Oil Defends 100 USD Again, Stocks Advance

By Peter Bukov|

Published: April 05 2022, 08:07 GMT+0

Oil Defends 100 USD Again, Stocks Advance


The WTI oil has managed to defend the key support in the 100 USD region again, with bulls sending the commodity 5% higher.

Stock markets remain optimistic, despite rising yields and their short-term overbought conditions. The Nasdaq 100 index rose 2% yesterday, amid news that Elon Musk bought a large share in Twitter, pushing higher the whole tech sector.

Earlier today, the RBA left monetary policy unchanged, with the main rate kept at 0.1%. However, the central bank acknowledged that inflation will continue to rise, likely leading to a rate hike sooner rather than later. Therefore, the AUDUSD pair jumped to nine-month highs above 0.76, gaining 1% on the day. 

The situation in Eastern Ukraine is not getting any better as Kyiv reported a massive assassination of civilians and war crimes, resulting in western nations announcing plans to step up sanctions on the Kremlin.

At the same time, Ukraine’s President Volodymyr Zelenskyy said that considering what Russia has done in the country, it’s difficult to negotiate with them.

From other news, the macro calendar seems rather empty today. Traders will pay attention to the US services ISM survey for March, expected to improve slightly to 58 from 56.5 previously. The employment subindex will likely improve as well.

Additionally, several FOMC speakers will hit the wires today – including Brainard, Kashkari, and Williams. They will probably confirm the hawkish stance of the Fed ahead of this month’s meeting. 

Source: https://www.axiory.com/analytics/market-news/oil-defends-100-usd-again-stocks-advance