More severe Covid-19 in China sent stocks into red but supported the dollar. Oil prices slipped by concerns of hurting demand. Gold prices firmed. Crypto fell harder.

Updated time: 24 Nov, 2022, 08:55 (UTC+04:00)

Stocks:

Spiking COVID-19 in China, especially in Beijing and now involving newly recorded deaths, sent global stocks into red territory. MSCI’s broadest index of world shares dropped 0.72% while in the U.S, Dow Jones and S&P 500 gave up 0.1-0.4% gains, followed by the mostly suffering Nasdaq for 1% sharp decline. Tech, energy, consumer stocks and communication services led the selloff. Wall Street futures were steady with each trading flat. In the European market, stocks were on the contrary firmed.

More severe Covid-19 in China sent stocks into red but supported the dollar. Oil prices slipped by concerns of hurting demand. Gold prices firmed. Crypto fell harder.

The majority of traders are waiting for Fed speeches and its October meeting minutes, with expectations rate hikes would cool down to 50 bps in December.

Commodities:

Despite gaining little after Saudi Arabia denied raising output as promised with OPEC allies, oil prices reversed to tumble to the lowest levels by concerns of hurting fuel demand in China. Brent crude futures for January lost 17 cents to $87.45 while WTI crude futures traded at $79.73 a barrel, down 35 cents.

Gold prices pinned near two-week lows, dampened by the extended rally of the U.S dollar from the Fed’s remaining hawkish pivot. On Tuesday, spot gold unexpectedly climbed 0.3% to $1,740.98 and gold futures rose 0.1% to $1,742.25.

Currencies:

The U.S dollar became the safe-haven amid COVID-19 flared up in China, appreciating against most peers with 0.851% rise to 107.71. The Chinese yuan, as well as the Aussie and Kiwi slid nearly 1% each. The Japanese yen recorded more than 1% decrease to $0.6614.

The Euro and Sterling, on the contrary went up to $1.0250 and $1.1843 respectively. After falling more than 0.7% overnight, the offshore Yuan traded 0.1% higher at 7.1665 per dollar.

Cryptocurrencies:

Crypto fell into doom, triggered by negative sentiment towards the bond tank of Coinbase and MicroStrategy while yet digesting the contagion from past FTX exchange collapses. Bitcoin dropped to $15,500, nearing a two-year low while Ether plummeted 8% to trade at $1,080.

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