A mixed mood was observed in the European trading session with a slight advantage for the market bears. In the end, Germany's DAX lost 0.33%, France's CAC 40 dropped 0.64%, and London's FTSE 100 scored a decline of more than 1%.
A conference call with the Fed's Jerome Powell began at 5pm BST, which, in addition to market reactions to Tesla's and Netlix's quarterly results, was the highlight of today's session.
Powell was relatively hawkish in his remarks. The banker pointed out that inflation is too high and it is still unclear whether the proper interest rate levels have been reached. On the other hand, however, the banker pointed to Treasury bond yields, which support the tightening of the economy and could theoretically stem pressure for further rate hikes.
U.S. jobless claims (claims) showed a drop below 200,000 against an expected slight increase.
Wall Street indices are posting modest gains. Only the Russell2000 is lagging behind.
Tesla's weak quarterly results and Musk's comments put pressure on EV companies.
The EURUSD remains in consolidation, between the 1.05 and 1.0630 zones.
The best performer among the G10 was the Swiss franc, which gained 0.6% against the dollar. The USDCHF exchange rate fell below the average EMA100 of the D1 interval, which may support further declines.
NATGAS deepened the discount after the release of inventory data, which came in higher than expected and higher than the previous reading. Currently, declines here reach 3.6%. The round level of 3.00 remains crucial for further direction in the short term.
Precious metals gained, which had to do with the slight woefulness of the dollar. Gold added more than 1%, platinum 0.7%, and silver is trading in the region of yesterday's closing levels. A clear outlier today is palladium, which is losing more than 2%.
The cryptocurrency market is seeing mixed sentiment, with Bitcoin gaining just 1% and Ethereum adding 0.2%. Quite a few altcoins, on the other hand, are trading below yesterday's close level.
USDCHF quotes left the upward channel and fell below the EMA100 average. If the declines continue, the nearest important support falls at 0.8820. Source: xStation5
