the more restrictive tone adopted by the Federal Reserve (Fed) in the minutes of its last meeting. The central bank debated in December about an early hike in its interest rates and the reduction of its balance sheet due to the strength of the recovery and soaring inflation.
James Bullard, chairman of the St. Louis Fed, said on Thursday that the institution could hike rates as early as March and that it was now “in a good position” to take even more aggressive action against it. inflation if necessary.
Investors’ attention is now focused on the monthly figures for job creation in the United States (NFP) in December, published at 2:30 p.m. The Reuters consensus forecasts 400,000 non-farm jobs created, against 210,000 in November, and an unemployment rate down to 4.1%.
Wall Street gently digests Fed announcements
Wall Street ended moderately lower Thursday at the end of a particularly volatile session, the day after its sharp fall caused by the announcement of a faster than expected tightening of monetary policy by the Federal Reserve.
Fed officials said at their meeting last month that the US job market was “very tight” and that the central bank may not only have to raise interest rates earlier than expected, but also reduce its balance sheet to control high inflation.
This offensive tone surprised the markets to the point of scaring some investors, causing New York indices to drop sharply on Wednesday.
Several mixed indicators were added to the Fed’s “minutes” on Thursday, which reinforced risk aversion as investors on Friday monitor data on job creation in the non-agricultural sector in the United States in December and inflation statistics in the euro area in November.
As a result, the Dow Jones fell 1.07% to 36,407.11 points. The Nasdaq was down 3.34% and the S&P 500 was down 1.94%.
Othersupdates on financial market news
Oil prices are on the rise as a social protest in Kazakhstan fuels fears of an interruption in the supply of crude to this OPEC + member country, at the same time as production is declining in Libya.
Today’s economic calendar:
Find the entire economic calendar to know all the economic events to comer.
CHART OF THE DAY – XRP / USD: a downtrend channel
Most Cryptocurrencies Loose This Week After Fed Announces Monetary Policy more aggressive, which has sapped investor appetite for sector.
Currently, the XRP token stands at a crossroads. Prices are once again testing the support at $ 0.7600. In addition, the market is also moving in a bearish channel, so the lower bound strengthens the current support. In addition, a bullish slant has supported prices for several months.
As a result, we have several technical elements that converge in the same price zone. Buyers could therefore regain control and allow the market to regain color in the direction of the next resistances.
On the other hand, in the absence of a bullish technical signal, a foray below $ 0.7600 would send prices back to $ 0.6432 then $ 0.5060. Pay attention to the price reaction on the $ 0.7600 in order to take advantage of the next directional flow to come.
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