Geopolitical concerns pressure equities
US indices tumbled Friday following the US airstrike that killed a top Iranian commander. Iran has since said it will no longer abide by the nuclear agreement signed with overseas powers and oil prices pushed higher on supply concerns. Japan markets re-open after an extended holiday.
US30USD Daily Chart
The US30 index fell the most in a month on Friday as geopolitical concerns intensified
The 55-day moving average, which has supported prices since October 10, has moved up to 27,827
The final Markit services PMI for December is due today. The preliminary reading was 52.2, the highest since August.
DE30EUR Daily Chart
The Germany30 index looks poised to fall for a second consecutive day today after falling the most in three months on Friday amid rising Middle East tensions
The index is testing the 55-day moving average at 13,108, which has supported prices since October 10
German retail sales probably increased 1.0% m/m in December, according to the latest survey of economists, suggesting the German consumer enjoyed a good Christmas.
WTICOUSD Daily Chart
West Texas Intermediate (WTI) touched the highest since April 30 in early trading this morning as investors considered the prospect of supply disruptions should the Middle East tensions escalate
The 55-day moving average moved above the 200-day moving average at $57.79 on Friday, the first time since September 12
The weekly crude oil stockpiles data from the American Petroleum Institute as as at January 3 are due tomorrow. Last week saw a drawdown of 7.9 million barrels from reserves, the most since the week of August 27.
