Markets had their best day in quite a while yesterday as the Fed’s moves for unlimited QE gave markets some support. The Covid-19 numbers, however, remain a major concern while the ongoing stalemate on the passing of the US government’s stimulus through the Senate is dampening the mood.
Wall Street staged a huge rebound yesterday with the Dow having its biggest daily rise since 1933. The Dow closed 11.37% higher, the S&P was 9.38% up and the Nasdaq 8.12% up. The JSE All-share closed 7.21% higher as well. This morning we have Asian stocks all showing good gains but US futures are marginally down as markets await an announcement on the stimulus package.
The Dollar is steady against the Euro, Pound and Yen. The Rand had a good day yesterday, closing at 17.5000 as all EM currencies gained against the Dollar. Technically the Rand needs to break the 17.5000 level to possibly see a bigger correction. The Rand is currently trading at 17.5700 in the Far East.
Precious metal prices rise yesterday with Gold closing at $1 610.00, Platinum at $708.00 and Palladium at $1 932.00. Gold is currently at $1 614.25, Platinum at $740.30 and Palladium at $1 986.00. Oil is unchanged at $27.98.
News just in: The Senate has just agreed on the stimulus package – we wait to see the impact on the markets.