Gold and Silver hit multi-month highs on hopes for a less hawkish Federal Reserve

Posted on by Vrasidas Neofytou

The bullish outlook for precious metals is supported by the expectation that the Fed is ready to further slow its pace of interest rate hikes, with most of the traders pricing in only a 25-basis point hike in February, despite the warnings from the central bankers for higher rates for longer to bring back the inflation to Fed’s target of 2%.

On top of that, the dollar softened further on Monday morning as forex traders turned bearish on the greenback, with the DXY-U.S. dollar index hitting a fresh six-month low of 103.50 this morning while the yields on the 10-year U.S. bond fell to near 3,60%, on hopes of less-aggressive U.S. rate hikes by the Federal Reserve, making the dollar-denominated gold and silver further cheaper for overseas buyers.

The bullish outlook for precious metals is supported by the expectation that the Fed is ready to further slow its pace of interest rate hikes, with most of the traders pricing in only a 25-basis point hike in February, despite the warnings from the central bankers for higher rates for longer to bring back the inflation to Fed’s target of 2%.

On top of that, the dollar softened further on Monday morning as forex traders turned bearish on the greenback, with the DXY-U.S. dollar index hitting a fresh six-month low of 103.50 this morning while the yields on the 10-year U.S. bond fell to near 3,60%, on hopes of less-aggressive U.S. rate hikes by the Federal Reserve, making the dollar-denominated gold and silver further cheaper for overseas buyers.

The bullish outlook for precious metals is supported by the expectation that the Fed is ready to further slow its pace of interest rate hikes, with most of the traders pricing in only a 25-basis point hike in February, despite the warnings from the central bankers for higher rates for longer to bring back the inflation to Fed’s target of 2%.

The softer NFP reading calmed concerns of the market participants an overheated U.S. employment market will prevent inflation from easing further this year and pushed up expectations that the Federal Reserve will soften its hawkish stance sooner than expected, letting up pressure on gold and other non-yielding assets.

On top of that, the dollar softened further on Monday morning as forex traders turned bearish on the greenback, with the DXY-U.S. dollar index hitting a fresh six-month low of 103.50 this morning while the yields on the 10-year U.S. bond fell to near 3,60%, on hopes of less-aggressive U.S. rate hikes by the Federal Reserve, making the dollar-denominated gold and silver further cheaper for overseas buyers.

The bullish outlook for precious metals is supported by the expectation that the Fed is ready to further slow its pace of interest rate hikes, with most of the traders pricing in only a 25-basis point hike in February, despite the warnings from the central bankers for higher rates for longer to bring back the inflation to Fed’s target of 2%.

The softer NFP reading calmed concerns of the market participants an overheated U.S. employment market will prevent inflation from easing further this year and pushed up expectations that the Federal Reserve will soften its hawkish stance sooner than expected, letting up pressure on gold and other non-yielding assets.

On top of that, the dollar softened further on Monday morning as forex traders turned bearish on the greenback, with the DXY-U.S. dollar index hitting a fresh six-month low of 103.50 this morning while the yields on the 10-year U.S. bond fell to near 3,60%, on hopes of less-aggressive U.S. rate hikes by the Federal Reserve, making the dollar-denominated gold and silver further cheaper for overseas buyers.

The bullish outlook for precious metals is supported by the expectation that the Fed is ready to further slow its pace of interest rate hikes, with most of the traders pricing in only a 25-basis point hike in February, despite the warnings from the central bankers for higher rates for longer to bring back the inflation to Fed’s target of 2%.

Gold prices jumped from $1,830/oz to near $1,870/oz, or up 2% last Friday, boosted by softer U.S. jobs data (U.S. NFP-nonfarm payrolls grew at their slowest pace in a year in December), which pushed up the expectations for a lower U.S. inflation reading this week and an eventual change in the Federal Reserve’s hawkish rhetoric.

The softer NFP reading calmed concerns of the market participants an overheated U.S. employment market will prevent inflation from easing further this year and pushed up expectations that the Federal Reserve will soften its hawkish stance sooner than expected, letting up pressure on gold and other non-yielding assets.

On top of that, the dollar softened further on Monday morning as forex traders turned bearish on the greenback, with the DXY-U.S. dollar index hitting a fresh six-month low of 103.50 this morning while the yields on the 10-year U.S. bond fell to near 3,60%, on hopes of less-aggressive U.S. rate hikes by the Federal Reserve, making the dollar-denominated gold and silver further cheaper for overseas buyers.

The bullish outlook for precious metals is supported by the expectation that the Fed is ready to further slow its pace of interest rate hikes, with most of the traders pricing in only a 25-basis point hike in February, despite the warnings from the central bankers for higher rates for longer to bring back the inflation to Fed’s target of 2%.

Gold prices jumped from $1,830/oz to near $1,870/oz, or up 2% last Friday, boosted by softer U.S. jobs data (U.S. NFP-nonfarm payrolls grew at their slowest pace in a year in December), which pushed up the expectations for a lower U.S. inflation reading this week and an eventual change in the Federal Reserve’s hawkish rhetoric.

The softer NFP reading calmed concerns of the market participants an overheated U.S. employment market will prevent inflation from easing further this year and pushed up expectations that the Federal Reserve will soften its hawkish stance sooner than expected, letting up pressure on gold and other non-yielding assets.

On top of that, the dollar softened further on Monday morning as forex traders turned bearish on the greenback, with the DXY-U.S. dollar index hitting a fresh six-month low of 103.50 this morning while the yields on the 10-year U.S. bond fell to near 3,60%, on hopes of less-aggressive U.S. rate hikes by the Federal Reserve, making the dollar-denominated gold and silver further cheaper for overseas buyers.

The bullish outlook for precious metals is supported by the expectation that the Fed is ready to further slow its pace of interest rate hikes, with most of the traders pricing in only a 25-basis point hike in February, despite the warnings from the central bankers for higher rates for longer to bring back the inflation to Fed’s target of 2%.

Spot Gold, Daily chart

Gold prices jumped from $1,830/oz to near $1,870/oz, or up 2% last Friday, boosted by softer U.S. jobs data (U.S. NFP-nonfarm payrolls grew at their slowest pace in a year in December), which pushed up the expectations for a lower U.S. inflation reading this week and an eventual change in the Federal Reserve’s hawkish rhetoric.

The softer NFP reading calmed concerns of the market participants an overheated U.S. employment market will prevent inflation from easing further this year and pushed up expectations that the Federal Reserve will soften its hawkish stance sooner than expected, letting up pressure on gold and other non-yielding assets.

On top of that, the dollar softened further on Monday morning as forex traders turned bearish on the greenback, with the DXY-U.S. dollar index hitting a fresh six-month low of 103.50 this morning while the yields on the 10-year U.S. bond fell to near 3,60%, on hopes of less-aggressive U.S. rate hikes by the Federal Reserve, making the dollar-denominated gold and silver further cheaper for overseas buyers.

The bullish outlook for precious metals is supported by the expectation that the Fed is ready to further slow its pace of interest rate hikes, with most of the traders pricing in only a 25-basis point hike in February, despite the warnings from the central bankers for higher rates for longer to bring back the inflation to Fed’s target of 2%.

Spot Gold, Daily chart

Gold prices jumped from $1,830/oz to near $1,870/oz, or up 2% last Friday, boosted by softer U.S. jobs data (U.S. NFP-nonfarm payrolls grew at their slowest pace in a year in December), which pushed up the expectations for a lower U.S. inflation reading this week and an eventual change in the Federal Reserve’s hawkish rhetoric.

The softer NFP reading calmed concerns of the market participants an overheated U.S. employment market will prevent inflation from easing further this year and pushed up expectations that the Federal Reserve will soften its hawkish stance sooner than expected, letting up pressure on gold and other non-yielding assets.

On top of that, the dollar softened further on Monday morning as forex traders turned bearish on the greenback, with the DXY-U.S. dollar index hitting a fresh six-month low of 103.50 this morning while the yields on the 10-year U.S. bond fell to near 3,60%, on hopes of less-aggressive U.S. rate hikes by the Federal Reserve, making the dollar-denominated gold and silver further cheaper for overseas buyers.

The bullish outlook for precious metals is supported by the expectation that the Fed is ready to further slow its pace of interest rate hikes, with most of the traders pricing in only a 25-basis point hike in February, despite the warnings from the central bankers for higher rates for longer to bring back the inflation to Fed’s target of 2%.

Spot Gold, Daily chart

Gold prices jumped from $1,830/oz to near $1,870/oz, or up 2% last Friday, boosted by softer U.S. jobs data (U.S. NFP-nonfarm payrolls grew at their slowest pace in a year in December), which pushed up the expectations for a lower U.S. inflation reading this week and an eventual change in the Federal Reserve’s hawkish rhetoric.

The softer NFP reading calmed concerns of the market participants an overheated U.S. employment market will prevent inflation from easing further this year and pushed up expectations that the Federal Reserve will soften its hawkish stance sooner than expected, letting up pressure on gold and other non-yielding assets.

On top of that, the dollar softened further on Monday morning as forex traders turned bearish on the greenback, with the DXY-U.S. dollar index hitting a fresh six-month low of 103.50 this morning while the yields on the 10-year U.S. bond fell to near 3,60%, on hopes of less-aggressive U.S. rate hikes by the Federal Reserve, making the dollar-denominated gold and silver further cheaper for overseas buyers.

The bullish outlook for precious metals is supported by the expectation that the Fed is ready to further slow its pace of interest rate hikes, with most of the traders pricing in only a 25-basis point hike in February, despite the warnings from the central bankers for higher rates for longer to bring back the inflation to Fed’s target of 2%.

The price of Gold touched the $1,880/oz key level this morning, its highest since early May 2022, while Silver traded above the $24/oz key resistance level, its highest since late April 2022.

Spot Gold, Daily chart

Gold prices jumped from $1,830/oz to near $1,870/oz, or up 2% last Friday, boosted by softer U.S. jobs data (U.S. NFP-nonfarm payrolls grew at their slowest pace in a year in December), which pushed up the expectations for a lower U.S. inflation reading this week and an eventual change in the Federal Reserve’s hawkish rhetoric.

The softer NFP reading calmed concerns of the market participants an overheated U.S. employment market will prevent inflation from easing further this year and pushed up expectations that the Federal Reserve will soften its hawkish stance sooner than expected, letting up pressure on gold and other non-yielding assets.

On top of that, the dollar softened further on Monday morning as forex traders turned bearish on the greenback, with the DXY-U.S. dollar index hitting a fresh six-month low of 103.50 this morning while the yields on the 10-year U.S. bond fell to near 3,60%, on hopes of less-aggressive U.S. rate hikes by the Federal Reserve, making the dollar-denominated gold and silver further cheaper for overseas buyers.

The bullish outlook for precious metals is supported by the expectation that the Fed is ready to further slow its pace of interest rate hikes, with most of the traders pricing in only a 25-basis point hike in February, despite the warnings from the central bankers for higher rates for longer to bring back the inflation to Fed’s target of 2%.

The price of Gold touched the $1,880/oz key level this morning, its highest since early May 2022, while Silver traded above the $24/oz key resistance level, its highest since late April 2022.

Spot Gold, Daily chart

Gold prices jumped from $1,830/oz to near $1,870/oz, or up 2% last Friday, boosted by softer U.S. jobs data (U.S. NFP-nonfarm payrolls grew at their slowest pace in a year in December), which pushed up the expectations for a lower U.S. inflation reading this week and an eventual change in the Federal Reserve’s hawkish rhetoric.

The softer NFP reading calmed concerns of the market participants an overheated U.S. employment market will prevent inflation from easing further this year and pushed up expectations that the Federal Reserve will soften its hawkish stance sooner than expected, letting up pressure on gold and other non-yielding assets.

On top of that, the dollar softened further on Monday morning as forex traders turned bearish on the greenback, with the DXY-U.S. dollar index hitting a fresh six-month low of 103.50 this morning while the yields on the 10-year U.S. bond fell to near 3,60%, on hopes of less-aggressive U.S. rate hikes by the Federal Reserve, making the dollar-denominated gold and silver further cheaper for overseas buyers.

The bullish outlook for precious metals is supported by the expectation that the Fed is ready to further slow its pace of interest rate hikes, with most of the traders pricing in only a 25-basis point hike in February, despite the warnings from the central bankers for higher rates for longer to bring back the inflation to Fed’s target of 2%.

The precious metals have extended last year’s rally into 2023, driven by the ongoing weakness in the U.S. dollar, and the falling bond yields on hopes for a less hawkish Federal Reserve in the next months, coupled with safe-haven demand amid fears of a potential economic recession in 2023.

The price of Gold touched the $1,880/oz key level this morning, its highest since early May 2022, while Silver traded above the $24/oz key resistance level, its highest since late April 2022.

Spot Gold, Daily chart

Gold prices jumped from $1,830/oz to near $1,870/oz, or up 2% last Friday, boosted by softer U.S. jobs data (U.S. NFP-nonfarm payrolls grew at their slowest pace in a year in December), which pushed up the expectations for a lower U.S. inflation reading this week and an eventual change in the Federal Reserve’s hawkish rhetoric.

The softer NFP reading calmed concerns of the market participants an overheated U.S. employment market will prevent inflation from easing further this year and pushed up expectations that the Federal Reserve will soften its hawkish stance sooner than expected, letting up pressure on gold and other non-yielding assets.

On top of that, the dollar softened further on Monday morning as forex traders turned bearish on the greenback, with the DXY-U.S. dollar index hitting a fresh six-month low of 103.50 this morning while the yields on the 10-year U.S. bond fell to near 3,60%, on hopes of less-aggressive U.S. rate hikes by the Federal Reserve, making the dollar-denominated gold and silver further cheaper for overseas buyers.

The bullish outlook for precious metals is supported by the expectation that the Fed is ready to further slow its pace of interest rate hikes, with most of the traders pricing in only a 25-basis point hike in February, despite the warnings from the central bankers for higher rates for longer to bring back the inflation to Fed’s target of 2%.

The precious metals have extended last year’s rally into 2023, driven by the ongoing weakness in the U.S. dollar, and the falling bond yields on hopes for a less hawkish Federal Reserve in the next months, coupled with safe-haven demand amid fears of a potential economic recession in 2023.

The price of Gold touched the $1,880/oz key level this morning, its highest since early May 2022, while Silver traded above the $24/oz key resistance level, its highest since late April 2022.

Spot Gold, Daily chart

Gold prices jumped from $1,830/oz to near $1,870/oz, or up 2% last Friday, boosted by softer U.S. jobs data (U.S. NFP-nonfarm payrolls grew at their slowest pace in a year in December), which pushed up the expectations for a lower U.S. inflation reading this week and an eventual change in the Federal Reserve’s hawkish rhetoric.

The softer NFP reading calmed concerns of the market participants an overheated U.S. employment market will prevent inflation from easing further this year and pushed up expectations that the Federal Reserve will soften its hawkish stance sooner than expected, letting up pressure on gold and other non-yielding assets.

On top of that, the dollar softened further on Monday morning as forex traders turned bearish on the greenback, with the DXY-U.S. dollar index hitting a fresh six-month low of 103.50 this morning while the yields on the 10-year U.S. bond fell to near 3,60%, on hopes of less-aggressive U.S. rate hikes by the Federal Reserve, making the dollar-denominated gold and silver further cheaper for overseas buyers.

The bullish outlook for precious metals is supported by the expectation that the Fed is ready to further slow its pace of interest rate hikes, with most of the traders pricing in only a 25-basis point hike in February, despite the warnings from the central bankers for higher rates for longer to bring back the inflation to Fed’s target of 2%.

Crude oil and Natural Gas plunge on recession fears and a warmer weather

Posted on by Vrasidas Neofytou

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

The record-high winter temperatures across Europe, the lower-than-expected gas demand, and the full gas storage have been weighing on the prices of Dutch TTF recently, the benchmark European gas contract, which fell more than 10% on Wednesday to as low as €64/MWh (per megawatt hour), the lowest level since November 2021.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

The record-high winter temperatures across Europe, the lower-than-expected gas demand, and the full gas storage have been weighing on the prices of Dutch TTF recently, the benchmark European gas contract, which fell more than 10% on Wednesday to as low as €64/MWh (per megawatt hour), the lowest level since November 2021.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

Natural gas price sink on warmer weather:

The record-high winter temperatures across Europe, the lower-than-expected gas demand, and the full gas storage have been weighing on the prices of Dutch TTF recently, the benchmark European gas contract, which fell more than 10% on Wednesday to as low as €64/MWh (per megawatt hour), the lowest level since November 2021.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

Natural gas price sink on warmer weather:

The record-high winter temperatures across Europe, the lower-than-expected gas demand, and the full gas storage have been weighing on the prices of Dutch TTF recently, the benchmark European gas contract, which fell more than 10% on Wednesday to as low as €64/MWh (per megawatt hour), the lowest level since November 2021.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

U.S. and Chinese manufacturing activity contracted further in December, dropping for a second and fifth straight month respectively, while similar industrial weaknesses occurred in Germany and France during the final months of last year, adding to the pessimism around industrial crude oil products demand.

Natural gas price sink on warmer weather:

The record-high winter temperatures across Europe, the lower-than-expected gas demand, and the full gas storage have been weighing on the prices of Dutch TTF recently, the benchmark European gas contract, which fell more than 10% on Wednesday to as low as €64/MWh (per megawatt hour), the lowest level since November 2021.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

U.S. and Chinese manufacturing activity contracted further in December, dropping for a second and fifth straight month respectively, while similar industrial weaknesses occurred in Germany and France during the final months of last year, adding to the pessimism around industrial crude oil products demand.

Natural gas price sink on warmer weather:

The record-high winter temperatures across Europe, the lower-than-expected gas demand, and the full gas storage have been weighing on the prices of Dutch TTF recently, the benchmark European gas contract, which fell more than 10% on Wednesday to as low as €64/MWh (per megawatt hour), the lowest level since November 2021.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

Both Brent and WTI prices have lost nearly 10% over the first two trading days of 2023, posting their worst yearly start since January 1991, as investors also worry about a potential global recession coupled with the deterioration of the industrial activity in the world’s three biggest oil consumers, the United States, China, and Eurozone.

U.S. and Chinese manufacturing activity contracted further in December, dropping for a second and fifth straight month respectively, while similar industrial weaknesses occurred in Germany and France during the final months of last year, adding to the pessimism around industrial crude oil products demand.

Natural gas price sink on warmer weather:

The record-high winter temperatures across Europe, the lower-than-expected gas demand, and the full gas storage have been weighing on the prices of Dutch TTF recently, the benchmark European gas contract, which fell more than 10% on Wednesday to as low as €64/MWh (per megawatt hour), the lowest level since November 2021.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

Both Brent and WTI prices have lost nearly 10% over the first two trading days of 2023, posting their worst yearly start since January 1991, as investors also worry about a potential global recession coupled with the deterioration of the industrial activity in the world’s three biggest oil consumers, the United States, China, and Eurozone.

U.S. and Chinese manufacturing activity contracted further in December, dropping for a second and fifth straight month respectively, while similar industrial weaknesses occurred in Germany and France during the final months of last year, adding to the pessimism around industrial crude oil products demand.

Natural gas price sink on warmer weather:

The record-high winter temperatures across Europe, the lower-than-expected gas demand, and the full gas storage have been weighing on the prices of Dutch TTF recently, the benchmark European gas contract, which fell more than 10% on Wednesday to as low as €64/MWh (per megawatt hour), the lowest level since November 2021.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

The price of the international crude oil benchmark Brent tumbled 5.2% to near $78/b and the U.S-based WTI crude slid 5,5% to $73/b on Wednesday, as the energy participants worry that the resurgence of Covid cases in China could damage demand growth outlook for petroleum products in the coming months.

Both Brent and WTI prices have lost nearly 10% over the first two trading days of 2023, posting their worst yearly start since January 1991, as investors also worry about a potential global recession coupled with the deterioration of the industrial activity in the world’s three biggest oil consumers, the United States, China, and Eurozone.

U.S. and Chinese manufacturing activity contracted further in December, dropping for a second and fifth straight month respectively, while similar industrial weaknesses occurred in Germany and France during the final months of last year, adding to the pessimism around industrial crude oil products demand.

Natural gas price sink on warmer weather:

The record-high winter temperatures across Europe, the lower-than-expected gas demand, and the full gas storage have been weighing on the prices of Dutch TTF recently, the benchmark European gas contract, which fell more than 10% on Wednesday to as low as €64/MWh (per megawatt hour), the lowest level since November 2021.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

The price of the international crude oil benchmark Brent tumbled 5.2% to near $78/b and the U.S-based WTI crude slid 5,5% to $73/b on Wednesday, as the energy participants worry that the resurgence of Covid cases in China could damage demand growth outlook for petroleum products in the coming months.

Both Brent and WTI prices have lost nearly 10% over the first two trading days of 2023, posting their worst yearly start since January 1991, as investors also worry about a potential global recession coupled with the deterioration of the industrial activity in the world’s three biggest oil consumers, the United States, China, and Eurozone.

U.S. and Chinese manufacturing activity contracted further in December, dropping for a second and fifth straight month respectively, while similar industrial weaknesses occurred in Germany and France during the final months of last year, adding to the pessimism around industrial crude oil products demand.

Natural gas price sink on warmer weather:

The record-high winter temperatures across Europe, the lower-than-expected gas demand, and the full gas storage have been weighing on the prices of Dutch TTF recently, the benchmark European gas contract, which fell more than 10% on Wednesday to as low as €64/MWh (per megawatt hour), the lowest level since November 2021.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

Crude oil plunged 10% in two trading days:

The price of the international crude oil benchmark Brent tumbled 5.2% to near $78/b and the U.S-based WTI crude slid 5,5% to $73/b on Wednesday, as the energy participants worry that the resurgence of Covid cases in China could damage demand growth outlook for petroleum products in the coming months.

Both Brent and WTI prices have lost nearly 10% over the first two trading days of 2023, posting their worst yearly start since January 1991, as investors also worry about a potential global recession coupled with the deterioration of the industrial activity in the world’s three biggest oil consumers, the United States, China, and Eurozone.

U.S. and Chinese manufacturing activity contracted further in December, dropping for a second and fifth straight month respectively, while similar industrial weaknesses occurred in Germany and France during the final months of last year, adding to the pessimism around industrial crude oil products demand.

Natural gas price sink on warmer weather:

The record-high winter temperatures across Europe, the lower-than-expected gas demand, and the full gas storage have been weighing on the prices of Dutch TTF recently, the benchmark European gas contract, which fell more than 10% on Wednesday to as low as €64/MWh (per megawatt hour), the lowest level since November 2021.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

Crude oil plunged 10% in two trading days:

The price of the international crude oil benchmark Brent tumbled 5.2% to near $78/b and the U.S-based WTI crude slid 5,5% to $73/b on Wednesday, as the energy participants worry that the resurgence of Covid cases in China could damage demand growth outlook for petroleum products in the coming months.

Both Brent and WTI prices have lost nearly 10% over the first two trading days of 2023, posting their worst yearly start since January 1991, as investors also worry about a potential global recession coupled with the deterioration of the industrial activity in the world’s three biggest oil consumers, the United States, China, and Eurozone.

U.S. and Chinese manufacturing activity contracted further in December, dropping for a second and fifth straight month respectively, while similar industrial weaknesses occurred in Germany and France during the final months of last year, adding to the pessimism around industrial crude oil products demand.

Natural gas price sink on warmer weather:

The record-high winter temperatures across Europe, the lower-than-expected gas demand, and the full gas storage have been weighing on the prices of Dutch TTF recently, the benchmark European gas contract, which fell more than 10% on Wednesday to as low as €64/MWh (per megawatt hour), the lowest level since November 2021.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

Crude oil and natural gas prices have started the new year on the left footing as the growing worries about the global economy, the contraction of global manufacturing activity, the soaring Covid-19 cases in China, and the unexpected warmer winter weather have weighed on the energy prices.

Crude oil plunged 10% in two trading days:

The price of the international crude oil benchmark Brent tumbled 5.2% to near $78/b and the U.S-based WTI crude slid 5,5% to $73/b on Wednesday, as the energy participants worry that the resurgence of Covid cases in China could damage demand growth outlook for petroleum products in the coming months.

Both Brent and WTI prices have lost nearly 10% over the first two trading days of 2023, posting their worst yearly start since January 1991, as investors also worry about a potential global recession coupled with the deterioration of the industrial activity in the world’s three biggest oil consumers, the United States, China, and Eurozone.

U.S. and Chinese manufacturing activity contracted further in December, dropping for a second and fifth straight month respectively, while similar industrial weaknesses occurred in Germany and France during the final months of last year, adding to the pessimism around industrial crude oil products demand.

Natural gas price sink on warmer weather:

The record-high winter temperatures across Europe, the lower-than-expected gas demand, and the full gas storage have been weighing on the prices of Dutch TTF recently, the benchmark European gas contract, which fell more than 10% on Wednesday to as low as €64/MWh (per megawatt hour), the lowest level since November 2021.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

Crude oil and natural gas prices have started the new year on the left footing as the growing worries about the global economy, the contraction of global manufacturing activity, the soaring Covid-19 cases in China, and the unexpected warmer winter weather have weighed on the energy prices.

Crude oil plunged 10% in two trading days:

The price of the international crude oil benchmark Brent tumbled 5.2% to near $78/b and the U.S-based WTI crude slid 5,5% to $73/b on Wednesday, as the energy participants worry that the resurgence of Covid cases in China could damage demand growth outlook for petroleum products in the coming months.

Both Brent and WTI prices have lost nearly 10% over the first two trading days of 2023, posting their worst yearly start since January 1991, as investors also worry about a potential global recession coupled with the deterioration of the industrial activity in the world’s three biggest oil consumers, the United States, China, and Eurozone.

U.S. and Chinese manufacturing activity contracted further in December, dropping for a second and fifth straight month respectively, while similar industrial weaknesses occurred in Germany and France during the final months of last year, adding to the pessimism around industrial crude oil products demand.

Natural gas price sink on warmer weather:

The record-high winter temperatures across Europe, the lower-than-expected gas demand, and the full gas storage have been weighing on the prices of Dutch TTF recently, the benchmark European gas contract, which fell more than 10% on Wednesday to as low as €64/MWh (per megawatt hour), the lowest level since November 2021.

Dutch TTF natural gas contract, Daily chart

The contract reached a record-high of €342/MWh last August, after Russia cut the gas flows to Europe via the Nord Stream 1 pipeline for maintenance reasons, as part of Moscow’s weaponization of gas to the Western allies. Russia was supplying as much as 40% of the EU’s yearly gas demand before the energy embargo at the end of the year.

The warmer weather in Europe has declined the demand for heating by more than 15%, allowing the countries to send more gas into their storage facilities, which stood at nearly 84% at the begging of 2023. The storage levels stand some 30% higher than in 2021 and more than 10% higher than the average of the previous five years.

At the same time, the milder-than-normal winter weather in China and Japan, the world’s two largest LNG buyers, has curbed the local gas demand in the heart of winter, which could free LNG cargo to go elsewhere, especially in gas-thirsty Europe and ease further the energy crisis.

A similar picture in the U.S. Henry Hub gas prices, which dropped as low as $4 per million British thermal units yesterday, near its lowest price in almost a year, and 40% cheaper than its level in mid-December.

Japanese yen climbs to a seven-month high of ¥130 a dollar

Posted on by Vrasidas Neofytou

U.S. policymakers are widely expected to hike interest rates by 25 basis points when they meet in February, amid increasing signs that U.S. inflation has peaked from summer 9% highs to lows of 7% last month, and robust U.S. macroeconomic and labor data.

Federal Reserve hiked interest rates by 50 basis points in December following four consecutive 75 basis point increases, and markets will be keen to gauge the likely trajectory of monetary policy in 2023.

U.S. policymakers are widely expected to hike interest rates by 25 basis points when they meet in February, amid increasing signs that U.S. inflation has peaked from summer 9% highs to lows of 7% last month, and robust U.S. macroeconomic and labor data.

Federal Reserve hiked interest rates by 50 basis points in December following four consecutive 75 basis point increases, and markets will be keen to gauge the likely trajectory of monetary policy in 2023.

U.S. policymakers are widely expected to hike interest rates by 25 basis points when they meet in February, amid increasing signs that U.S. inflation has peaked from summer 9% highs to lows of 7% last month, and robust U.S. macroeconomic and labor data.

Forex traders will also have one eye on the minutes from the Fed’s December policy meeting, due to be published on Wednesday, looking for any signals on whether the central bank intends to slow its pace of interest rate hikes further this year.

Federal Reserve hiked interest rates by 50 basis points in December following four consecutive 75 basis point increases, and markets will be keen to gauge the likely trajectory of monetary policy in 2023.

U.S. policymakers are widely expected to hike interest rates by 25 basis points when they meet in February, amid increasing signs that U.S. inflation has peaked from summer 9% highs to lows of 7% last month, and robust U.S. macroeconomic and labor data.

Forex traders will also have one eye on the minutes from the Fed’s December policy meeting, due to be published on Wednesday, looking for any signals on whether the central bank intends to slow its pace of interest rate hikes further this year.

Federal Reserve hiked interest rates by 50 basis points in December following four consecutive 75 basis point increases, and markets will be keen to gauge the likely trajectory of monetary policy in 2023.

U.S. policymakers are widely expected to hike interest rates by 25 basis points when they meet in February, amid increasing signs that U.S. inflation has peaked from summer 9% highs to lows of 7% last month, and robust U.S. macroeconomic and labor data.

The pair has been on a downtrend momentum since topping near ¥152 level on October 21, 2022, driven by a less hawkish tone by the Fed’s policymakers together with an unexpectedly hit of a more hawkish tone by the Bank of Japan in early December, which increased expectations that it could tighten its ultra-loose policy in 2023.

Forex traders will also have one eye on the minutes from the Fed’s December policy meeting, due to be published on Wednesday, looking for any signals on whether the central bank intends to slow its pace of interest rate hikes further this year.

Federal Reserve hiked interest rates by 50 basis points in December following four consecutive 75 basis point increases, and markets will be keen to gauge the likely trajectory of monetary policy in 2023.

U.S. policymakers are widely expected to hike interest rates by 25 basis points when they meet in February, amid increasing signs that U.S. inflation has peaked from summer 9% highs to lows of 7% last month, and robust U.S. macroeconomic and labor data.

The pair has been on a downtrend momentum since topping near ¥152 level on October 21, 2022, driven by a less hawkish tone by the Fed’s policymakers together with an unexpectedly hit of a more hawkish tone by the Bank of Japan in early December, which increased expectations that it could tighten its ultra-loose policy in 2023.

Forex traders will also have one eye on the minutes from the Fed’s December policy meeting, due to be published on Wednesday, looking for any signals on whether the central bank intends to slow its pace of interest rate hikes further this year.

Federal Reserve hiked interest rates by 50 basis points in December following four consecutive 75 basis point increases, and markets will be keen to gauge the likely trajectory of monetary policy in 2023.

U.S. policymakers are widely expected to hike interest rates by 25 basis points when they meet in February, amid increasing signs that U.S. inflation has peaked from summer 9% highs to lows of 7% last month, and robust U.S. macroeconomic and labor data.

The USDJPY pair fell as low as ¥129.50 a dollar in Tuesday’s Asian trading session before recovering to near ¥130.40 during the European session.

The pair has been on a downtrend momentum since topping near ¥152 level on October 21, 2022, driven by a less hawkish tone by the Fed’s policymakers together with an unexpectedly hit of a more hawkish tone by the Bank of Japan in early December, which increased expectations that it could tighten its ultra-loose policy in 2023.

Forex traders will also have one eye on the minutes from the Fed’s December policy meeting, due to be published on Wednesday, looking for any signals on whether the central bank intends to slow its pace of interest rate hikes further this year.

Federal Reserve hiked interest rates by 50 basis points in December following four consecutive 75 basis point increases, and markets will be keen to gauge the likely trajectory of monetary policy in 2023.

U.S. policymakers are widely expected to hike interest rates by 25 basis points when they meet in February, amid increasing signs that U.S. inflation has peaked from summer 9% highs to lows of 7% last month, and robust U.S. macroeconomic and labor data.

The USDJPY pair fell as low as ¥129.50 a dollar in Tuesday’s Asian trading session before recovering to near ¥130.40 during the European session.

The pair has been on a downtrend momentum since topping near ¥152 level on October 21, 2022, driven by a less hawkish tone by the Fed’s policymakers together with an unexpectedly hit of a more hawkish tone by the Bank of Japan in early December, which increased expectations that it could tighten its ultra-loose policy in 2023.

Forex traders will also have one eye on the minutes from the Fed’s December policy meeting, due to be published on Wednesday, looking for any signals on whether the central bank intends to slow its pace of interest rate hikes further this year.

Federal Reserve hiked interest rates by 50 basis points in December following four consecutive 75 basis point increases, and markets will be keen to gauge the likely trajectory of monetary policy in 2023.

U.S. policymakers are widely expected to hike interest rates by 25 basis points when they meet in February, amid increasing signs that U.S. inflation has peaked from summer 9% highs to lows of 7% last month, and robust U.S. macroeconomic and labor data.

USDJPY pair, Daily chart

The USDJPY pair fell as low as ¥129.50 a dollar in Tuesday’s Asian trading session before recovering to near ¥130.40 during the European session.

The pair has been on a downtrend momentum since topping near ¥152 level on October 21, 2022, driven by a less hawkish tone by the Fed’s policymakers together with an unexpectedly hit of a more hawkish tone by the Bank of Japan in early December, which increased expectations that it could tighten its ultra-loose policy in 2023.

Forex traders will also have one eye on the minutes from the Fed’s December policy meeting, due to be published on Wednesday, looking for any signals on whether the central bank intends to slow its pace of interest rate hikes further this year.

Federal Reserve hiked interest rates by 50 basis points in December following four consecutive 75 basis point increases, and markets will be keen to gauge the likely trajectory of monetary policy in 2023.

U.S. policymakers are widely expected to hike interest rates by 25 basis points when they meet in February, amid increasing signs that U.S. inflation has peaked from summer 9% highs to lows of 7% last month, and robust U.S. macroeconomic and labor data.

USDJPY pair, Daily chart

The USDJPY pair fell as low as ¥129.50 a dollar in Tuesday’s Asian trading session before recovering to near ¥130.40 during the European session.

The pair has been on a downtrend momentum since topping near ¥152 level on October 21, 2022, driven by a less hawkish tone by the Fed’s policymakers together with an unexpectedly hit of a more hawkish tone by the Bank of Japan in early December, which increased expectations that it could tighten its ultra-loose policy in 2023.

Forex traders will also have one eye on the minutes from the Fed’s December policy meeting, due to be published on Wednesday, looking for any signals on whether the central bank intends to slow its pace of interest rate hikes further this year.

Federal Reserve hiked interest rates by 50 basis points in December following four consecutive 75 basis point increases, and markets will be keen to gauge the likely trajectory of monetary policy in 2023.

U.S. policymakers are widely expected to hike interest rates by 25 basis points when they meet in February, amid increasing signs that U.S. inflation has peaked from summer 9% highs to lows of 7% last month, and robust U.S. macroeconomic and labor data.

USDJPY pair, Daily chart

The USDJPY pair fell as low as ¥129.50 a dollar in Tuesday’s Asian trading session before recovering to near ¥130.40 during the European session.

The pair has been on a downtrend momentum since topping near ¥152 level on October 21, 2022, driven by a less hawkish tone by the Fed’s policymakers together with an unexpectedly hit of a more hawkish tone by the Bank of Japan in early December, which increased expectations that it could tighten its ultra-loose policy in 2023.

Forex traders will also have one eye on the minutes from the Fed’s December policy meeting, due to be published on Wednesday, looking for any signals on whether the central bank intends to slow its pace of interest rate hikes further this year.

Federal Reserve hiked interest rates by 50 basis points in December following four consecutive 75 basis point increases, and markets will be keen to gauge the likely trajectory of monetary policy in 2023.

U.S. policymakers are widely expected to hike interest rates by 25 basis points when they meet in February, amid increasing signs that U.S. inflation has peaked from summer 9% highs to lows of 7% last month, and robust U.S. macroeconomic and labor data.

Japanese Yen has been extending Q4, 2022 substantial gains into the first trading sessions of January, surging to levels that haven’t been seen since last June amid weakness in the U.S. dollar and Treasury yields as investors bet for even smaller interest rate hikes by the Federal Reserve in 2023 and less hawkish rhetoric.

USDJPY pair, Daily chart

The USDJPY pair fell as low as ¥129.50 a dollar in Tuesday’s Asian trading session before recovering to near ¥130.40 during the European session.

The pair has been on a downtrend momentum since topping near ¥152 level on October 21, 2022, driven by a less hawkish tone by the Fed’s policymakers together with an unexpectedly hit of a more hawkish tone by the Bank of Japan in early December, which increased expectations that it could tighten its ultra-loose policy in 2023.

Forex traders will also have one eye on the minutes from the Fed’s December policy meeting, due to be published on Wednesday, looking for any signals on whether the central bank intends to slow its pace of interest rate hikes further this year.

Federal Reserve hiked interest rates by 50 basis points in December following four consecutive 75 basis point increases, and markets will be keen to gauge the likely trajectory of monetary policy in 2023.

U.S. policymakers are widely expected to hike interest rates by 25 basis points when they meet in February, amid increasing signs that U.S. inflation has peaked from summer 9% highs to lows of 7% last month, and robust U.S. macroeconomic and labor data.

Japanese Yen has been extending Q4, 2022 substantial gains into the first trading sessions of January, surging to levels that haven’t been seen since last June amid weakness in the U.S. dollar and Treasury yields as investors bet for even smaller interest rate hikes by the Federal Reserve in 2023 and less hawkish rhetoric.

USDJPY pair, Daily chart

The USDJPY pair fell as low as ¥129.50 a dollar in Tuesday’s Asian trading session before recovering to near ¥130.40 during the European session.

The pair has been on a downtrend momentum since topping near ¥152 level on October 21, 2022, driven by a less hawkish tone by the Fed’s policymakers together with an unexpectedly hit of a more hawkish tone by the Bank of Japan in early December, which increased expectations that it could tighten its ultra-loose policy in 2023.

Forex traders will also have one eye on the minutes from the Fed’s December policy meeting, due to be published on Wednesday, looking for any signals on whether the central bank intends to slow its pace of interest rate hikes further this year.

Federal Reserve hiked interest rates by 50 basis points in December following four consecutive 75 basis point increases, and markets will be keen to gauge the likely trajectory of monetary policy in 2023.

U.S. policymakers are widely expected to hike interest rates by 25 basis points when they meet in February, amid increasing signs that U.S. inflation has peaked from summer 9% highs to lows of 7% last month, and robust U.S. macroeconomic and labor data.

U.S. stock indices fall further ahead of their worst year since 2008

Posted on by Vrasidas Neofytou

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

The share of Apple, a bellwether for the overall market and a major influence on investor sentiment, led the broad sell-off, falling more than 3% to $126, posting a new 52-week low for a second day as iPhone supply disruption jitters persist amid labor shortages at Foxconn’s main production facility in Zhengzhou, China.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

The share of Apple, a bellwether for the overall market and a major influence on investor sentiment, led the broad sell-off, falling more than 3% to $126, posting a new 52-week low for a second day as iPhone supply disruption jitters persist amid labor shortages at Foxconn’s main production facility in Zhengzhou, China.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

The Dow Jones index extended recent losses by 1.1% to 32,875, settling below the 33,000 key support level, heavily affected by losses in the largest market cap stock of Apple, on energies, and industrials.

The share of Apple, a bellwether for the overall market and a major influence on investor sentiment, led the broad sell-off, falling more than 3% to $126, posting a new 52-week low for a second day as iPhone supply disruption jitters persist amid labor shortages at Foxconn’s main production facility in Zhengzhou, China.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

The Dow Jones index extended recent losses by 1.1% to 32,875, settling below the 33,000 key support level, heavily affected by losses in the largest market cap stock of Apple, on energies, and industrials.

The share of Apple, a bellwether for the overall market and a major influence on investor sentiment, led the broad sell-off, falling more than 3% to $126, posting a new 52-week low for a second day as iPhone supply disruption jitters persist amid labor shortages at Foxconn’s main production facility in Zhengzhou, China.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Market reaction:

The Dow Jones index extended recent losses by 1.1% to 32,875, settling below the 33,000 key support level, heavily affected by losses in the largest market cap stock of Apple, on energies, and industrials.

The share of Apple, a bellwether for the overall market and a major influence on investor sentiment, led the broad sell-off, falling more than 3% to $126, posting a new 52-week low for a second day as iPhone supply disruption jitters persist amid labor shortages at Foxconn’s main production facility in Zhengzhou, China.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Market reaction:

The Dow Jones index extended recent losses by 1.1% to 32,875, settling below the 33,000 key support level, heavily affected by losses in the largest market cap stock of Apple, on energies, and industrials.

The share of Apple, a bellwether for the overall market and a major influence on investor sentiment, led the broad sell-off, falling more than 3% to $126, posting a new 52-week low for a second day as iPhone supply disruption jitters persist amid labor shortages at Foxconn’s main production facility in Zhengzhou, China.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Growing worries for an economic recession, record-high inflation, energy crisis, Ukraine war, Covid concerns in China, a stronger dollar, surging interest rates, and borrowing costs amid the hawkish central banks have removed the risk appetite from the market recently, pushing tech-heavy Nasdaq Composite down by 35% so far in the year, while the S&P 500 and Dow Jones are on track to lose 20.6% and 10% respectively.

Market reaction:

The Dow Jones index extended recent losses by 1.1% to 32,875, settling below the 33,000 key support level, heavily affected by losses in the largest market cap stock of Apple, on energies, and industrials.

The share of Apple, a bellwether for the overall market and a major influence on investor sentiment, led the broad sell-off, falling more than 3% to $126, posting a new 52-week low for a second day as iPhone supply disruption jitters persist amid labor shortages at Foxconn’s main production facility in Zhengzhou, China.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Growing worries for an economic recession, record-high inflation, energy crisis, Ukraine war, Covid concerns in China, a stronger dollar, surging interest rates, and borrowing costs amid the hawkish central banks have removed the risk appetite from the market recently, pushing tech-heavy Nasdaq Composite down by 35% so far in the year, while the S&P 500 and Dow Jones are on track to lose 20.6% and 10% respectively.

Market reaction:

The Dow Jones index extended recent losses by 1.1% to 32,875, settling below the 33,000 key support level, heavily affected by losses in the largest market cap stock of Apple, on energies, and industrials.

The share of Apple, a bellwether for the overall market and a major influence on investor sentiment, led the broad sell-off, falling more than 3% to $126, posting a new 52-week low for a second day as iPhone supply disruption jitters persist amid labor shortages at Foxconn’s main production facility in Zhengzhou, China.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Nasdaq Composite, Weekly chart

Growing worries for an economic recession, record-high inflation, energy crisis, Ukraine war, Covid concerns in China, a stronger dollar, surging interest rates, and borrowing costs amid the hawkish central banks have removed the risk appetite from the market recently, pushing tech-heavy Nasdaq Composite down by 35% so far in the year, while the S&P 500 and Dow Jones are on track to lose 20.6% and 10% respectively.

Market reaction:

The Dow Jones index extended recent losses by 1.1% to 32,875, settling below the 33,000 key support level, heavily affected by losses in the largest market cap stock of Apple, on energies, and industrials.

The share of Apple, a bellwether for the overall market and a major influence on investor sentiment, led the broad sell-off, falling more than 3% to $126, posting a new 52-week low for a second day as iPhone supply disruption jitters persist amid labor shortages at Foxconn’s main production facility in Zhengzhou, China.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Nasdaq Composite, Weekly chart

Growing worries for an economic recession, record-high inflation, energy crisis, Ukraine war, Covid concerns in China, a stronger dollar, surging interest rates, and borrowing costs amid the hawkish central banks have removed the risk appetite from the market recently, pushing tech-heavy Nasdaq Composite down by 35% so far in the year, while the S&P 500 and Dow Jones are on track to lose 20.6% and 10% respectively.

Market reaction:

The Dow Jones index extended recent losses by 1.1% to 32,875, settling below the 33,000 key support level, heavily affected by losses in the largest market cap stock of Apple, on energies, and industrials.

The share of Apple, a bellwether for the overall market and a major influence on investor sentiment, led the broad sell-off, falling more than 3% to $126, posting a new 52-week low for a second day as iPhone supply disruption jitters persist amid labor shortages at Foxconn’s main production facility in Zhengzhou, China.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Nasdaq Composite, Weekly chart

Growing worries for an economic recession, record-high inflation, energy crisis, Ukraine war, Covid concerns in China, a stronger dollar, surging interest rates, and borrowing costs amid the hawkish central banks have removed the risk appetite from the market recently, pushing tech-heavy Nasdaq Composite down by 35% so far in the year, while the S&P 500 and Dow Jones are on track to lose 20.6% and 10% respectively.

Market reaction:

The Dow Jones index extended recent losses by 1.1% to 32,875, settling below the 33,000 key support level, heavily affected by losses in the largest market cap stock of Apple, on energies, and industrials.

The share of Apple, a bellwether for the overall market and a major influence on investor sentiment, led the broad sell-off, falling more than 3% to $126, posting a new 52-week low for a second day as iPhone supply disruption jitters persist amid labor shortages at Foxconn’s main production facility in Zhengzhou, China.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

As we head into the final trading days of 2022, the major U.S. stock indices closed lower by more than 1% on Wednesday following a broad selloff amid recession fear and hawkish Federal Reserve, and they are on track for their worst year since 2008.

Nasdaq Composite, Weekly chart

Growing worries for an economic recession, record-high inflation, energy crisis, Ukraine war, Covid concerns in China, a stronger dollar, surging interest rates, and borrowing costs amid the hawkish central banks have removed the risk appetite from the market recently, pushing tech-heavy Nasdaq Composite down by 35% so far in the year, while the S&P 500 and Dow Jones are on track to lose 20.6% and 10% respectively.

Market reaction:

The Dow Jones index extended recent losses by 1.1% to 32,875, settling below the 33,000 key support level, heavily affected by losses in the largest market cap stock of Apple, on energies, and industrials.

The share of Apple, a bellwether for the overall market and a major influence on investor sentiment, led the broad sell-off, falling more than 3% to $126, posting a new 52-week low for a second day as iPhone supply disruption jitters persist amid labor shortages at Foxconn’s main production facility in Zhengzhou, China.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

As we head into the final trading days of 2022, the major U.S. stock indices closed lower by more than 1% on Wednesday following a broad selloff amid recession fear and hawkish Federal Reserve, and they are on track for their worst year since 2008.

Nasdaq Composite, Weekly chart

Growing worries for an economic recession, record-high inflation, energy crisis, Ukraine war, Covid concerns in China, a stronger dollar, surging interest rates, and borrowing costs amid the hawkish central banks have removed the risk appetite from the market recently, pushing tech-heavy Nasdaq Composite down by 35% so far in the year, while the S&P 500 and Dow Jones are on track to lose 20.6% and 10% respectively.

Market reaction:

The Dow Jones index extended recent losses by 1.1% to 32,875, settling below the 33,000 key support level, heavily affected by losses in the largest market cap stock of Apple, on energies, and industrials.

The share of Apple, a bellwether for the overall market and a major influence on investor sentiment, led the broad sell-off, falling more than 3% to $126, posting a new 52-week low for a second day as iPhone supply disruption jitters persist amid labor shortages at Foxconn’s main production facility in Zhengzhou, China.

At the same time, the projections on iPhone shipments for 2022 and the first quarter of 2023 would be lower than previous estimates, deteriorating the revenue outlook for 2023.

The S&P 500 index fell 1.2% to 3,783, affected by significant losses in the energy sector as oil and natural gas prices slid, coupled with losses in airline and tourist sectors as the severe winter weather conditions canceled many flights and traveling during the busy-Christmas period.

Following the ongoing sell-off in tech and growth companies, tech-heavy Nasdaq Composite settled down by 1,5% yesterday, ahead of its worst year since 2008.

Nasdaq has lost nearly 35% so far this year as investors rotated out of rate-sensitive growth and tech stocks amid rising recession fears and surging interest rates.

Crude oil:

Both Brent and WTI crude oil prices fell further on Thursday morning, having lost more than 5% since topping on Tuesday on growing concerns that the surging Covid-19 cases in China could halt a recovery in petroleum demand growth for the world’s second-largest oil consumer.

Brent fell as low as $82/b on Thursday morning retreating from its monthly highs of $86/b hit on Tuesday, while U.S.-based WTI crude dropped to near $77/b, -2% so far on the day.

Exclusive Christmas in Love

Posted on by Exclusive Capital Team

This year, we provided customized Christmas packages to families whose children attend the Episkopi primary school in Limassol. The gift packages were presented to Mr Andreas Ktorou, president of the school’s Parent Teacher Association (PTA), by Mrs Kyriaki Michael, spouse of Exclusive Capital’s Co-founder/Managing Director, and Mrs Irini Csanadi Neofytou, HR Manager.

At Exclusive Capital, we know that our success is meaningless if we don’t give back to our communities, and it’s indeed the most fulfilling experience for us to come together as a team and create something that we know will put smiles on the faces of children and families.

Here at Exclusive Capital, the holiday season offers the perfect opportunity to give back to our local communities.

Every year, our team gathers together in the spirit of Christmas and Love to create beautiful gift packages with Christmas treats and vouchers to make the holidays special for families in Cyprus.

This year, we provided customized Christmas packages to families whose children attend the Episkopi primary school in Limassol. The gift packages were presented to Mr Andreas Ktorou, president of the school’s Parent Teacher Association (PTA), by Mrs Kyriaki Michael, spouse of Exclusive Capital’s Co-founder/Managing Director, and Mrs Irini Csanadi Neofytou, HR Manager.

At Exclusive Capital, we know that our success is meaningless if we don’t give back to our communities, and it’s indeed the most fulfilling experience for us to come together as a team and create something that we know will put smiles on the faces of children and families.

Here at Exclusive Capital, the holiday season offers the perfect opportunity to give back to our local communities.

Every year, our team gathers together in the spirit of Christmas and Love to create beautiful gift packages with Christmas treats and vouchers to make the holidays special for families in Cyprus.

This year, we provided customized Christmas packages to families whose children attend the Episkopi primary school in Limassol. The gift packages were presented to Mr Andreas Ktorou, president of the school’s Parent Teacher Association (PTA), by Mrs Kyriaki Michael, spouse of Exclusive Capital’s Co-founder/Managing Director, and Mrs Irini Csanadi Neofytou, HR Manager.

At Exclusive Capital, we know that our success is meaningless if we don’t give back to our communities, and it’s indeed the most fulfilling experience for us to come together as a team and create something that we know will put smiles on the faces of children and families.

Here at Exclusive Capital, the holiday season offers the perfect opportunity to give back to our local communities.

Every year, our team gathers together in the spirit of Christmas and Love to create beautiful gift packages with Christmas treats and vouchers to make the holidays special for families in Cyprus.

This year, we provided customized Christmas packages to families whose children attend the Episkopi primary school in Limassol. The gift packages were presented to Mr Andreas Ktorou, president of the school’s Parent Teacher Association (PTA), by Mrs Kyriaki Michael, spouse of Exclusive Capital’s Co-founder/Managing Director, and Mrs Irini Csanadi Neofytou, HR Manager.

At Exclusive Capital, we know that our success is meaningless if we don’t give back to our communities, and it’s indeed the most fulfilling experience for us to come together as a team and create something that we know will put smiles on the faces of children and families.

Brent oil hits $85/b on a severe U.S. snowstorm and China’s reopening

Posted on by Vrasidas Neofytou

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

Oil contracts have extended last week’s gains of 4% driven by the threats of Russian President Putin to cut production by between 500,0000 and 700,000 barrels per day in response to the price cap of $60 per barrel placed on Russian exports by the G7 grouping of countries on December 05, 2022.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

Oil contracts have extended last week’s gains of 4% driven by the threats of Russian President Putin to cut production by between 500,0000 and 700,000 barrels per day in response to the price cap of $60 per barrel placed on Russian exports by the G7 grouping of countries on December 05, 2022.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

Market reaction:

Oil contracts have extended last week’s gains of 4% driven by the threats of Russian President Putin to cut production by between 500,0000 and 700,000 barrels per day in response to the price cap of $60 per barrel placed on Russian exports by the G7 grouping of countries on December 05, 2022.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

Market reaction:

Oil contracts have extended last week’s gains of 4% driven by the threats of Russian President Putin to cut production by between 500,0000 and 700,000 barrels per day in response to the price cap of $60 per barrel placed on Russian exports by the G7 grouping of countries on December 05, 2022.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

Hence, the high winds in the Texas Gulf Coast also temporarily shut down LNG exports and petroleum products to other countries, especially in Europe and South America.

Market reaction:

Oil contracts have extended last week’s gains of 4% driven by the threats of Russian President Putin to cut production by between 500,0000 and 700,000 barrels per day in response to the price cap of $60 per barrel placed on Russian exports by the G7 grouping of countries on December 05, 2022.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

Hence, the high winds in the Texas Gulf Coast also temporarily shut down LNG exports and petroleum products to other countries, especially in Europe and South America.

Market reaction:

Oil contracts have extended last week’s gains of 4% driven by the threats of Russian President Putin to cut production by between 500,0000 and 700,000 barrels per day in response to the price cap of $60 per barrel placed on Russian exports by the G7 grouping of countries on December 05, 2022.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

According to Reuters, the crude oil production in North Dakota was cut by 300,000 barrels a day and the U.S. natural gas production declined by 10%-15% because of the blizzard.

Hence, the high winds in the Texas Gulf Coast also temporarily shut down LNG exports and petroleum products to other countries, especially in Europe and South America.

Market reaction:

Oil contracts have extended last week’s gains of 4% driven by the threats of Russian President Putin to cut production by between 500,0000 and 700,000 barrels per day in response to the price cap of $60 per barrel placed on Russian exports by the G7 grouping of countries on December 05, 2022.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

According to Reuters, the crude oil production in North Dakota was cut by 300,000 barrels a day and the U.S. natural gas production declined by 10%-15% because of the blizzard.

Hence, the high winds in the Texas Gulf Coast also temporarily shut down LNG exports and petroleum products to other countries, especially in Europe and South America.

Market reaction:

Oil contracts have extended last week’s gains of 4% driven by the threats of Russian President Putin to cut production by between 500,0000 and 700,000 barrels per day in response to the price cap of $60 per barrel placed on Russian exports by the G7 grouping of countries on December 05, 2022.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

One of the coldest Arctic events on record is expanding across most of the United States, having pounded regions from the upper U.S. Midwest to the Northeast, and toward areas as far south as Texas and Florida.

According to Reuters, the crude oil production in North Dakota was cut by 300,000 barrels a day and the U.S. natural gas production declined by 10%-15% because of the blizzard.

Hence, the high winds in the Texas Gulf Coast also temporarily shut down LNG exports and petroleum products to other countries, especially in Europe and South America.

Market reaction:

Oil contracts have extended last week’s gains of 4% driven by the threats of Russian President Putin to cut production by between 500,0000 and 700,000 barrels per day in response to the price cap of $60 per barrel placed on Russian exports by the G7 grouping of countries on December 05, 2022.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

One of the coldest Arctic events on record is expanding across most of the United States, having pounded regions from the upper U.S. Midwest to the Northeast, and toward areas as far south as Texas and Florida.

According to Reuters, the crude oil production in North Dakota was cut by 300,000 barrels a day and the U.S. natural gas production declined by 10%-15% because of the blizzard.

Hence, the high winds in the Texas Gulf Coast also temporarily shut down LNG exports and petroleum products to other countries, especially in Europe and South America.

Market reaction:

Oil contracts have extended last week’s gains of 4% driven by the threats of Russian President Putin to cut production by between 500,0000 and 700,000 barrels per day in response to the price cap of $60 per barrel placed on Russian exports by the G7 grouping of countries on December 05, 2022.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

Brent and WTI crude oil prices climbed to near $85/b and $80/b respectively on Tuesday morning as a severe Arctic snowstorm, frigid cold, and blowing winds, which swept across the U.S. over the last few days, have halted some crude oil and gas production and has also increased the demand for heating oil.

One of the coldest Arctic events on record is expanding across most of the United States, having pounded regions from the upper U.S. Midwest to the Northeast, and toward areas as far south as Texas and Florida.

According to Reuters, the crude oil production in North Dakota was cut by 300,000 barrels a day and the U.S. natural gas production declined by 10%-15% because of the blizzard.

Hence, the high winds in the Texas Gulf Coast also temporarily shut down LNG exports and petroleum products to other countries, especially in Europe and South America.

Market reaction:

Oil contracts have extended last week’s gains of 4% driven by the threats of Russian President Putin to cut production by between 500,0000 and 700,000 barrels per day in response to the price cap of $60 per barrel placed on Russian exports by the G7 grouping of countries on December 05, 2022.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

Brent and WTI crude oil prices climbed to near $85/b and $80/b respectively on Tuesday morning as a severe Arctic snowstorm, frigid cold, and blowing winds, which swept across the U.S. over the last few days, have halted some crude oil and gas production and has also increased the demand for heating oil.

One of the coldest Arctic events on record is expanding across most of the United States, having pounded regions from the upper U.S. Midwest to the Northeast, and toward areas as far south as Texas and Florida.

According to Reuters, the crude oil production in North Dakota was cut by 300,000 barrels a day and the U.S. natural gas production declined by 10%-15% because of the blizzard.

Hence, the high winds in the Texas Gulf Coast also temporarily shut down LNG exports and petroleum products to other countries, especially in Europe and South America.

Market reaction:

Oil contracts have extended last week’s gains of 4% driven by the threats of Russian President Putin to cut production by between 500,0000 and 700,000 barrels per day in response to the price cap of $60 per barrel placed on Russian exports by the G7 grouping of countries on December 05, 2022.

Brent crude, 1-hour chart

Both oil prices have posted a significant rally over the last few days, trading over 12% higher relative to their 2022 lows of $75/b and $70/b respectively, set at the beginning of December, as energy traders bet on a potential China reopening which could provide a big boost in oil demand.

According to S&P’s latest forecast, oil demand in China could hit 15.7 million barrels per day in 2023, which would represent an increase of 700,000 barrels compared to 2022.

Increased oil demand from China could offset a potential slowdown in demand for petroleum products across the world amid the likelihood of an economic recession due to the hiking of interest rates and record-high inflation.

Exclusive Change Capital Ltd is regulated by the Cyprus Securities and Exchange Commission (CySEC) under the licence number CIF 330/17. Exclusive Capital Ltd operates in accordance with the Markets in Financial Instruments Directive (MiFID) of the European Union.

Exclusive Change Capital Ltd is incorporated under the laws of Cyprus, with registration no. HE 337858, regulated by CySEC under license no. 330/17 and has its registered address at Theodorou Potamianou 56, 4th Floor, Kato Polemidia, 4155, Limassol, Cyprus

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