S&P500
On Thursday, the US stock market showed a moderate decline amid the ongoing conflict in Ukraine.
The US main stock indices closed with a drop. Thus, the Dow Jones lost 0.3%, the NASDAQ Composite declined by 1.6%, whereas the S&P500 dropped by 0.6%.
The Ukraine-Russia conflict is the main political and economic issue at the moment.
Early on Friday, military actions in Ukraine were still intact, though their intensity became lower. Russian military forces have captured Kherson, whereas Mariupol is encircled. Kiev is under Ukrainian control. The second round of the negotiations did not bring the expected results. The parties agreed to open humanitarian corridors for civilians to exit in case of fighting. However, they failed to reach the ceasefire agreement. Yesterday, Vladimir Putin said that the military operation in Ukraine would last until all the goals are reached.
Next week, Russia and Ukraine are planning to hold a new round of the negotiations.
Meanwhile, western countries are imposing new sanctions against Russia. Thus, early on Friday, the US blacklisted 47 biggest business people from Russia.
The Russian stock market has not been operating for one week already. The fact is the Bank of Russia is trying to avoid a slump in the market.
The Russian ruble is trading at 106 rubles against the US dollar and at 117 rubles against the euro. Yesterday, the central bank introduced the 30% commission. However, today, it was reduced to 12%.
At the same time, both in Moscow and Saint Petersburg, local authorities canceled QR codes amid a more favorable epidemiological situation.
The Asian stock market also fell. Thus, Japan's index declined by 2.3% and China's index lost 0.9%.
Oil prices hit the highest level last seen in 2014. Thus, Brent crude costs $112 per barrel. Markets are concerned that western countries may prohibit Russia from supplying oil.
S&P500 is trading at 4,363, the range is 4,320-4,400.
Yesterday, the US disclosed its ISM services PMI data. In February, the indicator dropped to 56.5 points, whereas economists had expected a rise to 61%.
Meanwhile, the number of unemployment claims added 251,000 in one week.
Today, the US will report on its non-farm employment change. According to the forecast, the number of new jobs may increase by 390-400 thousand.
Oil reserves in the US slumped by 6 million barrels in one week. However, there is information that Iran may start supplying its oil to the US.
USDX is trading at 97.95, the range is 97.60-98.20
The US dollar is actively gaining in value amid the Ukrainian crisis and expectations of the key interest rate hike that could take place as early as March 16.
USD/CAD is trading at 1.2690, the range is 1.2600-1.2800
The pair showed a jump from 1.2600, thus stopping its downtrend.
Conclusion: The US stock market still has reasons to rise. However, they are overshadowed by the military actions in Ukraine.
