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Tuesday, March 29, 2022

Stocks Rise as Talks Lift Sentiment; Dollar Falls: Markets Wrap

U.S. stocks rose Tuesday amid hopes of progress in talks between Russia and Ukraine. The Benchmark Treasury is rolling back, while the main part of the curve is distorted for the first time since 2019.


S&P 500 achieved, with nine of the 11 large industrial groups developing. Energy and building materials were different during the decline in commodity prices. The Nasdaq 100 has risen by more than 1%. Oil trades at a lower price, near the $ 105 barrel in New York. The dollar depreciates while the euro jumps sharply.



Hopes of a reduction in the war in Ukraine have raised a sense of danger. Negotiations between Russia and Ukraine have failed to reach a ceasefire agreement, but they have provided a possible alternative to Vladimir Putin and Volodymyr Zelenskiy. Russia has said it will reduce military operations near the capital Kyiv and the city of Chernihiv, and a negotiator said Moscow would take steps to "reduce" the conflict.


Revival of Ukraine: Macron Puts Putin for Humanitarian Corridor


"He's looking at how the market can respond to declines," said Shawn Cruz, chief marketing officer at TD Ameritrade Inc., by telephone. "I think we will get a lot of articles about slow but steady progress and discussions that we are at least willing to come to the negotiating table are often, and that will be the driver of intraday flexibility."


The selloff in the Treasuries is stagnant, yields have declined over maturity as negotiations have lowered oil prices and inflation expectations. The five-year rate of inflation-protected monetary policy decreased to 12 points to 3.52% after a record last week. The US two-year harvest has briefly surpassed the second 10-year period for the first time since 2019, reinforcing the view that rising Federal Reserve levels could lead to a recession.


Apple Inc. rose to the 11th day, heading for the longest win since 2003.


Ukrainian negotiators said there was enough reason to withdraw from talks to hold a meeting between Putin and Zelenskiy after concluding talks in Turkey on Tuesday. But Moscow's declaration of economic decline came as the capital's progress had already been halted, and earlier attempts to negotiate ideas such as humanitarian efforts had paid off.


Global shares have grown since the lowest levels reached after Russia invaded Ukraine. Such tightness is counterproductive to changing yields, which undermines economic confidence as investors prepare the Fed to tighten monetary policy to accelerate inflation over the next 40 years. The two- to 10-year transition is the latest in a series starting in October, with a 20-year yield peak at a 30-year yield. In the past month, conversions have reached 7 to 10 years and stages 5 to 7 years, among others.


Philadelphia Fed Bank President Patrick Harker said he expects a series of “deliberate, systematic” inflation this year and the reduction of bank assets between the Treasury and mortgage-backed securities will begin soon.


On the US economic side, consumer confidence grew in March, prompting strong job growth to allay Americans' concerns about accelerating inflation, according to a report on Tuesday. Government figures on Friday are expected to show the economy which is likely to add about a million jobs in March as the unemployment rate dropped to 3.7%.


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"We have not started to get our hands on it and we do not need to deal with it yet," said Scott Ladner, chief investment officer at Horizon Investments, by telephone. “And then we are almost in the middle of the Fed story of this tough cycle. But the second round is less certain than the first. ”


"You have a situation where oil prices have gone up and oil is a major component of GDP, which has historically led to the economic downturn," said Joe Gilbert, portfolio manager at Integrity Asset Management, in an interview with Bloomberg TV. “But we are in a very strong position in the consumer sense, the job market — life there. So our basis is that we avoid the recession, but we will have periods of slow growth. ”


"We are seeing small changes in reality, especially in favorable negotiations between Russia and Ukraine," said Mike Bailey, research director at FBB Capital Partners. “Investors are releasing a small amount of positive, positive evidence that a gun is about to be stopped. Finally, investor sentiment is improving day by day as buyers see stock trading progressing below the high value, especially in technology. "


How scary is the yield-curve change? That is the subject of this week's MLIV study. Please click here to participate.


Some important events to watch this week:


  • A meeting of OPEC and non-OPEC ministers to discuss production goals, on Thursday


Some of the key steps in the market:


Stocks


  • MSCI World index rises by 1.2%


Funds


  • The Japanese yen rose 0.8% to 122.82 per dollar


Bonds


  • Profit on 10-year Treasuries dropped seven points to 2.39%
  • Germany's 10-year harvest improved by five basic points to 0.63%
  • Britain's 10-year yield improved by two points of 1.64%


Goods