Close: London Session | Forex, Metals, Oil, Agriculture November 23, 2020

Agriculture

A look at commodity markets includes a rare look at cocoa after a huge spike last week. Over two decades ago Jay got his start at the Kansas City Board of Trade in the Wheat Futures pit.

Currencies

Smaller gains were notched up by the Japanese yen (+0.70%), the British pound (+0.69%), the Australian dollar (+0.53%), the Canadian dollar (+0.21%), the euro (+0.18%) and Swiss franc (+0.01%). The largest increase against the US dollar was shown by the New Zealand dollar (+1.26%). Once the ten stocks are determined, an investor invests an equal dollar amount in each of the ten stocks and holds them for the entire next year. The dollar went down by around 0.1% against a basket of rival currencies that made the bullion less expensive for investors using other currencies.
FOREX: Progress towards a COVID-19 vaccine rollout lifted riskier currencies, keeping the dollar on its downward trend. I still believe that buying the dips will be the way to play this market, as the US dollar should continue to suffer losses over the longer term. Markets riseThe AstraZeneca vaccine announcement added to the risk-on mood which is pushing equities to new records and the dollar to a 2018 low.
The optimism over another U.S. fiscal stimulus and a weaker dollar failed to offer much support for the yellow metal. Phillip Futures’ senior commodities manager Avtar Sandu predicted that the dollar would continue to remain weak and the interest rates low next in 2020, which is favorable for gold. The result is a sudden tumble in stocks, led by growth-heavy Nasdaq, erasing all overnight gains, as The dollar is spiking, less deficit-spending?

Metals

Silver 7 days Silver 14 days Silver 1 month Silver 3 months Silver 6 months Silver 1 year Preliminary PrepaymentsMarketing communication. After reaching a high at almost $30, the price action stalled as silver is consolidating between $22 and $26 per ounce as the end of this year approaches. Silver mining shares tend to magnify the price action in the silver market. Any market participant purchasing silver at the closing price at the end of the year since 2015 has been able to make a profit.
Silver corrected lower following the August peak, and the price was consolidating at over $24 per ounce at the end of last week. As of the end of last week, the silver price was higher than at the end of October. Before silver puts in another bullish reversal at the end of this year, it must survive a bearish threat at the end of November. The EFTMG Prime Junior Silver Miners ETF product (SILJ) holds a portfolio of the leading junior silver mining companies.
As the end of 2020 approaches, the landscapes for silver and gold prices continue to be bullish. The Gold Analyst offers quality technical and fundamental analysis of the price of gold to help educate readers in their investment decisions.

Oil

MARKETS TODAY OIL: Oil prices rose more than 1%, extending last week’s gains as traders eyed a recovery in demand due to successful coronavirus vaccine trials. Additionally, the company holds and manages oil and gas properties; holds oil and gas royalties, and foreign bonds and equities; and provides investment management, counseling, advisory, and dealer services. The price of oil (OIL) held at over $43 a barrel in overnight trading on Sunday and into this morning’s European open, its highest level since early September.
BEFORE THE BELL Futures for Canada’s main stock index rose, supported by higher oil prices as traders eyed a recovery in demand due to successful coronavirus vaccine trials. Saudi seaborne crude exports for last week were seen at 33.2 million bbl (4.7 million bpd) compared to the revised 39.1 million bbl (5.6 million bpd) the week prior. The UAE on Sunday announced the discovery of two billion barrels of conventional oil reserves and 22 billion barrels of unconventional oil reserves.
That follows the third straight week of gains for oil prices, as progress towards a widely available COVID-19 vaccine has raised hopes of an improvement in energy demand.
less Crude oil prices extend the upside at the beginning of the week and motivate the to surpass the key $43.00 mark per barrel in early trade. Expected OPEC+ action, improving Asian demand and vaccine related hope has supported oil markets despite increasing Covid-19 cases in most parts of the world. Unfortunately, crude prices remain depressed which does not bode well for growth in the Oil & Gas industry.

United States

S. stock futures rose Monday, putting Wall Street on track to open the week with gains afterpromising results on a Covid-19 vaccine trial bolstered hopes for an economic recovery. Investing.com Follow Boeing’s stock (NYSE:BA) is showing increased strength after the US Federal Aviation Administration (FAA) last week lifted its ban on the company’s 737 MAX jet. Boeing’s stock (NYSE:BA) is showing increased strength after the US Federal Aviation Administration (FAA) last week lifted its ban on the company’s 737 MAX jet.
Because of the Fed’s swift and strong policy response this time around, it was able to arrest the decline and reignite the bull market to new highs. Of the three major US stock indices, only the Nasdaq Composite turned in a positive last week with a 0.2% gain. Vaccine… By Pinchas Cohen/Investing.com – Nov 22, 2020 3 More Analysis Tax software provider Intuit (Nasdaq: INTU) recently announced its first quarter earnings that surpassed market expectations.
Europe’s Dow Jones Stoxx 600 gapped higher traded at a new nine-month high.US shares are also trading higher, and the Nasdaq appears to be lagging a bit. That so many money-losing companies feel they re ready for Wall Street is thanks in part to investors growing confidence in companies that were hit hard by Covid-19. However their parternship seemed to hit the rocks last week after Mnuchin requested that the Fed “return” billions in relief funds that it hadn’t used to the Treasury.
The company has a large vaccine business as well and is actually providing crucial input to BioNTech (NASDAQ:BNTX) and Pfizer (NYSE:PFE) in their clinical programs related to Covid-19.

China

As such, Biden attempts at restoring ties with China will be immediately used by his political enemies to cast him as yet another globalist puppet working on Beijing’s behalf.

Europe

Of course, it is also meant to be the final week of negotiations between the EU and UK with many believing a deal could be announced soon. Sterling was up nearly 100 pips from Friday’s close leading G-10 FX on optimism over the Brexit deal, better than expected economic data, and AZ vaccine news. That said, the Brexit negotiations are entering a cliffhanging week and the persisting uncertainties could still have some impacts. The highlight of this week regarding COVID-19 and restrictions will be Macron’s speech tomorrow that should offer clarity on lockdown end.
Meanwhile, the U.K. agreed with Canada to maintain the trading conditions it has through its EU membership and to begin talks on a broader deal. Brexit is not in the spotlight this week, but there is another pantomime game to focus on: the endless talks about U.S. fiscal stimulus. We also look at sterling as we await an expected Brexit breakthrough soon and discuss a very interesting move from Chancellor Sunak on infrastructure.
The pound strengthened on expectations that a Brexit agreement is expected to be clinched this week.
Meanwhile, the ECB said it will continue its pandemic emergency purchase program as long as COVID-19 persists and continues to disrupt regular economic activity. German GDP (QoQ, Q3), German Ifo business climate index (Nov.), Macron’s televised appearance to offer clarity on lockdown end.

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