The Dollar Loses Control After Job Data

Market News Summary

The stock markets have experienced a notable 20% rise in value since the beginning of this year. However, experts suggest that this increase may be attributed to a broader global uptrend cycle. According to some analysts, this upward trend could potentially push the S&P500 index to reach levels of 14,000 by the year 2034.

The largest American bank, JPMorgan, has abandoned its predictions of a U.S. economic recession, joining Wall Street analysts who believe that a recession is no longer inevitable. The bank expects the U.S. economy to grow by around 2.5% in the third quarter.

Dollar Index (USDX)

After last week’s job data release, the dollar declined by 0.5% against its competitors. Yields on the benchmark 10-year U.S. Treasury notes also retreated from their nine-month highs.

Currently, the dollar is trading near its pivotal point at 101.80 dollars.

Pivot point: 101.90

Resistance level	Support level
102.30	101.45
102.80	101.00
103.20	100.55

Spot Gold (XAUUSD)

Gold prices saw an increase on Friday following the release of a slightly weaker-than-expected U.S. job report, which resulted in a decline in the dollar and Treasury bond yields. This provided an opportunity for the precious metal to recover, as it had been on track for its worst week in six weeks. In spot trading, gold rose by 0.4% to reach $1940.86 per ounce, while U.S. gold futures closed higher by 0.4% at $1976.10.

Pivot point: 1937

Resistance level	Support level
1951	1928
1960	1914
1974	1905

Dow Jones Index (DJ30ft – US30)

U.S. stock indices closed lower on Friday, influenced by the disappointing monthly job report and ongoing market repercussions from a surprise decision by the rating agency Fitch.

The Dow Jones index declined by 0.43%, equivalent to about 150 points, settling at 35,065 points. The Nasdaq also saw a decrease of 0.36%, or 50 points, ending at 13,909 points. Similarly, the S&P 500 experienced a drop of 0.53%, or 24 points, closing at 4,478 points by the end of Friday’s session.

Pivot point: 35285

Resistance level	Support level
35455	34970
35765	34805
35935	34490

US Crude (USOUSD)

Oil prices continued their upward trajectory, gaining over a dollar per barrel at Friday’s close and marking the sixth consecutive week of increases. The surge was prompted by Saudi Arabia and Russia’s decision to cut supplies until the end of the next month, intensifying concerns about potential supply shortages.

Brent crude futures saw a notable increase of $1.10, equivalent to 1.3%, settling at $86.24 per barrel. Simultaneously, West Texas Intermediate (WTI) crude climbed by $1.27, or 1.6%, closing at $82.82 per barrel.

Pivot point: 82.45

Resistance level	Support level
83.40	81.65
84.15	80.70
85.10	79.95

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