Nasdaq 100 comes off record high, EUR/USD dips as oil steadies
The Nasdaq 100 retraces from Tuesday’s record high as EUR/USD slips and the oil price steadies.
Macro update
Wall Street slipped after a three-day streak of record highs as Federal Reserve (Fed) Chair Powell struck a cautious tone, balancing inflation risks against a softening job market while offering little clarity on future rate cuts.
The Nasdaq 100 led losses, falling 0.9% with sharp declines in Nvidia, Amazon, Microsoft, and Apple, though the Dow Jones was cushioned by Boeing’s 2% rise on an $8 billion Uzbekistan Airways order and renewed hopes for a China deal.
Micron added optimism after hours with strong earnings and guidance, extending earlier gains.
Powell’s remarks, combined with weak US purchasing managers index (PMI) data, weighed on sentiment across Asia, where Japan’s Nikkei 225 slipped 0.5% and Australian stocks lost 1%.
Nasdaq 100 comes off record high
The Nasdaq 100 ended its three straight day record high winning street on Tuesday, coming off Monday's 24,781 all-time peak.
While remaining below this level, a retracement toward the mid-September high at 24,343 may be at hand.
Were yet another record high to be made instead, though, the 25,000 region would be eyed.
FTSE 100 daily candlestick chart
EUR/USD under pressure
EUR/USD seems to be in the process of resuming its descent from last week's peak at $1.1919 with the 9 September high at $1.1780 representing the first downside target ahead of the mores significant $1.1742-to-$1.1730 support zone which is expected to hold when first tested.
Minor resistance above Tuesday's $1.1820 high sits at the $1.1830 July peak.
EUR/USD daily candlestick chart
WTI bounces off support
WTI has once more bounced off the $62.00 region, so far to $63.89, a rise above which would likely engage the 55-day simple moving average (SMA) at $64.41 and also the mid-September high at $64.76.
While the oil price remains below the $64.76 peak, though, the major August-to-September support zone at $61.94-to-$61.45 may be revisited.
A fall through the $61.45 mark could trigger a rapid sell-off to the $60.11-to-$59.84 support area, made up of the mid-April, mid-May and late May lows.
WTI daily candlestick chart
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