Morning briefing: Brent and WTI have moved sharply higher

The Dollar Index could test immediate resistance near 101.25 which if holds and pushes it down can hold supports on other major currencies like 1.13 on Euro, 158 on Yen, 95.50 onn USDINR, 0.69 on Aussie , 1.32 on Pound and instead lead to currency weakness in the coming sessions. EURJPY could rise to 180-182 in the near term before pausing for a reversal.

The US Treasury and the German Yields have surged back sharply. Crude Oil price rising back above 100 has taken the yields higher. The Treasury yields have resumed their upmove without seeing the corrective dip. The rise is also happening much faster than expected. They can go up further higher. The German Yields have bounced from their support as expected. That keeps intact our overall bullish view. The yields can rise further. The 10Yr GoI has also risen back from its support. It can resume the overall uptrend and go further higher from here.

Dow has fallen below 52000 and can decline towards 51500-51000. DAX remains weak below 25500, with a break opening 25250-25000. Nifty needs to break above 23500 for a rise towards 23800. Nikkei can decline towards 65000-64000 after pulling back from resistance. Shanghai remains weak below 3950 and can decline towards 3850.

Brent and WTI have moved sharply higher as US-Iran tensions continue to disrupt crude flows. Gold needs to hold $4300 for a recovery towards $4500-$4600. Silver can test $63 before a possible bounce. Copper remains weak below $6.80 and can decline towards $6.70-$6.60. Natural Gas has broken above $3.00 and can rise towards $3.20-$3.40.