Market Highlights
1 - Morgan Stanley delays Fed rate cuts as inflation risks dominate outlook
2 - Stock markets take a beating across the globe. In US NASDAQ led the decline -2.38%; in Europe FTSE was the big loser -2.75%; NIKKEI lost -1.4%
3 - Gold loses $140 to close at $4378; Bitcoin down $2300 at $68.8K
4 - Brent oil gains $3.70 to close above $100 as Trump talks ceasefire while Iran keeps the straits of Hormuz closed
5 - USD confirms its status as the global safe haven currency of choice. USDX +0.29%, EUR -0.22%, GBP -0.23%, AUD -0.81%
Daily Price Activity
Insights
USD INDEX A 3rd consecutive green candlestick as buyers confirmed demand for the world’s reserve currency. Technically the rally ended the day in line with the descending trendline, with the 100.00 mark clearly in sight. Resistance at 99.84 with support at 99.40.
S&P 500 One-way traffic as sellers dominated activity. Investors signalled “risk-off” from the outset as the index recorded a massive -1.61% loss on the day. Since being tested in November 2025, and more recently early this month, current support level has been guarded by buyers. Note the succession of lower highs since the start of the year. Resistance at 6648 with support at 6521.
GOLD After erasing the previous 2 day’s gains, sellers went on to record the metal’s lowest close of the year. The downtrend picked up steam as the inverse relationship between strong USD and weak gold played out in classic fashion. Notwithstanding gold’s safe haven status, investors have prioritized liquidity above all else, for now. Prices have been ranging between $4350 and $4550 since the start of the week. Resistance at $4543 with support at $4351.
BRENT OIL Buyers added to yesterday’s bounce with a $3.30 gain, and perhaps more significantly, closed above the $100 mark going into the new Asian session. As has become the rhetoric, Trump continues to talk of de-escalation and a temporary ceasefire, with little in the form of reconciliation or an agreement coming from Iran. And significantly the straits of Hormuz remain closed. Risk remains high as the war continues. Resistance at $102.84 with support at $97.66.
BITCOIN The pattern continues with sellers controlling today’s activity. The range between $68K and $71K has contained activity for the past 7 trading days with neither side adding to intraday moves. Buyers can look at the succession of higher lows as a possible bullish sign, yet the lack of demand for the cryptocurrency is clear with attempted rallies continuing to get held up above the $70K mark. Resistance at $71.4K with support at $68.1K.
FX Pivot Levels
