Despite the positive China data yesterday the market failed to adopt a further risk taking stance. Stock markets globally turned lower and may face stronger resistance at the current levels. Shares is Asia dipped following losses on Wall Street and some profit-taking ahead of a long Easter weekend. European markets opened on a bearish note this morning with major bourses largely in the red as Purchasing Managers Indexes (PMI) from France and Germany failed to calm fears that a Europe-wide economic slowdown may be imminent. Meanwhile, German manufacturing data came in below expectations, while France’s data also showed a decline in output.

Forex Preview

The EUR/USD noted a deep dive today EUR/USD tumbles on disappointing German Manufacturing PMI.  The greenback remained quite supported as a risk-off tone spread in the markets. Investors will focus on Retail sales out of the US will be very relevant for markets to pick a direction before the long Easter weekend, since the majority of the US economy is based on consumption.

Elsewhere the sterling gained significant ground on a subdued euro, adding 0.3% as of 8:45 GMT after a set of better than expected UK retail data supported the sterling. The bullish trend may change today with another no-confidence vote attempt on PM May. Specifically Grassroots Conservative activists have expressed that they will try to press Theresa May to stand down as prime minister by forcing a general meeting to allow a vote of no confidence from party members. The vote would not be binding on the prime minister, but the National Conservative Convention (NCC) would be obliged to hold the meeting if more than 65 Tory association chairs call for one to be held.

Oil Prices Dip

Oil prices dropped on Thursday amid rising U.S. production and despite a surprise decline in U.S. inventories. Benchmark Brent retreating from a five-month high touched in the previous session. Brent crude futures were at $71.24 a barrel at 8:50 GMT, down 38 cents, or 0.5 percent, from their last close while U.S. West Texas Intermediate (WTI) crude futures were at $63.59 per barrel, down 17 cents, or 0.24 percent, from their previous settlement.  

Oil

Gold at 2019 Lows, Bitcoin Steadies

Spot Gold fell to its lowest since end-December on Thursday, on a USD bounceback and may see further declines. XAU/USD was last seen 0.15% higher at $1275.94. Elsewhere, BTC kept its ambition intact after growing steadily this week and staying above $5,200. BTC/USD is currently trading towards the $5,300 resistance  as of 9:05 GMT and it is currently consolidating gains.

 

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