CFD Markets News and Forecasts — 26-12-2018

Major US stock indexes rose significantly, while the Dow index recorded its largest increase in points in history.

Growth was driven by shares of retailers that received support after the publication of data on purchases during the holiday season, which were the best in the last six years. According to a Mastercard report, sales during the holiday shopping season in the United States grew by 5.1%, exceeding $ 850 billion, as buyers were encouraged by a sustainable economy and early discounts.

However, investors' concerns have not gone away. President Donald Trump re-attacked the Fed at Christmas, accusing it of falling market. In addition, he stated that the partial closure of the federal government would last until his need for funds to build a wall at the border of the United States and Mexico was met.

The focus was also on the S & P / Case-Shiller report, which showed that the growth rate of housing prices in the US slowed down in October for the third month in a row. According to the report, the home price index from S & P / Case-Shiller among the 20 main cities in October, on an annualized basis, fell to 5% from 5.2% recorded in September (revised from 5.1%). Economists had forecast a decline to 4.9%.

All components of DOW finished trading in positive territory (30 out of 30). The growth leader was NIKE, Inc. (NKE + 6.63%).

All sectors of the S & P recorded an increase. The service sector grew the most (+ 4.8%).

At the time of closing:

Dow 22,878.45 +1086.25 +4.98%

S & P 500 2,467.70 +116.60 +4.96%

Nasdaq 100 6,554.36 +361.44 +5.84%

U.S. stock-index futures surged on Wednesday,  rebounding after a plunge on Christmas Eve.

Global Stocks:

(company / ticker / price / change ($/%) / volume)

Hewlett Packard (HPQ) initiated with Buy at Standpoint Research

Citigroup (C) upgraded from Hold to Buy at Standpoint Research

Caterpillar (CAT) upgraded from Sell to Accumulate at Standpoint Research

EUR/USD

Resistance levels (open interest**, contracts)

$1.1528 (1696)

$1.1513 (876)

$1.1498 (260)

Price at time of writing this review: $1.1407

Support levels (open interest**, contracts):

$1.1380 (3098)

$1.1339 (4617)

$1.1294 (5133)

Comments:

- Overall open interest on the CALL options and PUT options with the expiration date January, 7 is 67702 contracts (according to data from December, 24) with the maximum number of contracts with strike price $1,1650 (5874);

GBP/USD

Resistance levels (open interest**, contracts)

$1.2829 (1506)

$1.2810 (575)

$1.2788 (227)

Price at time of writing this review: $1.2710

Support levels (open interest**, contracts):

$1.2660 (1478)

$1.2624 (2014)

$1.2583 (1890)

Comments:

- Overall open interest on the CALL options with the expiration date January, 7 is 36243 contracts, with the maximum number of contracts with strike price $1,3400 (3833);

- Overall open interest on the PUT options with the expiration date January, 7 is 33079 contracts, with the maximum number of contracts with strike price $1,2450 (2872);

- The ratio of PUT/CALL was 0.91 versus 0.91 from the previous trading day according to data from December, 24

* - The Chicago Mercantile Exchange bulletin (CME) is used for the calculation.

** - Open interest takes into account the total number of option contracts that are open at the moment.