S&P 500 daily chart.
The haze caused by liquidity injections finally cleared so the US market showed its first big drop since April 1.
Macroeconomic reports on the eurozone came out yesterday - PMI fell to 25. It is unclear whether the index will remain the same for April's, which will come out in early May. Meanwhile, the US market will definitely fall to the lows of 2020 and, possibly, break them down. Long positions are not recommended.
Oil: massive oil glut continues to push oil downwards. WTI oil is trading around $10-11 (May and June contracts), while Brent fell to $16.70.
Coronavirus update:
Latest case count in the US is 819,000. Fatality is 45,000. If we add both plus experts' estimates (1%), then the actual number of infected is at least 4.5 million people (including those who are asymptomatic).
Mortality rose to 2,800 per day, but infection decreased to 26,000 (maximum was 30,000). In New York, the number of deaths is 764 per day.
Europe's situation is stabilizing. Fatality in Italy, Spain and France is not higher than 550 per day but in Britain, there is an unpleasant surge of 828. Infection, on the other hand, is not higher than 4%.
Europe will gradually lift quarantine in May (possibly May 1). Other countries will lift in May 4. Stores in Berlin are already opening.
EUR/USD:
Consolidation continues.
Entry levels are getting closer.
Buy euros at the break of 1.0900. Sell below 1.0810.
