The American Indicators Rise for the Sixth Consecutive Session

Market News Summary

Intel has unveiled new chips for computing, including one for generative artificial intelligence, expected to compete with products from Nvidia and AMD.

Industrial production in China accelerated at the fastest pace in about two years in November, despite retail sales growing at a slower pace than expected. According to data from the National Bureau of Statistics released today, Friday, December 15, industrial production expanded by about 6.6% in November on a yearly basis, compared to 4.6% in October and against growth expectations of 5.6%.

Dollar Index (USDX)

The dollar declined to its lowest level in four months, while the benchmark U.S. 10-year yield dropped to its lowest level since late July. Seventeen out of nineteen officials at the Federal Reserve expect interest rates to decrease by the end of 2024, after the central bank kept interest rates steady for the third consecutive meeting, as widely anticipated.

The dollar index is trading below its pivot point at $101.50.

Pivot Point: 102.15

Spot Gold (XAUUSD)

Gold prices touched their highest level in 10 days yesterday, Thursday, as the dollar and U.S. Treasury yields retreated after the Federal Reserve signalled the end of its tightening policy cycle.

Gold rose in spot trading by 0.4% to $2034.31 per ounce. The settlement price in U.S. gold futures increased by 2.4% to $2044.90.

Pivot Point: 2036

Dow Jones Index (DJ30ft – US30)

The U.S. indices continued their gains for the sixth consecutive session as Treasury yields continued to decline on Thursday following the Federal Reserve’s decision to keep interest rates unchanged. The Fed also signaled its expectations of reducing interest rates at least three times in 2024 by a quarter percentage point each time. The 10-year Treasury yield fell below 4% for the first time since last July, and the yield for the two-year bond touched its lowest level in about 7 months.

The Dow Jones index rose by 0.4%, equivalent to over 158 points, in Thursday’s session, closing above 37,200 points for the first time in its history. The S&P 500 index increased by 0.3%, settling above 4,700 points, and the Nasdaq Composite index rose by 0.2%, closing above 14,700 points for the first time since January 2022.

Pivot Point: 37570

US Crude Oil (USOUSD)

Oil prices rose by 3% on Thursday at the close, extending gains from the previous session, supported by the decline in the dollar and the International Energy Agency (IEA) raising its forecasts for oil demand next year.

Brent crude futures increased by $2.35, or 3.2%, to $76.61 per barrel at the close. West Texas Intermediate (WTI) crude rose by $2.11, or 3%, to $71.58 per barrel.

Pivot Point: 71.20

Risk Warning

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