Major indices and the yen face pressure

Major indices remain under pressure as earnings season is at the front and centre while yen traders are on the look out of a BoJ intervention.

By Nadia Elbilassy | @Nadia Elbilassy | 25 April 2024

Market open
  • Major indices face pressure amidst earnings season focus; yen awaits BoJ intervention.

  • Tech stocks decline on weak revenue reports; banking sector in spotlight for earnings.

  • Gold edges higher; oil stabilizes amid conflicting demand and Middle East tensions.

In Stocks

Tech stocks faced downward pressure overnight on underwhelming revenue reports from US social tech giants. And today focus will take center stage on the banking sector as they report revenues.

The Nasdaq futures opened in the red territory today hovering near 17,365 while the S&P was close to 5,045.

In Commodities

Gold edged higher after being in a tight range since the beginning of the week on de-escalation prospects of Middle Eastern tensions and ahead of key US GDP data and the PCE inflation report. The yellow metal was last seen near $2,326.

Oil stabilized on Thursday following a decline in the previous session, as indications of weakening fuel demand in the U.S., clashed with escalating conflict risks in the Middle East.

The latest supply report from the U.S. Energy Information Administration (EIA) released on Wednesday noted a drop in gasoline prices but less than expected, while distillate stockpiles increased contrary to expectations of a decline.

Both benchmarks edged higher in Asian trade, with Brent hovering near $87.91 and WTI near $82.77. The EIA had reported a significant unexpected decline in U.S. crude inventories last week, accompanied by a surge in exports.

In Currencies

Yen traders were cautious as the BoJ kicked off its two-day rate setting meeting. Whilst the yen remained subdued at 155 per dollar, a BoJ intervention could change things.