Wednesday Market Recap
|Asset||Current Value||Daily Change|
|WTI Crude Oil||52.80||-0.04%|
Stock markets bounced back slightly from their Tuesday lows, as no new developments surfaced regarding the US-North Korean conflict. Despite the calm conditions, tensions are high under the surface, as the French presidential election keeps traders worried. The option skew of the Euro STOXX 50 index which shows the amount of protection bought by options traders, spiked higher than before the Brexit vote, as the latest polls continue to show a very tight race.
The Great British Pound continued higher yesterday after the surprising announcement by Theresa May, although the Euro is slightly weaker compared to its peers. Safe-haven assets retreated somewhat, as geopolitical tensions eased, with gold and the Japanese Yen both drifting lower from their multi-month highs. Oil continues to consolidate near its recent highs, although commodity-related currencies like the Australian Dollar and the Canadian Dollar remain under clear pressure.
Option hedging in the EU-STOXX 50 Index (source: Zerohedge)
NEM exploded to a new all-time high today taking over Monero concerning market capitalization after the 30% jump. Ethereum Classic also popped up on the cryptocurrency-radar once again today, with yet another break-out to a ten-month high this morning. The altcoin is right at the $3 level, as trading volumes continue to rise. The other majors are little changed so far today, only Ripple is down by a meaningful amount, but it remains well inside its dominant trading range.
Ethereum Classic 4-Hour Chart Analysis
The DAX has been drifting lower for the past two weeks after losing its relative strength. European stocks might remain under pressure this week, investors remain cautious ahead of the first round of the French election. The long-term uptrend line has been broken, putting the long-term trend in danger, while the MACD indicator is headed to a slightly oversold territory. The S&P 500 had a choppy, but slightly more bullish week so far, as it trades below the crucial 2350 level, following last week’s breakdown.
DAX, 4-Hour Chart Analysis
Key Economic Releases on Wednesday
|16:30||US||Crude Oil Inventories||-1 million||-1 million||-2.2 million|
Key Economic Releases on Thursday
|14:30||US||Philly Fed Index||25.6||32.8|
|17:30||US||BOE Governor Carney Speaks||–||–|