Oil uptrend continues – weekend attack on Saudi


Forex news for Asia trading
for Monday
8
March 2021

Saudi
oil export facilities were the target of a Sunday attack (see bullets
above) that, despite not causing much
harm
(according to an official statement), saw oil prices underpinned
through the week-opening session here. Brent
traded above $71, WTI towards $68, and both have pulled back just a
little as I post.

Over
the weekend we also had news out of the US where the Senate passed a
bill approving Biden’s latest coronavirus relief economic package,
another huge round of stimulus (see
bullets above).
The bill will be voted on in the House of Reps on Tuesday where it
will pass and then head to Biden’s desk where he will sign it into
law. The
opening response from markets to this was risk positive with higher
US equity index futures and a lower dollar (currencies up against),
but,
on a cautionary note, higher US yields also.
This initial risk response was turned around, though. As I update US
equity index futures are negative for the session. Currencies, too,
gave back gains. EUR/USD has given back all its positive (see chart below) and is at session
lows and negative for the day here. CAD, ditto, while AUD, GBP, NZD
are all down from their earlier highs also. ‘Sell the fact’
explanations have followed along in the wake of
the turn down.

Fresh
Monday
news and data flow was barely existent.

Bitcoin
had a strong weekend and hit highs just shy of US$52K during morning
trade in Asia. As I post it has slipped back to circa $50.5K. Gold
added on dollars, trading above $1714
at one stage before dropping back under $1710. 

EUR/USD turnaround:

Forex news for Asia tradingfor Monday8March 2021



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By Jonathan Prop

Jonathan Prop is an independent financial advisor. He has been working in finance for the last 20 years. After retiring early in his 40s, Jonathan decided to help others get to grip with financial markets, particularly his area of expertise - forex!

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