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February 24 - The Peoples Bank of China (PBOC) kept the one-year and five-year loan prime rates (LPR) unchanged at 3% and 3.5% respectively, marking the ninth consecutive month of no change.Chinas one-year loan prime rate as of February 24 was 3%, as expected and unchanged from the previous value of 3.00%.Chinas five-year loan prime rate (LPR) as of February 24 was 3.5%, compared to an expected 3.50% and the previous value of 3.50%.Chinas one-year loan prime rate (LPR) up to February 24 will be announced in ten minutes.1. All three major U.S. stock indexes closed lower. The Dow Jones Industrial Average fell 1.66% to 48,804.06 points, the S&P 500 fell 1.04% to 6,837.75 points, and the Nasdaq Composite fell 1.13% to 22,627.27 points. IBM fell more than 13%, and American Express fell more than 7%, leading the decline in the Dow. IBM suffered its biggest drop since 2000 due to the threat of AI to its core business. The Wind U.S. Tech Giants Index fell 0.99%, with Microsoft falling more than 3% and Tesla falling nearly 3%. The Nasdaq China Golden Dragon Index fell 0.95%, with Kingsoft Cloud falling nearly 9% and BOSS Zhipin falling more than 6%. 2. All three major European stock indices closed lower. The German DAX index fell 1.06% to 24,991.97 points, the French CAC40 index fell 0.22% to 8,497.17 points, and the UK FTSE 100 index fell 0.02% to 10,684.74 points. The EUs freeze on the ratification process of the trade agreement with the US was the main trigger. 3. 4. International precious metal futures generally closed higher. COMEX gold futures rose 3.29% to $5,247.90 per ounce, and COMEX silver futures rose 6.87% to $88.00 per ounce. 5. The main US crude oil contract closed down 0.29% at $66.29 per barrel; the main Brent crude oil contract fell 0.29% to $71.09 per barrel.

Two Trades to Watch: DAX, GBP/USD

Jimmy Khan

May 07, 2022 10:43


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The DAX is falling as industrial output declines.


After a slaughter on Wall Street that saw the Nasdaq finsh 5% down, European equities have begun in the red, extending losses from the previous day.


Fears of inflation, stagflation, and recession are weighing on the market as we approach the weekend. The DAX is expected to shed 1.4 percent this week, marking the fifth consecutive week of losses.


In March, German industrial output decreased -3.9 percent on a month-over-month basis, down from 0.2 percent in February and considerably below the -1 percent drop forecast. The negative report comes on the heels of a sharp drop in German manufacturing orders in March. The data represents the economic effect of the Russian conflict on Germany and the Eurozone as a whole.


Germany does not have any additional statistics due today. Sentiment and the US NFP announcement will affect European indexes.