Weekly Market Snapshot: Global Markets on Edge
London: 5 April 2024 (TraderMade): Global markets paint a mixed picture this week. Stock markets around the world tumbled this week as investors grappled with inflation fears and geopolitical worries.
However, oil and gold prices rallied on supply concerns and safe-haven appeal. Here is a quick snapshot:
Key Takeaways
- Forex: ZAR and NOK lead the pack, and CAD and CHF dip against the greenback this week.
- Asia: Nikkei plummeted 4.86%, and Hang Seng slipped 3.35% over the last week.
- Europe: FTSE 100 was down 1.82%, CAC 40 dipped around 3%, and DAX 30 lost about 2.7% this week.
- US: Significant US indices slipped this week: SPX500 was down 2.63%, Nasdaq 100 slipped about 3%, and Dow Jones lost more than 3.5%.
- Energy: Brent and WTI crude oil gained 5.5% over the last week on supply concerns and geopolitical tensions. Natural gas prices were volatile and managed to reach $1.8985/MMBtu.
- Precious Metals: Gold reached an all-time high of 2305.6333 and fluctuated within a narrow range. Silver experienced a significant gain of 10.26% this week.
- Overall: Investors are staying on the sidelines (cautious) due to global instability and potential inflation bumps. We'll keep you posted!
Forex
ZAR & NOK are the Top Gainers
South African Rand (ZAR) and Norwegian Krone (NOK) are top gainers against the dollar this week.
The South African Rand (ZAR) gained around 1.02% against the US dollar over the last week. USDZAR currently trades at 18.6535.
Norwegian Krone (NOK) surged 0.67% against the greenback, and currently, USDNOK trades at 10.75921.
CAD & CHF Lag against the US Dollar
Canadian Dollar (CAD) and Swiss francs (CHF) lost ground against the dollar this week.
The Canadian Dollar (CAD) declined 0.55% against the dollar. USDCAD currently trades at 1.36292.
Swiss francs (CHF) slipped 0.46% against the dollar. USDCHF currently trades at 0.90534.
Global Indices
Asian Markets Weak
Asian indices dipped this week, with Japan's Nikkei (JPN225) losing 4.86% and Hong Kong's Hang Seng (HKG33) slipping 3.35% over the last week. Both indices picked up a bit by the end of this week.
European Markets Down
- Among European indices, the UK's FTSE 100 (UK100) experienced some volatility and lost about 1.82%. It has been trading flat since yesterday.
- France's CAC 40 (FRA40) declined by about 2.96% over the last week.
- Similarly, Germany's DAX 30 (GER30) plummeted 2.66% over the last week.
US Markets Declined
- Standard & Poor's 500 (SPX500) declined by about 2% on 4 April. Overall, this index dipped 2.63% over the last week and settled at 5161.77 at the time of writing.
- Nasdaq 100 (NAS100) experienced a similar sudden dip on 4 April. It has dipped 2.97% over the last week.
- Dow Jones Industrial Average (USA30) has the same story immediately on the day the market began after the Good Friday-Easter break. The index dropped 3.66% over the previous week.
Energy Markets
Crude Oil Soared
- Brent Crude (UKOIL) surged 5.51%, crossing the $90 a barrel mark, and currently trades at $90.8 a barrel.
- WTI Crude (OIL) followed suit by gaining 5.5% over the previous week to reach a weekly high of $86.724 a barrel on 4 April. It currently trades at $86.405 a barrel.
Natural Gas in Limbo
Natural Gas (NATGAS) price experienced a rollercoaster this week, initially surging 11.8% and then dipping 5.52% to $1.8985/MMBtu at writing time.
Precious Metals Surged
Gold
Gold (XAUUSD) reached an all-time high of 2305.6333 on 4 April, fluctuated within a narrow range, and currently trades at 2298.0352.
Silver
Silver (XAGUSD) gained significantly by 10.26% over the previous week and currently trades at 26.889.
Summarizing
The overall market sentiment remains cautious as investors weigh global risks against potential inflation spikes. Stay tuned for further updates!
