Market News Summary
Nvidia’s stock jumped during after-hours trading following the announcement by the American electronic chip manufacturer of better-than-expected quarterly results for the second quarter. Nvidia also issued optimistic forecasts for the third quarter. The earnings per share for Nvidia reached $2.70, compared to the expected $2.09 per share. The company’s revenue amounted to $13.51 billion, surpassing the expected $11.22 billion.
European stocks closed lower yesterday, due to increasing evidence of economic slowdown on the continent. However, strong gains in Roche’s pharmaceutical stock lifted the Swiss stock index to its highest level in a week. The STOXX 600 European index rose by 0.4% at closing, after having increased by 0.8% during the day.
Dollar Index (USDX)
The dollar retreated from its highest levels in two months, while the rise in US Treasury bond yields, which had reached nearly 16-year highs, came to a halt. The annual Jackson Hole Symposium for central banks, held in the US state of Wyoming later this week, will be closely monitored for any hints about interest rate hikes. The focus will be particularly on the speech by the US Federal Reserve Chairman, Jerome Powell, on Friday.
The dollar index is currently trading below its key level at $103.30.
Pivot point: 103.45
| Resistance level | Support level |
| 103.70 | 103.00 |
| 104.15 | 102.75 |
| 104.40 | 102.35 |
Spot Gold (XAUUSD)
Gold prices rose at the close of trading on Wednesday, marking the fourth consecutive increase, influenced by a slight decline in bond yields and the weakness of the US dollar.
At the close, the price of gold in the spot market increased to $1919 per ounce.
Pivot point: 1910
| Support level | Resistance level |
| 1901 | 1924 |
| 1887 | 1934 |
| 1878 | 1947 |
Dow Jones Index (DJ30ft – US30)
The US indices closed with strong collective gains in Wednesday’s session, supported by technology stocks and a decline in the yield on 10-year Treasury bonds from their 16-year highs, following weak business activity data from the United States and the Eurozone.
The Dow Jones Industrial Average rose by about 0.5%, equivalent to around 184 points, in Wednesday’s session after recording its lowest close in about 6 weeks in the preceding session. The S&P 500 index increased by approximately 1.1%. Additionally, the Nasdaq index continued its gains for the third consecutive session, rising by around 1.6% to achieve its highest daily gains in 3 weeks.
Pivot point: 34,500
| Resistance level | Support level |
| 34665 | 34410 |
| 34755 | 34250 |
| 34915 | 34160 |
US Crude (USOUSD)
Oil prices declined by 1% on Wednesday at the close as concerns about demand outweighed the impact of a larger-than-expected drop in US crude oil inventories.
Brent crude fell by 82 cents or 0.98% to $83.21 per barrel at the close, recovering from a 2.5% decline earlier in the session. Similarly, West Texas Intermediate (WTI) crude, the US benchmark, dropped by 75 cents or 0.9% to $78.89 per barrel at the close, marking a 3.4% decrease from its lowest level during the session.
Pivot point: 78.65
| Resistance level | Support level |
| 79.75 | 77.45 |
| 80.95 | 76.40 |
| 82.00 | 75.20 |
Risk Statement
All investments entail risks and can result in both profits and losses. Leveraged products, in particular, may not be appropriate for all investors as the effect of leverage is that both gains and losses are magnified. Before deciding to invest in any financial product, you should carefully consider your investment objectives, financial knowledge and experience and affordability as the prices of leveraged products may change to your disadvantage very quickly, it is possible for you to lose more than your invested capital and you may be required to make further payments.
