Daily Markets Broadcast 2019-04-01

Daily Markets Broadcast

2019-04-01

Wall Street indices higher on China data

A sharp rebound in China’s PMI data for March has given risk appetite a jolt in early trading in Asia as growth fears are partly allayed.

US30USD Daily Chart

Source: OANDA fxTrade

• The US30 index looks set for a third straight day of gains as the rebound in the China PMIs builds hopes for the outlook for the Chinese economy, and hence global growth
• The index looks set to test last month’s high, with the 2019 high above at 26,041
• Tonight we will see if the US manufacturing PMI sees a similar rebound. It’s expected to come in at 54.5 from 54.2 in February.

DE30EUR Daily Chart

Source: OANDA fxTrade

• The Germany30 index looks set for a sixth daily advance in a row today after the China data buoys sentiment. The index had its best week in six weeks last week
• The index is heading toward 200-day moving average resistance at 11,722. That average has capped prices on a closing basis since July 31
• Both German and Euro-zone Markit manufacturing PMIs are not expected to differ from the flash readings of 44.7 and 47.6, respectively.

CN50USD Daily Chart

Source: OANDA fxTrade

• After posting the biggest daily gain in almost a month on Friday, the China50 index could advance further today after the rebound in the PMI numbers
• Prices touched a three-week high on Friday and could test the March 4 high of 13,312, which in turn was the highest since March 22, 2018
• Data released Sunday showed the manufacturing PMI hitting 50.5, the first time it crossed above the 50 contraction/expansion threshold in five months. The non-manufacturing PMI rebounded to 54.8 from 54.3.

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.