Key World Stock Markets Briefing
$DIA, $GLD, $SLV, $OIL, $USO
At 4:18a EDT Tuesday all 3 US major market indexes are trading flat to unchanged with a Bearish Bias.
Decline in energy prices pressured stocks in the energy sector, which in turn pressured both US and European benchmark indexes.
Crude Oil prices extended weakness amidst oversupply concerns.
A stronger Japanese Yen at 104.86, and weak Crude Oil market, Brent at 45.28, WTI at 43.24 dampened global risk sentiment before the FOMC meet Tuesday and Wednesday, and the BOJ meet Friday.
DJIA at 18493.06, or -0.42% is still oscillating in the range of 18450-600, but may see a breach in the next couple of sessions. The immediate Bullish momentum remains strong as long as the index trades above 18450 with targets of 18900-19000 near term.
Dax at 10198.24, or +0.50% nearly tested the upper end of the near term range of 9900-10300 but the Bullish strength is questionable. Another correction to 9900 this week cannot be ruled out yet.
Nikkei at 16362.88, or -1.55% has resolved the contracting range of 16400-17000 to the Southside and now a break below 16300 can easily drag it down further to 16000 or or lower.
Shanghai at 3028.60, or +0.42% is bouncing from the support of 3005 and rising towards 3050 as expected. The index will need to break above 3050-60 to trigger a new rally for fresh highs at 3100.
Gold and Silver Markets
Gold at 1317.46 remains stuck in the range of 1305-40 as expected as it keeps searching for near term directional clues. No major breakout is expected until the FOMC meet ends on 27 July though it is testing a minor trendline support at 1313.
Silver at 19.49 is consolidating in the range of 19.10-20.00 as expected. And like Gold, it may spend the next couple of sessions inside this range.