Close: London Session | Forex, Metals, Oil, Agriculture April 30, 2021



If Nestlé can deliver on its plan for Bountiful, supplements could emerge as another bright spot in the portfolio, alongside pet care and coffee. On Friday, the owner of KitKat candy bars and Nespresso coffee agreed to buy The Bountiful Company from buyout firm KKR for $5.75 billion.


The main outcomes of the Euro-area data releases today: Headline inflation rose to 1.6% in April while the core inflation declined to 0.8%. Gene comments on stock, bond, dollar, oil & gold markets, with a particular emphasis on monetary policy, technology issues and S&P intraday action. Looking closer at the US Dollar breakdown, we can see that the buck touched down near a decade-long major support/resistance line at the 89 level (blue line). Dollar bulls, remember: (…) we‘re in the decade of precious metals and commodities super bull runs – and these are well underway.
A move below that level would be very bearish for the US Dollar and very bullish for commodities. Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.22 per cent to 90.80. So it shouldn’t be any surprise that commodities have been very strong over the past several months while the Dollar has been weak. In other large Euro-area economies, the q/q change in the level of GDP was much smaller and in France even slightly positive.
In level terms, the Euro-area GDP was 6% lower than the pre-crisis level. As you can see, the US Dollar has been weak since the onset of the COVID-19 pandemic.


Treasuries though took their toll upon gold – the nominal yield going up did bite, even though inflation expectations rose in tandem, and not at all hesitantly. S&P 500 futures pointed to a drop at the open, the 10-year Treasury yield was at 1.649%, oil was close to $64 a barrel and gold was down. Gold Trading Strategy: Long above 1800 Peter Mathers started actively trading in 1982.


In the first quarter, Eni said its adjusted net profit jumped almost five times to 270 million euros as firmer oil prices offset lower production. The group confirmed its full-year production target of about 1.7 million barrels of oil equivalent a day and said it would be investing around 6 billion euros this year. Daily Market Update identifies accurate price targets and turning points for indices, forex, cryptocurrencies, commodities, oil, gas, and stocks.
Oil prices slipped on concerns of wider lockdowns in India and Brazil to curb the COVID-19 pandemic. Brent crude futures, the global oil benchmark, fell 1.21 per cent to USD 67.73 per barrel. Most of the increase inflation is due to the base effect from the oil price. In a blender, combine the stems, oil, tsp. On the NWE to West Africa (WAF) route, just one vessel is seen making the journey this week according to the most recent data available. June ICE Brent futures were $0.55 higher at $68.22/bbl, while the rest of the 48-month forward contracts traded between $0.11 and $0.38.
May loadings are currently tracking at 259,000 tons based on vessel tracking and fixtures data.

United States

It said it expected second quarter revenue between $980 million and $1.08 billion, lower than Wall Street estimates of $1.06 billion on average. In fact, the Fed has yet again reassured to keep the benchmark federal funds rate near zero to help the economy recoup from the pandemic. However, the situation might soon change, as coronavirus restrictions in the region start to ease and flows to the US slowdown on the back of sufficient supply. Vaccitech had announced its plans to go public earlier this month and said the ADSs would begin trading on the Nasdaq under the symbol “VACC” on Friday.
However, the Fed in its recently concluded two-day policy meeting remained fairly dismissive about the risks of higher inflation for now. He argued in a column this week that the Fed should begin tapering — but won t — and inaction risks fueling inflation and financial instability. Needless to say, the Fed had earlier confirmed that there may be a slight bump in inflation this year but it will be short-lived.
But total revenue still fell short of Wall Street estimates of $6.73 billion.
Naturally, the Fed s monster bond buying, combined with its new outcome-based approach to inflation, has been the subject of endless debate. Distribution of coronavirus vaccines and federal stimulus money have many on Wall Street predicting a rapid return to the pre-pandemic economy.


On the other hand, Mr. Ma’s direct, highly public swipes at financial de-risking, one of President Xi Jinping’s key initiatives, probably couldn’t go unanswered in China’s current political environment. China has detained upwards of 1 million ethnic minorities including Muslim Uyghurs in Xinjiang, according to the United Nations, while western countries say China is committing genocide there. If Beijing were willing to deliver a more level playing field in the financial sector, that would be even better.


The European Union will formally warn Apple that its app payment system and marketing rules may violate antitrust regulations as authorities escalate an investigation later today, a source says. In fact, we expect the ECB to scale back the pace of its bond purchases again later this year, as the recovery strengthens. Hungary’s government has controversially purchased Russia’s Sputnik V vaccine, despite it not being approved by European Union medical authorities, and also one from China’s SinoPharm.
It will be too early for the ECB to make any firm conclusions on the price outlook, and easy monetary policy will continue. On Wednesday the EU published a report saying that both China and Russia had active campaigns to sow mistrust in western vaccines and promote their own. The European Union reached agreement for another 1.8 billion Covid vaccine doses through 2023 from Pfizer Inc. and BioNTech SE. Japanese Public Asks Vexation as it emerged EU approved export of more than 50 million shots.