oil fell from a two-week high and Wall Street in the Green Zone
US stock indices rose in Wednesday’s trading due to positive quarterly reports from a number of companies
as well as lower US Treasury yields, supporting the technology sector
Evest follows market developments in the following report
topic
Mass rally on US stock indices
US stock performance at yesterday’s session
The Bank of South Korea unexpectedly raises interest rates
Oil declines after hitting a two-week high
Mass rally on US stock indices
The Dow Jones Industrial Index rose by 344.23 points (1.01%) as the market closed Wednesday, at 34564.59
Standard & Poor’s 500 rose by 49.14 points (1.12%) to 4446.59 points
The Nasdaq Composite Index rose by 272.02 points (2.03%) to 13643.59
On Thursday, last quarter’s financial statements will be published by several major US banks simultaneously including Goldman Sachs, Citigroup, Morgan Stanley, and Will Fargo
US inflation data remains the focus of traders as higher consumer prices increase
the likelihood of the Fed tightening faster than expected
Data released by the US Department of Labor, published a day earlier
showed the country’s consumer price growth accelerated in March
to a maximum since December 1981 by 8.5% compared with 7.9% in February
The Labor Department said Wednesday
that US producer prices rose 1.4% on a monthly basis in March
the fastest pace since December 2009
Experts surveyed by Trading Economics predicted that growth would accelerate to 1.1% from 0.9% in February
The leap in producer prices last month compared to March 2021 was the highest since January 1981 – 11.2%
“Inflation data are not positive, but it is likely that prices are approaching their peak
and in the coming months we will see a downward trend in inflation
” Dow Jones quotes Etsy Dweck, chief investment officer at FlowBank
Fed board member, Christopher Waller, said in an interview with CNBC on Wednesday that the Fed would have to raise interest rates faster than usual to control inflation
In the meantime, he expressed confidence that inflation in the United States was already peaking and would begin to slow
The 10-year US Treasury yield fell 4 basis points to 2.688% on Wednesday
supporting tech stocks and pushing the Nasdaq Composite index higher by 2%
artical name: oil fell from a two-week high
US stock performance at yesterday’s session
Stocks of Delta Air Lines, whose quarterly loss was below market expectations, rose by 6.2%
American Airlines Group Inc, which slightly improved its first-quarter profit guidance the day beforerose by 11%
Southwest Airlines and United Airlines Holdings Inc. stocks rose by 7.5% and 5.6%, respectively
JPMorgan Chase & Co, the largest US bank by assets, fell by 3.2%
The Bank’s net income fell by 42% to $8.28 billion, or $2.63 per stock in the first quarter of 2022
worse than the FactSet consensus of $2.72 per stock
Stocks of Netflix rose by 1.8%, Alphabet by 1.7%, Amazon by 3.2%, Twitter by 3.1%, and Tesla Inc by 3.6%.
The Bank of South Korea unexpectedly raises interest rates
The Bank of Korea unexpectedly raised its prime interest rate by 25 basis points after the April 14 meeting
with inflation reaching double its target level
The seven-day repo rate is now 1.5%
Analysts surveyed by the Wall Street Journal generally agreed that the regulator would continue to raise interest rates
but only 7 out of 20 participants thought this would happen as early as April
The remaining 13 are expected to rise at the May meeting
South Korea’s inflation accelerated to 4.1% in March, the highest rate in more than a decade
The central bank targets inflation at 2%
The central bank forecast for February states that consumer prices will rise this year by 3.1%
but the regulator admitted on Thursday that the figure could exceed expectations
In 2021, South Korea’s economy grew by 4%, and inflation averaged 2.5%
artical name: oil fell from a two-week high
Oil declines after hitting a two-week high
Oil prices fell moderately on Thursday morning after rising to a two-week high a day earlier
and traders are assessing events in Ukraine and US fuel reserves data
Brent crude futures for June fell by $0.34 (0.31%) on the London Futures Exchange, to $108.44 per barrel
Brent crude rose by $4.14 (4 percent) to $108.78 per barrel on Wednesday
WTI futures for May at this time are cheap in electronic trading on the New York Mercantile Exchange (NYMEX) by $0.74 (0.71%), up to $103.51 per barrel
During the previous session, the futures contract rose by $3.65 (3.6%) to $104.25 per barrel
The US Department of Energy reported that the country’s commercial oil inventories for the week ending April 8 increased by 9.38 million barrels
Gasoline inventories decreased by 3.65 million barrels and distillates by 2.9 million barrels
On average, analysts expected oil stocks to increase by 1 million barrels
gasoline stocks to fall by 600 thousand barrels and distillate stocks to fall by 416 thousand barrels
Oil reserves at the Cushing terminal, where oil is traded on the NYMEX stock exchange
rose by 400 thousand barrels last week
The sharp increase in oil stocks is partly due to the abrupt decrease in the level of utilization of US refining capacity
which has also caused lower gasoline and distillate reserves
Market participants also continue to monitor developments in Ukraine and sanctions against Russia
including possible restrictions on hydrocarbon supplies
The US and UK have already abandoned Russian fuel, but the EU has so far refrained from banning oil and gas imports
However, reducing the oil supply from Russia could reach 3 million barrels per day, according to IEA projections
artical name: oil fell from a two-week high