US stocks correct on renewed AI worries

Frank Walbaum FX Strategies.Asia

Important news this week

Fri, 13th, 08:30 CET CH Consumer Price Index.
Fri, 13th, 14:30 CET US Consumer Price Index.

US data

Unemployment claims in the US are rising slightly and tensions under the surface seem to show a mixed picture. Despite Jerome Powell still staying with his approach of a firm labour market economic data is suggesting otherwise. Less jobs can be seen in the ADP report, which has been lagging behind in recent months similarly to the downtrend in the JOLTS job openings report. The S&P 500 is weakening currently as the worries in regards to software companies in particular from the AI sector keeps pushing the market lower.

Market talk

The Dollar remains in a sideways pattern and does not show a clear trend moving forward. While the EUR and GBP are losing some momentum the AUD keeps trading positive still but also look like a correction might be on the cards at around the 0.7100 resistance level. On the other hand, defensive stocks and also the Dow Jones index in general might now face less headwinds as compared to the Nasdaq and the S&P 500. The crypto market also remains vulnerable to further losses. Bitcoin seems back on track to fade beow the usd 60,000 level and with that a push higher from any altcoin seems not to happen.

Tendencies in the markets

Equities negative, USD rather stronger, crypto weaker, oil weaker, Silver weaker, Gold sideways.

Author

Frank Walbaum

FX Strategies.Asia

Frank has been working in the TV business for several years. Acquiring his skills in Germany’s biggest broadcasting station, he then chose to work and live in Asia, which was in 2007.

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