Blogs

Fitch downgraded Fitch cuts South Africa to BB from BB+. Fitch said the downgrade is a result of the lack of a clear path towards debt stabilization. Which country has a clear path towards debt stabilization right now?

Resistance at 0.5878. Support at 0.58387. The NZDUSD moved lower in the European session an in the process moved to a new week low. The floor from Wednesday and Thursday was at 0.5878. That is now resistance (close risk for shorts).   The high since the break has reached 0.58751 – just below that level. 

Closing changes for the major European markets: Italy closed on the lows but the consolidation/wedge continues. This pattern doesn't look like it will last for long:

The latest NY state numbers New York isn't testing enough to make the case count a meaningful number and the hit rate is terrifyingly high at 48%. By the New York tally the national count is 254,321.

The latest numbers from Canada The Globe & Mail this week that at least 600 nursing and retirement homes across Canada have cases. Quebec has been hit particularly hard because it's school March break was a week before the rest of the country and that led to lots of travel. Lockdowns came at the end

GBPUSD cracks below the Tuesday low at 1.22395 The GBPUSD is making a new week low falling below the 1.22395. However, there is another key support target at the 200 hour moving average 1.22058 currnently (green line). The low just reached 1.22184 and bounced back toward the old week low at 1.22395.

Traders awaiting the next shove The volatility in the US stock market has eased. The Vix index is back below the 50 level (the low 48.11 today - currently at 49.58).  Although still high it is well down from the highs at 85.47 level.

Comments from Kudlow The hypocrisy is breathtaking. The US spent 40 years browbeating OPEC for not producing at maximum levels and now it's begging to re-create the cartel. Meanwhile the NOPEC legislation remains in play in Congress.

The 100 and 200 hour MA is being ignored but trend lines are eyed The USDCAD has moved lower as the price of oil has some upside relief on hopes for production cuts. 

Germany keeps ramping up the spending The types of programs around the world continue to evolve. When one country has a good idea, others tend to copy it. The pace of change is breathtaking (along with the amount of spending).