empty
 
 
08.02.2023 02:48 PM
US premarket on February 8: investors again did not believe Jerome Powell

Following yesterday's spike in volatility, which made many traders nervous, futures on US market indices are currently trading slightly lower. Investors remain optimistic about what is happening and think that inflation will return to normal in the near future and that the need for strict laws will go away on its own, despite the chairman of the Federal Reserve System's assertions to the contrary.

This image is no longer relevant

Futures for the Nasdaq 100 and S&P 500 are currently down 0.3% and 0.2%, respectively, while the Dow Jones industrial average has dropped roughly 0.2%. While oil and gas company Equinor ASA and lender ABN Amro NV reported quite strong profits in their quarterly reports, the European Stoxx Europe 600 index increased. Despite the seriousness of the US labor market figures, Fed Chairman Jerome Powell indicated merely that before the Federal Reserve adopts a wait-and-see approach, borrowing costs may likely hit a higher maximum than traders anticipate. Powell responded to questions from the audience at the Economic Club of Washington by saying, "We think we may need to hike rates further." "The labor market is remarkably strong. If the situation there remains tight, we may have to take additional action beyond what was originally anticipated," he said. However, as you can see on the chart when the S&P 500 index had a strong decline, the entire movement was bought out because Powell made no specific statements regarding the required policy change.

Today's gains in Australia and South Korea more than made up for China's stock lag in the Asian indices, which also increased. The dollar index and Treasury bond yields both modestly decreased.

Some people think Powell's last hawkish speech went unheard, and there is some truth to this. Investors are now focusing on the less expensive assets, as well as the fact that the Fed is no longer acting as aggressively as it once did. Powell broke his December commitment to increase rates by 50 basis points, and the committee will maintain its dovish stance.

Adani Enterprises, which has endured much, saw its shares increase for a second day after collapsing as a result of the harsh critique of Hindenburg Research that was released two weeks ago.

Oil prices rose in other markets after experiencing their greatest one-day increase since November, supported by a rebound in Chinese demand.

This image is no longer relevant

Regarding the S&P 500's technical picture, it is evident that there is still a demand for riskier assets. The index could increase further, but consolidation over $4,150 is required for this. The control of $4,180, which will enable the bullish trend to continue, will be no less of a priority for the bulls. After that, we can anticipate an upward movement that is more confident, to support the trading instrument at $4,208. The level of $4,229 is a little higher and will be challenging to surpass. Buyers only need to declare themselves in the area of $4,116 in the event of a downward movement and lack of demand. When it breaks down, the trading instrument will be immediately pushed to $4,090 and open the way to $4,064.

Jakub Novak,
Chuyên gia phân tích của InstaForex
© 2007-2023
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    THAM GIA CUỘC THI
  • Tiền gửi lần truy cập
    Ký quỹ tài khoản của bạn với $3000 và nhận được $1000 nhiều hơn!
    Trong Tháng 6 chúng tôi xổ $1000 trong chiến dịch Chancy Deposit!
    Có được một cơ hội giành chiến thắng bằng việc ký quỹ $3000 vào một tài khoản giao dịch. Đáp ứng được điều kiện này, bạn trở thành một người tham gia chiến dịch.
    THAM GIA CUỘC THI
  • Giao dịch khôn ngoan, thành công
    Nạp tiền vào tài khoản của bạn với ít nhất $ 500, đăng ký cuộc thi và có cơ hội giành được các thiết bị di động.
    THAM GIA CUỘC THI
  • 100% tiền thưởng
    Cơ hội duy nhất của bạn để nhận 100% tiền thưởng khi gửi tiền
    NHẬN THƯỞNG
  • 55% Tiền thưởng
    Đăng ký tiền thưởng 55% cho mỗi lần gửi tiền của bạn
    NHẬN THƯỞNG
  • 30% tiền thưởng
    Nhận 30% tiền thưởng mỗi khi bạn nạp tiền vào tài khoản của mình
    NHẬN THƯỞNG

Các bài báo được đề xuất

Không thể nói chuyện ngay bây giờ?
Đặt câu hỏi của bạn trong phần trò chuyện.
Widget callback