Nikkei Ends Weak
At the end of the Japanese stock market trading Wednesday, the Nikkei index closed down 47.57 points, or 0.28 percent, at 17,000.98. A weaker Nikkei index triggered a strong yen and weakening crude oil.
At the end of yesterday’s trading, the Japanese yen strengthened against the dollar, with the pair dollar / yen down 0.04 percent at 112.33. The strengthening yen is usually a negative for exporters because it lowers their overseas profits when converted into local currency.
At the end of trading yesterday, shares of major Japanese exporters were mixed. Toyota shares rose 0.13 percent, Nissan shares fell 1.06 percent and Honda’s fell 1.26 percent.
Crude oil prices also retreated during Asian hours, with the price of crude oil futures global benchmark Brent down 1.01 percent at $ 41.37 per barrel. While the price of US crude oil futures fell by 1.16 percent at $ 40.97, after ending lower by 7 cents in US hours.
Responding to the weakening crude oil prices, shares of Index lost 1.34 percent.
As for the Nikkei index futures tracked down -100 points or -0.59% at 16.810, down from the previous trading at 16.910.
Technically,
Resistance: 16870 16950 17100 High / Low: 16830/16765
Support: 16730 16650 16580 Running Price: 16800
Comment: For intraday trade today suggest Buy at level of 16700 and reversal if break below 16645 level and targets at the level of 17010 and reversal targets at 16500.
AUDUSD Turns Weakened
Had gained in the US trading session, AUDUSD moved down and in the European session, and continued weakness in the early US session yesterday. The US Dollar gained momentum strengthening of the comments some Federal Reserve that provides an indication of a possible rate hike in April.
Aussie itself previously obtained positive sentiment of comments RBA Governor, Glenn Stevens, who said the economy has adapted quite well with lower commodity prices. Stevens added Australia has more fiscal and policy space compared to other countries to respond to the global economic downturn.
President of the Federal Reserve St. Loius, James Bullard, on Bloomberg TV a while ago said inflation is stabilizing and he expects will be to show improvement. He added that inflation is seen to have a strong correlation with oil prices, and the correlation is called quite disturbing.
Technically,
Resistance: 0.7560 0.7600 0.7640 High / Low: 0.7533 / 0.7525
Support: 0.7500 0.7460 0.7400 Running Price: 0.7527
Comment: For intraday trade today suggest Buy at the level of 0.7500 stop loss at the level of 0.7464 and targets 0.759.
Oil Prices Still Down in Asia
Crude oil prices fell in Asia on Thursday morning for the data release overnight on an increase in US oil stockpiles are higher than previous estimates.
On the New York Mercantile Exchange, WTI crude oil for May delivery fell 0.58% to $ 39.56 per barrel.
Overnight, US crude oil futures closed down due to domestic stocks soared last week and fears intensify long associated with the abundance of supply in the global energy market.
Energy Information Administration (EIA) said in its Weekly Petroleum reports that US commercial crude oil inventories for the week ended March 18 rose 9.4 million barrels from the previous week. This marks the second-highest increase in weekly inventories this year. At 532.5 million barrels, US crude oil inventories are at historically high levels for this time.
Elsewhere, oil received some upward pressure on the session after Nigerian officials said Wednesday they expect OPEC approved a comprehensive freeze on production of the highly anticipated meeting in Doha next month. The comments came one day after Libya joined Iran in rejecting the invitation to the meeting OPEC Non-OPEC.
Technically,
Resistance: 39.80 40.29 40.80 High / Low: 39.62 / 39.48
Support: 39.00 38.60 38.10 Running Price: 39.55
Comment: For intraday trade today suggest Buy at 39.00 stop loss at the level of 38.70 and target at the level of 40. 50.
