US Equities: Markets Concerned About Inflation, Interest Rates And Economic Growth

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US equities are seemingly pressured as the market is concerned about the development of inflation, interest rates, and economic growth.

As a surprise, OPEC cut production by about 1 million barrels a month which soared the oil prices higher which may add to the inflationary pressure to keep central banks to stay with the current interest rate hikes and hawkish outlook.

This was beneficial for the dollar, due to a possible hawkish stance on interest rates and the supportive effect of higher oil prices as an export country which may raise trade followed by the currencies value with it. However, Gold and Copper eventually are pressured by this particular combination while Gold and the Japanese yen were used as safe haven assets in the recent banking turmoil.

The banking crisis seems to ease which was initially caused by the collapse of the Silicon Valley Bank followed by the takeover of Credit Suisse by UBS and some stock price fluctuations in the Deutsche Bank stock in March while technology stocks performed well and may have served as a hedge for traders despite the economic concerns.

The monthly interval of the E-mini S&P 500 keeps hitting the bracket highs for selling and long liquidations and may develop a rotational scenario to the downside due to the mentioned concerns while the daily interval seemingly finds some selling around a prior balanced price range back from February.

Median-term calculations for the month are new but mixed which may keep the market balanced with rotational scenarios.

3 Months Ago

The prior session closed with a so-called b-shaped profile structure which may initiate buyers around the upper value extreme and POC of the particular structure, technically. Single print areas and levels may serve as supportive in today’s session while investors seem to lean on the extreme of the current balanced price range.

Market participants monitor the week’s upcoming economic data which includes jobs openings data on Tuesday, ADP private payrolls report on Wednesday, and the monthly jobs report on Friday.

More By This Author:

Monetary Conditions And An Ongoing Banking Crisis Pressure
Possible Cautious Policy Approach On Interest Rates Keeps Dollar Lower
Bitcoin Around The Winners Of Banking Situation For Now

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