- The Dow Jones Industrial Average ended around 974 points lower, down 4.4%, near 20,943.
- S&P 500 lost about 114 points, or 4.4%, closing near 2,471.
- The Nasdaq Composite closed near to 7,361, off around 340 points, or 4.4%.
It was not a good start for US benchmarks in the second quarter while investors stick to the sidelines in anticipation of grim headlines pertaining to the global economic crisis s and increasing number so COVID-19 cases and death tolls. Consequently, we witnessed some bruising losses in US stocks resulting in the worst start to a quarter for stock-market bulls ever.
The Dow Jones Industrial Average ended around 974 points lower, down 4.4%, near 20,943 while the S&P 500 lost about 114 points, or 4.4%, closing near 2,471. The Nasdaq Composite closed near to 7,361, off around 340 points, or 4.4%. Stocks have fallen sharply in late February and March with the S&P 500 marking up a 20% quarterly decline, its largest since the GFC and the Dow dropping more than 23% for its biggest first-quarter decline on record and largest quarterly fall since 1987.
COVID-19 cases on the rise
New daily confirmed European COVID-19 cases continued to lift sharply. Despite some expectations amongst modellers that the peak in the virus could come in the next 10-14 days, the worryingly high data and lack of uniformity imply restrictions will remain in place for many weeks. Germany extended its lockdown until April 19 and Italy extended until April 13. Governments will review the lockdowns after Easter, but they are unlikely to risk removing them too early as that could invalidate a lot of the progress that the lockdowns are hopefully making.
The daily chart shows the DJIA correcting higher overall with a 20 exponential moving average acting as resistance. On the hourly chart, however, we have moving key averages acting as classic supports which points towards a period whereby the DJIA will be consolidating for now. A break above or below the 22500 and 21600 levels respectively are of mind while a test and hold above 22500 will allow prices to move higher towards 22700 as long as 21600 stays intact on the downside.
|Today last price||20946|
|Today Daily Change||-904.00|
|Today Daily Change %||-4.14|
|Today daily open||21850|
|Previous Daily High||22508|
|Previous Daily Low||21776|
|Previous Weekly High||22660|
|Previous Weekly Low||18216|
|Previous Monthly High||27086|
|Previous Monthly Low||18216|
|Daily Fibonacci 38.2%||22055.62|
|Daily Fibonacci 61.8%||22228.38|
|Daily Pivot Point S1||21581.33|
|Daily Pivot Point S2||21312.67|
|Daily Pivot Point S3||20849.33|
|Daily Pivot Point R1||22313.33|
|Daily Pivot Point R2||22776.67|
|Daily Pivot Point R3||23045.33|
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Follow us on Telegram
Stay updated of all the news
EUR/USD drops toward 1.0700 after US jobs report
EUR/USD came under renewed bearish pressure in the second half of the day on Friday and declined toward 1.0700. Stronger-than-expected Nonfarm Payrolls (NFP) data helps the US Dollar gather strength ahead of the weekend and forces the pair to stay on the back foot.
GBP/USD extends slide below 1.2450 amid a stronger USD
GBP/USD dropped further and hit fresh daily lows below 1.2450 amid a stronger US dollar. The Greenback remains firm following the release of the US May jobs report. Despite losing almost 100 pips on Friday, GBP/USD is still on track for a weekly gain.
Gold falls below $1,960 as US yields rebound after US jobs data
Gold price turned south and declined below $1,960 on Friday. After the data from the US revealed that Nonfarm Payrolls rose 339,000 in May, the benchmark 10-year US Treasury bond yield gained more than 2% and recovered toward 3.7%, weighing heavily on XAU/USD.
China crypto community picks Ethereum, Arbitrum and BNB Chain as top protocols
Ethereum, Arbitrum and BNB Chain protocols are top picks for the Chinese crypto community, data from a report shows, a possible bullish catalyst for tokens related to these protocols as Hong Kong opens the door of crypto to retail investors.
LULU stock adds 15% on big Wall Street beat
Lululemon Athletica did it again. In something that has become quite predictable, LULU stock sailed 14.9% higher in Friday’s premarket to $377.20 after the prized athleisure brand posted a nearly 15% earnings beat for the first quarter.