Wall Street tumbles further
All US indices declined yesterday, led by continued weakness in the tech sector, disappointing earnings warnings from the retail sector while a collapse in oil prices to one-year lows pressured the energy sector.
US30USD Weekly Chart
The US30 fell the most in more than a month yesterday, pressured by weakness across the tech, retail and energy sectors
The two-day drop has so far failed to take out last month’s low. The 100-week moving average is at 23,335
US October durable goods orders are due today. The ex-transportation reading is expected to expand 0.4% following a 0.1% gain in September.
DE30EUR Monthly Chart
The Germany30 index fell for a third straight day, echoing the mood on Wall Street
The index hit the lowest level in almost two years and looks poised to sustain the breach below the 55-month moving average at 11,217
The EU Commission’s response to the Italian budget draft is due today. Italy’s Deputy PM said he is open to discussions on the budget, and might agree to some cuts, but wants to keep proposed reforms in place.
WTICOUSD Weekly Chart
WTI crashed below $53 per barrel for the first time in a year on concerns that planned OPEC production cuts would not be enough to stem a global glut amid an expected weakening in demand
WTI could test the 200-week moving average support at $51.93
EIA crude oil stocks for the week ended Nov 16 are due today. Last week saw a build of 10.27 million barrels, the most since Feb 2017. Another strong increase would pressure oil prices further.
