US indices dipped again yesterday, falling by approximately 0.7% in both DJIA and S&P 500, and by 0.9% in the Nasdaq Composite.
Surprisingly, the oil market also saw a decrease, but by 2.5%. Apparently, there was a 0.4 million rise in supply instead of the expected 2.8 million decline. The US also drafted a law against OPEC with regards to manipulating prices, although experts believe that such a bill has a slim chance of being approved.
With regards to the coronavirus, global incidence again hit 825,000, the same as the record last January. Leading the ranks is India who listed almost 300,000 new cases, followed by Turkey with 61,000 cases, France with 43,000 cases, and Germany and Italy with about 13,000 cases each.
Going back to the markets, Japan indices also fell by 1.9% this morning, while China indices saw a 0.3% increase.
As for oil, Brent declined to $ 66.08 today, and it may drop even lower to around $ 65.00 - $ 67.50.
Meanwhile, WTI remained at $ 62.15, but its projected range changed to $ 60.00 - $ 64.00 today.
Conclusion: Markets are awaiting the ECB meeting on Thursday, as well as the upcoming data from the United States. A strong pull back is highly likely.
