Global warming, the war in Ukraine, the recession and famine are the issues that are being discussed at this summit of the world economic forum in Davos, it was the first lady of Ukraine who asked for support for her country because if Ukraine loses this conflict world peace could be affected. On the other hand, we continue with the delivery of results this week, for which we expect that there will be volatility in the markets again. The Dow lost nearly 400 points on Tuesday, dragged down by the financial sector, as investors digested a slew of earnings reports as they reassessed growth prospects.
INDICES
The S&P 500 hovered around the 4,000 mark, while the Nasdaq 100 outperformed by adding about 0.1%, buoyed by a more than 7% rally in Tesla. Goldman Sachs reported a bigger-than-expected 69% drop in fourth-quarter profit as heavy losses at its investment banking unit and asset management revenue sent its shares tumbling nearly 7%. On the other hand, rival Morgan Stanley jumped 6% after surprising investors higher after its trading company received a boost from market volatility. Whirlpool was also in the spotlight after the appliance company said it would divest its businesses in Europe, the Middle East and Africa.
COMMODITIES
WTI: WTI crude futures rose to around $81 a barrel on Wednesday, settling at their highest level since early December, as hopes of a recovery in demand in China after its quick exit from the zero-covid policy exceeded fears of a global economic slowdown. A senior Chinese economic official told the World Economic Forum that the world's second-largest economy and top importer of crude oil will likely resume its pre-pandemic growth trend this year as Covid infections pass their peak. On the supply side, investors remained concerned about the expected impact of the latest Western sanctions on Russian flows in response to the war in Ukraine. Meanwhile, OPEC Secretary General, Haithan Al-Ghais said he is “cautiously optimistic” about the outlook for the global economy, as the recovery in oil demand in China is tempered by signs of fragility elsewhere, Bloomberg reported. Investors now await the International Energy Agency's monthly market outlook report later on Wednesday.
FOREIGN EXCHANGE
AND IN: The Japanese yen fell more than 2% to $131 per dollar on Wednesday, pulling back sharply from multi-month highs as the Bank of Japan dismissed speculation of another policy tightening by keeping interest rates ultra-low and keeping its policy unchanged. performance check. The central bank kept its yield curve control targets at -0.1% for short-term interest rates and around 0% for the 10-year yield, keeping the 0.5% cap for this year. last, since the authorities indicated that they do not seek an immediate exit from massive stimulus despite the increasing pressure from the markets. Meanwhile, some analysts continued to hold the position that the BOJ could change policy in April when the new governor takes office, while others expect a turnaround in June. Chilean Peso : We continue to see the fall of the dollar peso in weekly charts since they are giving a better guideline to the behavior of the currency. Undoubtedly, the events in Peru make the national currency continue to appreciate when we are with copper levels close to $4.29 usd a pound today and given that a large mass of people are protesting against the president current and on the way to the capital Lima, which has put the authorities on alert. There are curfews as well as roadblocks and riots in different cities of the country. It seems that the national currency is looking for the average of 200 periods in the medium term.
CRYPTO MARKET
After this crypto winter accompanied by massive losses in the mining sector, the recent recovery of Bitcoin is a relief for miners. Furthermore, the Bitcoin price rally has rubbed off on crypto mining stocks as they witnessed the highest performance of last year. In the 2022 bear market, public crypto miners recorded up to $4 billion in liabilities due to low profitability and share prices. As a result, many miners who were struggling to stay afloat resorted to selling their coin reserves to increase liquidity. The 2021 cryptocurrency bull run led many private mining companies to publicly declare their actions. Many Bitcoin mining companies borrowed huge sums to expand during the 2021 bull market, hoping to break even as earnings came in. Some invested heavily in the purchase of equipment and in the expansion of their mining infrastructure. For now, the rise in the crypto market has generated optimism, although there is still a long way to go for those strong upward impulses to return.MARKET OPENING SEMINAR EVERY DAY From 09:00 to 09:30 hrs.
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