U.S treasuries yield appreciation to continue pressure stock market to the downside

High volatility trading happened after Jerome Powell’s speech. The stock market dropped as U.S 10-year Treasury yield starts to increase again. Yield increase mostly caused by the Fed decision to take a neutral stance and treat the current yield increase as normal.

U.S dollar index jumped sharply after the event and continues to maintain bullish pressure today. Traders and investors will eyes the job data releases today.

Asian & European Stock market

The Asian stock market slightly lower today. Japan stock market down 65.79 points (-0.23%) to 28,864.32, China stock down 1.50 points (-0.04%) to 3,501.99 and Australia ASX 200 down 49.90 points (-0.74%) to 6,710.80 . The European stock market also mixed. DAX Germany down 0.57%, UK FTSE up 0.43%, and Euro Stoxx600 down 0.13%.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index pushed lower with strong bearish momentum yesterday. Fortunately, the index could recoup the losses and settled near the daily SMA 50. It seems the index is supported by the averages and will attempt to close the week near it. At the current time, DJIA futures are trading near the flat-level which indicates a mixed opening. Will the index bounce from the SMA 50? Alternatively, will it continue lower to test 29,000 – 30,000 area?

Hasbro Inc (HAS)

The overall trend of HAS continues to be bullish inside the channel. The share prices move lower after the rejection from the top of the channel. HAS share prices supported by the daily SMA 100 and might bounce from it. Traders could enter long positions near the averages or near the bottom of the channel.