Wall Street falters on talk of trade roadblocks
Wall Street indices were mostly lower yesterday though the NAS100 index eked out small gains. Talk that China was walking back some trade deal offers hit sentiment. Meanwhile, US negotiators are heading to Beijing next week. The Fed concludes its two-day policy meeting later today, with no change in rates or outlook expected.
US30USD Daily Chart
The US30 index closed lower yesterday, snapping a two-day winning streak, after touching a two-week high
The 55-day moving average at 25,101 looks poised to cross above the 200-day moving average at 25,159 in the next day or so. It crossed above the 100-day moving average on March 13
The FOMC concludes its two-day meeting later today, with no change in rates or stance expected. It will also release new economic projections, which are expected to show some downgrades.
DE30EUR Daily Chart
The Germany30 index rallied to the highest in five months yesterday, buoyed by an improvement in Germany’s ZEW survey in March
The index tested the 200-day moving average at 11,785 for the first time since August 1. Rising trendline support has shifted to near 11,450
The German ZEW economic sentiment survey for March improved to -3.6 from -13.4 with expectations for a -11.0 reading. That was the best reading in a year.
WTICOUSD Daily Chart
WTI advanced for the sixth day in seven days yesterday, climbing to the highest since November 12 before retreating following the China trade negotiations news
The rally stalled just at the 50% retracement level of the October-December drop at $59.653
The EIA weekly report on crude stocks is expected to show a drawdown of 775,000 barrels in the week to March 15. That would be the second weekly reduction in a row following last week’s -3.86 million barrel hit.