By Chris Becker
Is OPEC brokering the end of an era with a production cut in crude as renewables strengthen? Maybe, maybe not, but the immediate effect is seeing oil prices shoot up in response, dragging US energy stocks and entire bourses with them. The impact however also sent Treasury prices down, although this could be in response to Janet Yellens speech to Congress yesterday where she re-iterated another rate rise was on the way. European stocks soared even as jitters continue about Deutsche Bank while in currencies, the USD firmed against everything except Aussie dollar.
Recapping Asia’s session yesterday, where the Shanghai Composite has been trying to come back from its breakdown, but slumped at the close, down 0.3% to 2987 points, short of what was once terminal support at 3000 points. Now forming resistance, as momentum remains negative, price is likely to retrace down to previous support/congestion at the 2800 point zone, so watch out:
