International Markets Report
European stock markets ended yesterday with a rise except for Italy. The index in England increased by 0.38% to 6,613.75 points, in Germany to 14,039.8 points by gaining 0.19%, while the index in France rose to 5,809.73 points with an increase of 0.29%. It regressed to 23,083.55 points with a 0.78% decrease. The European Central Bank (ECB) slowing its bond purchases last week as part of the pandemic emergency purchasing program and the limited declines in bond yields had a positive effect on the European stock markets.
ECB Board Member Fabio Panetta said that the rise in government bond yields in recent weeks has damaged the fragile economy of the Eurozone and should be prevented. Panetta said, “The steepening we see in the nominal GDP weighted yield curve is undesirable and this should be resisted,” Panetta said that the ECB should not “hesitate” to increase the speed of its bond purchases if necessary. German Chancellor Angela Merkel stated that they want to extend the existing measures across the country before the coronavirus summit, which is expected to take place tomorrow, until the Easter holiday.
Today, the leading indicators of growth in the Euro Zone announced 45.7% above expectations, while it was 1.4% above the expectations in the Euro Zone. While the PMI data of services in Spain and Germany, which are members of the Euro Area, were announced within expectations, it was realized above the expectations in Italy and France. While the rise in the services sector is positive news for economies and stock markets, the fact that the expectation of an increase in spending will affect the CPI along with the PPI, as the restrictions are lifted, may force the European Central Bank to take other steps to prevent the steepness in the yield curves in the upcoming period.
US stock markets closed the day with a decline yesterday. At the closing, the index decreased by 0.46% to 31,391.52 points, the index decreased to 3,870.29 points with 0.81%, and the Nasdaq index decreased by 1.69% to 13,358.79 points. There is an increase in futures today in the US stock markets, where sales were experienced yesterday. Statements of stimulus packages and statements that global demand will increase played a leading role in the rise.
Today, data from the leading indicators of growth in the USA is expected to be 58.9, while the ISM services PMI data is expected to be released as 58.7. It can increase volatility on future data and stock markets. We have observed that the US economy, which has seen an improvement in the manufacturing PMI data announced this week, gained momentum in its growth point. In the evening, we will follow up. In this report, in which financial data from 19 states are combined into a single report and presented to the Fed, we will follow the report, as it plays a decisive role in the Fed’s interest rate decision.
The fact that OPEC members, who will meet this week on Thursday, are certain to agree on a reduction in the oil supply cut may cause a downward pressure on oil prices and may also cause a selling tendency in these exchanges. For this reason, we will closely follow the statements from OPEC.
In the US today, Brown-Forman Corp and Dollar Tree Inc companies will announce their balance sheet in the S&P 500 index.
PayPal Holdings Inc. is in talks to buy startup Curv, which helps companies transfer and store digital currencies. It is stated that PayPal is trying to expand its cryptocurrency steps after the payment giant started offering customers the ability to buy, sell and hold certain digital currencies in their wallets. Curv, headquartered in New York, was established in 2018. The company said its products are used by dozens of customers, including investment firm Franklin Templeton.
After a federal jury in the US decided that Intel (NASDAQ 🙂 had infringed a patent, it was reported that chip maker Intel Corp had to pay $ 2.18 billion to its competitor. In the US, Intel has infringed two patents related to chip manufacturing owned by VLSI Technology LLC, according to a jury decision. The jury awarded $ 1.5 billion for all damages to VLSI for infringement of the first patent and $ 675 million for violation of the other. It has been reported that Intel management will appeal the decision.
American technology company Microsoft (NASDAQ 🙂 accused China of carrying out a cyber attack on the e-mails of many institutions, organizations and companies in the USA. According to the BBC report, Microsoft stated that the Chinese hackers who attacked e-mail servers were “government-sponsored, highly skilled and knowledgeable”. Stating that in these attacks, weak points that were not detected before in different versions of the server software were used, the US technology company reported that the name of the Chinese hacker group that carried out the cyber attack was “Hafnium”. Chinese Foreign Ministry Spokesperson Wang Vınbin stated at a regular press conference in Beijing that tracking cyber attacks on Microsoft’s accusation is a technical and complex issue.
The Dax index gained 0.19% yesterday to 14.039.8 points. Dax’s 14.135 resistance is critical. If it stays above the level of 14.135, the buying pressure may get harder. If it is not permanent above this level, the declines can start again.
When we look technically, above the level of 14.135, it can rise to 14.210 first and then to 14.455.
Below, below the support of 13,905, the retreat to 13,829 support first and then to 13,671 support can be seen.
Dow Jones closed yesterday at 31,391.52 points, down 0.46%. Today, we are watching that March futures contracts are with buyers.
When we look technically, if the level of 31.615 above is broken, it may rise to 31.834 first and then to 32.028.
Below, below the 31.456 support, there may be decreases to 31.340 and then to 31.142 support. It is necessary to break the level of 31.142 in order to start short-term permanent decreases in the index.
While S&P completed yesterday with a loss of 0.81% at 3,870.29 points, today we watch that March futures contracts are with buyers.
When we look technically, if the 3916 resistance above is broken, first the 3933 level and then the 3958 level may rise.
Below, below the 3866 support, retreats to 3830 and then to 3804 can be seen.