CFD Markets News and Forecasts — 07-05-2018

Major US stock indexes finished trading in positive territory, as oil reached $ 70 per barrel for the first time since the end of 2014, and the technology sector grew thanks to the rise in price of Apple shares for the sixth consecutive day.

The price of oil rose above $ 70 a barrel for the first time since November 2014 amid fears of investors about the crisis in Venezuela, as well as before the decision of US President Trump on the Iranian nuclear program.

Among corporate reports, it is worth noting the news that the Swiss giant Nestle has agreed to pay Starbucks (SBUX) about $ 7.2 billion for the right to sell its products around the world.

Most of the components of DOW finished trading in positive territory (17 out of 30). Caterpillar Inc. was the growth leader. (CAT, + 2.41%). Outsider were shares Walmart Inc. (WMT, -2.47%).

Almost all sectors of S & P recorded a rise. The conglomerate sector grew most (+ 2.0%). The decrease was shown only by the utilities sector (-0.8%).

At closing:

Dow 24,357.32 +94.81 +0.39%

S & P 500 2,672.63 +9.21 +0.35%

Nasdaq 100 7,265.21 +55.60 +0.77%

U.S. stock-index futures rose on Monday, underpinned by energy shares, which rallied amid surging oil prices.

Global Stocks:

(company / ticker / price / change ($/%) / volume)

Amazon (AMZN) initiated with a Outperform at Telsey Advisory Group; target $1900

McDonald's (MCD) added to Conviction Buy List at Goldman

Deere (DE) upgraded to Outperform from In-line at Evercore ISI

• There is a risk of escalation if deal scrapped

• Says Iran nuclear deal makes world safer

• Govt confirms Merkel to meet Putin in Sochi on may 18

The sentix economic index for the Euro zone falls for the 4th time in a row in May and reaches 19.2 points, its lowest level since 02.17! Situation and expectations both fell slightly.

The assessment of investors in Germany is also experiencing the fourth consecutive damper, which is due to a stronger decline in the assessment of the situation.

In the international environment, US values can improve against the trend, as can expectations for the Asian re-gion. Hopes of a positive outcome to the US-China trade talks are resonating here. All other regions, on the oth-er hand, are giving up slightly, so that the global scenario of a cooling off continues.

The consumer price index (CPI) rose by 0.2% in April 2018 compared with the previous month, reaching 101.7 points (December 2015=100). In comparison with the same month of the previous year, inflation stood at 0.8%. These figures were compiled by the Federal Statistical Office (FSO).

The 0.2% increase compared with the previous month can be explained by several factors including rising prices for petroleum products, foreign package holidays and air transport. In contrast, prices for overnight stays in hotels, berries and fruit vegetables decreased.

Monthly sales in the eurozone retail sector fell for the first time since March last year in April. The drop reflected a sharp decline in Italy, while sales were stagnant in France and up marginally in Germany. The headline IHS Markit Eurozone Retail PMI - which tracks the month-on-month changes in retail sales in the bloc‟s biggest three economies combined - dropped to 48.6 in April, from 50.1 in March, signalling the sharpest decline for 17 months.

Based on provisional data, the Federal Statistical Office (Destatis) reports that price-adjusted new orders in manufacturing had decreased in March 2018 a seasonally and calendar adjusted 0.9% on the previous month. For February 2018, revision of the preliminary outcome resulted in a decrease of 0.2% compared with January 2018 (primary +0.3%). Price-adjusted new orders without major orders in manufacturing had decreased in March 2018 a seasonally and calendar adjusted -0.1% on the previous month.

EUR/USD

Resistance levels (open interest**, contracts)

$1.2125 (2020)

$1.2098 (2085)

$1.2058 (306)

Price at time of writing this review: $1.1961

Support levels (open interest**, contracts):

$1.1900 (4485)

$1.1872 (2810)

$1.1840 (3740)

Comments:

- Overall open interest on the CALL options and PUT options with the expiration date June, 8 is 134562 contracts (according to data from May, 4) with the maximum number of contracts with strike price $1,2100 (4778);

GBP/USD

Resistance levels (open interest**, contracts)

$1.3774 (1951)

$1.3714 (1044)

$1.3667 (715)

Price at time of writing this review: $1.3550

Support levels (open interest**, contracts):

$1.3428 (1347)

$1.3400 (2103)

$1.3369 (778)

Comments:

- Overall open interest on the CALL options with the expiration date June, 8 is 35584 contracts, with the maximum number of contracts with strike price $1,3700 (1951);

- Overall open interest on the PUT options with the expiration date June, 8 is 37556 contracts, with the maximum number of contracts with strike price $1,4050 (2216);

- The ratio of PUT/CALL was 1.06 versus 1.11 from the previous trading day according to data from May, 4.

* - The Chicago Mercantile Exchange bulletin (CME) is used for the calculation.

** - Open interest takes into account the total number of option contracts that are open at the moment.