The USD index came across the 99.00 figure that capped the rally in the greenback
US stocks finished higher on Monday, with technology shares leading gains again. The S&P 500 rose 0.8%, the Dow Jones Industrial Average added 0.3% and the Nasdaq Composite rallied 1.9% and is now down just about 10% from its previous record. In individual stocks, Twitter jumped 271% after the company said that Tesla’s Elon Musk had taken a 9.2% stake in the social media platform. It was the biggest pop in Twitter’s history since its IPO.
Asian equity markets extended the advance on Tuesday to reach five-week highs after broad gains on Wall Street. Japan’s Nikkei 225 gained 0.19% as well as the S&P/ASX 200 index while South Korean Kospi finished flat. The RBA left the interest rate at a record low of 0.10% to express optimism about the economy and rising wages. The central bank also dropped its patient stance on inflation, thus shifting towards a more hawkish tone.
In Europe, stocks were little changed at the open as investors continued to turn more cautious amid negative developments in geopolitics. The pan-European Stoxx 600 hovered just above the flat-line in early deals as Western governments are considering new sanctions against Russia after allegations of civilian killings in Ukraine. Furthermore, Zelensky says it is possible that there might not be any meeting between himself and Putin.
Elsewhere, the USD index came across the 99.00 figure that capped the rally in the greenback. The US currency has settled just below this level on Tuesday struggling to resume the ascent after four days of gains. As such, EURUSD bounced slightly from local lows around 1.0960 to turn marginally positive on the day. However, it looks like the common currency will stay pressured for the time being, especially as risk sentiment is deteriorating gradually. The immediate resistance is now represented by the 20-DMA, currently at 1.1017.