· CORONAVIRUS UPDATES:
Latest on the spread of the coronavirus around the world
- Total confirmed cases: More than 1,434,861
- Total deaths: At least 82,191
- The coronavirus COVID-19 is affecting 209 countries and territories around the world and 2 international conveyances.
- US cases: At least 400,549 (+214), and deaths: 12,857 (+16)
- Spain cases: At least 141,942, and deaths: 14,045
- Italy cases: At least 135,586, and deaths: 17,127
- Thailand cases: At least 2,369 (+111), and deaths: 30 (+3)
- Euro zone fails to reach a deal on new coronavirus stimulus after 16 hours of talks
A meeting of euro zone finance ministers — known as the Eurogroup — ended Wednesday after 16 hours, with no agreement over additional stimulus to help the bloc’s economy weather the coronavirus pandemic.
Eurogroup head Mario Centeno said on Twitter that the ministers came “close to a deal but we are not there yet.”
He said talks would continue Thursday.
- The European Central Bank told euro zone finance ministers that the euro zone could need fiscal measures worth up to 1.5 trillion euros to tackle the economic crisis caused by the COVID-19 epidemic, officials told Reuters.
- The Philippine government has set aside funds to battle the coronavirus outbreak until the end of May — and has “a lot of headroom” to spend more if needed, the country’s Secretary of Finance Carlos Dominguez said on Wednesday.
- British Prime Minister Boris Johnson spent a second night in intensive care and was in a stable condition after receiving oxygen support for COVID-19 complications while his foreign minister directs the country’s battle against the outbreak.
· The dollar found a footing on Wednesday as investors returned to safe-havens, reversing some risk currency gains made on hopes the coronavirus crisis in Europe and New York was slowing.
The greenback rose on most majors, a day after suffering its worst drop against a basket of currencies in nearly two weeks.
It last stood 0.2% higher at $1.0871 per euro and the same margin higher against the pound at $1.2315, though remained well short of recovering falls made on Tuesday.
The greenback rose 0.2% on both the yen and franc to 108.93 yen and 0.9714 francs.
Against a basket of currencies the dollar edged up 0.2% to 100.170 and it rose 0.3% against the Chinese yuan.
· EUR/USD Forecast: Corrective advance stalls around 1.0900
EUR/USD short-term technical outlook
The EUR/USD pair is holding above the 50% retracement of its latest daily advance at 1.0890, the immediate support. The 4-hour chart shows that the pair is comfortable above the 61.8% retracement of the same rally at 1.0830, with the 20 SMA converging with it. The same chart shows that the pair was unable to settle above a mild-bearish 100 SMA, although it keeps hovering around it. Technical indicators hold at their monthly highs but are losing their strength upwards, indicating limited bullish strength.
Support levels: 1.0890 1.0860 1.0830
Resistance levels: 1.0915 1.0950 1.0990
· Oil steadied near $32 a barrel on Wednesday, supported by hopes that a meeting between OPEC members and allied producers on Thursday will trigger output cuts to shore up prices that have collapsed due to the coronavirus pandemic.
Brent crude LCOc1 was down 9 cents, or 0.3%, at $31.78 by 0837 GMT after falling 3.6% on Tuesday. U.S. West Texas Intermediate (WTI) crude CLc1 rose 94 cents to $24.87.
· WTI Price Analysis: On the rise, but still stuck in a bull flag
West Texas Intermediate (WTI) oil is flashing green in Asia. A barrel of black gold is changing hands at $28.95 at press time, representing a 4% gain on the day.
Even so, the immediate outlook remains neutral as the 4-hour chart shows prices are still trapped in a bull flag, a continuation pattern, which typically accelerates the preceding upward move.
As of writing, the upper end of the flag is seen at $30. A 4-hour close above that level would confirm flag breakout and open the doors to $38.80 (target as per the measured move method). On the way higher, WTI may encounter resistance of the 200-candle average, currently placed at $33.57.
However, if the flag is breached to the downside, the 50-candle average at $25.45 could be put to test.
Reference: CNBC, Reuters, Worldometers
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