Market Update – September 27

USDIndex – at 113.40 after hitting another new 20+ year high at 114.41, as treasuries continue to rally. 10-year yield surged over 20 bps to test 3.898%, the highest since early 2010. The 2-year was over 13 bps cheaper to 4.340%, a new 15-year peak. The 30-year bond was up only 10 bps to 3.715%, an 8-year high. The curve held in the -44 bp area.
EUR –  lifted slightly among a general correction in the Dollar, at 0.9652.
JPY traded at 144.20. Resistance set at 146.00.
GBP dropped to an all-time low of 1.035 overnight, but bounced to 1.0800 currently. BoE’s Bailey said the Bank will not hesitate to change rates as much as needed while noting he is monitoring the financial markets. That disappointed as the markets hoped to hear something firmer and more definitive on the crash in Cable. The UK100 bounced and managed a fractional gain at the end of the day.

Stocks: Stock markets started to stabilize overnight and Nikkei and ASX managed gains of 0.5% and -0.4% respectively. Wall Street gave up early gains and closed with losses of over -1.0% on the US30 and US500, with the latter at 3655, piercing the 3666 nadir from June 16, and is the weakest since December 14, 2020. The US100 slid -0.60%.
USOil close yesterday below $76 (9-month low) on indications that the OPEC+ may enact output cuts to avoid a further collapse in prices.
Gold – drifted to $1621 outside daily BB.
BTC – higher at $20,162.

Biggest FX Mover @ (06:30 GMT) NZDUSD (+1.27%). Retest 50-hour SMA at 0.5715, Intraday fast MAs aligning higher, MACD histogram & signal line hold negative but close to 0, RSI rise to 57, H1 ATR 0.00175, Daily ATR 0.00878.

Click here to access our Economic Calendar

Andria Pichidi

Market Analyst

Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in Leveraged Products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.