This website uses cookies. We use cookies to ensure that we give you the best experience on our website. Read More

Daily wrap up: Bank profits boost Wall Street's gains, and gold settled near 1,800

14 Oct 2021 08:15 PM

Strong earnings reports from banks increased investors' risk appetite, sending US stocks significantly higher, while the dollar and US bond yields retreated from multi-month highs. The Dow Jones index jumped by about 1.6%, S&P 500 by 1.5%, and Nasdaq Composite by 1.7%.

The announcement of earnings by US banks Wells Fargo, Citigroup, and Bank of America helped revive the mood of investors.

In the US, data showed the producer price index rose at the slowest pace in 9 months during September. On the other hand, the number of Americans filing new claims for unemployment benefits fell below 300K last week for the first time in 19 months.

The US dollar fell for the second day in a row from its highest level in a year, in addition to the US 10-year bond yields.

On the other hand, gold prices rose to settle near their highest levels in almost a month, slightly below the levels of $1,800 per ounce, with expectations of continued positivity in the precious-metal trading to target the $1,1810 levels. During the European session, the sterling pound rose to its highest level in two weeks, supported by expectations of a possible interest rate hike by the Bank of England in light of rising inflation figures.

As for oil prices, it rose during today's trading, following the rejection of the Kingdom of Saudi Arabia, the largest oil producer in OPEC, the demands to pump more supplies from OPEC+, in addition to the statements of the International Energy Agency that record rises in natural gas prices boosted the demand for crude oil.

West Texas crude is trading in a narrow range between the levels of $79.80/80.80 a barrel, and it will face resistance at the $81.23 levels, before continuing its gains in the direction of the levels of $82 a barrel, and if it fails to exceed the mentioned resistance, it may retreat to retest an ascending trend line. Around $78 levels.

Tags:

Prices may be delayed by 5 seconds. Prices above are subject to our website terms and conditions. Prices are indicative only