Markets Await the US Jobs Data

Market News Summary

The Russian ruble rose during trading yesterday, Thursday, to its highest level in more than a month, continuing its gains for the fifth consecutive session. This was due to oil prices stabilizing after a recent decline, which somewhat reduced the impact of the decline in the supply of foreign currencies in Russia. The ruble rose by 1.6% against the dollar, to 77.94, its highest level since April 3rd.

In contrast, European stock indices fell at the close of trading on Thursday. This was due to the markets’ assessment of the monetary policy decisions taken by global central banks.

The European Central Bank (ECB) raised interest rates by 25 basis points to 3.25% yesterday, as expected, and hinted that further monetary tightening may be necessary to curb inflation.

The central bank of the twenty countries that share the euro currency also raised interest rates by a total of 375 basis points since last July, which is the fastest pace of monetary tightening it has implemented. However, it made it clear that further moves are likely given the mounting pressures related to salaries and prices.

Dollar index (USDX)

Today, investors are awaiting job data and unemployment rates to get a clearer picture of the US economy, while the dollar continues to stabilize above the 101.00 levels within a general bearish trend.

Pivot Point: 101.05

Support level	Resistance level
100.70	101.50
100.25	101.85
99.40	102.70

Spot Gold (XAUUSD)

Gold futures rose at the close of trading on Thursday, May 4, for the third consecutive session, approaching a new record.

At settlement, gold futures increased by 0.8%, or $18.70, to $2,055.70 an ounce, marking its highest level since August 2020.

The general weakness of the US dollar, the crisis in the banking sector, and fears of a possible recession in the US economy have boosted the safe-haven demand for precious metals.

Pivot Point: 2052

Support level	Resistance level
2027	2075
2016	2100
2005	2148

Dow Jones Index (DJ30ft – US30)

US indices continued to decline for the fourth consecutive session, under pressure from the financial sector stocks. There are renewed investor concerns about the health of regional banks, which contributed to a sharp decline in the stocks of major banks.

The fear index rose by about 10% to its highest level in more than a month, coinciding with developments in the banking sector.

The Dow Jones index fell by 0.9%, or 268 points, recording its lowest close since late March.

The S&P 500 index fell by 0.7% to 4,061 points, and the Nasdaq Composite Index lost 0.5% or 12,000 points.

Pivot Point: 33245

Support Level	Resistance Level
32930	33485
32685	33800
32130	34355

US Crude (USOUSD)

Oil prices closed slightly lower on Thursday, May 4th, after the European Central Bank decided to slow the pace of interest rate hikes. However, prices were still down more than 9% for the week due to demand concerns in major consuming countries.

At settlement, Brent crude futures fell by 17 cents, or 0.24%, to close at $72.50 a barrel, while West Texas Intermediate crude fell by 4 cents, or 0.06%, to $68.56.

Oil prices fell this week due to concerns about the US economy and signs of weak manufacturing growth in China, the world’s largest oil importer. Prices fell further after the Federal Reserve raised interest rates on Wednesday, May 3rd, to their highest levels since 2007.

Pivot Point: 67.30

Support level	Resistance level
64.85	71.00
62.00	73.45
61.15	79.60

This material provides real-time market analysis from contributing analysts. Please note that any views expressed in this material do not constitute operational advice. It is important to assess your risk tolerance and make independent trading decisions. STARTRADER holds no responsibility for any trading consequences that may arise from relying on the views expressed in this material.