DAX Holds 22,128; Nvidia earnings & Copper Tariffs Loom
DAX holds 22,500 support, eyeing 22,937 resistance, while Trump’s copper tariff threat & Chile supply fears push prices higher. Nvidia earnings tomorrow will set the tone for tech sentiment. Bitcoin plunges below $90K, hit by risk-off sentiment & a $1.5B Bybit breach. Gold consolidates near highs, while oil rebounds after two-month lows.
Share this:
Asian Markets Mostly Lower Amid Tariff Concerns & Economic Weakness
- Most Asian stocks declined, rattled by Trump’s new tariff threats and weak U.S. consumer confidence data.
- Hong Kong’s Hang Seng outperformed (+2%), driven by strong gains in Chinese tech stocks (Alibaba, Tencent, Baidu) amid AI optimism.
- Japan’s Nikkei 225 fell -0.5%, South Korea’s KOSPI -0.1%, as Nvidia earnings loom large for global tech sentiment.
Trump Threatens Copper Tariffs Amid Chilean Supply Disruptions
- Trump plans to impose tariffs on copper imports, aiming to:
- Boost U.S. domestic copper production.
- Curb China’s market dominance in the red metal.
- However, Chile’s power outage caused global copper supply fears, offsetting tariff concerns:
- Benchmark copper futures (LME) rose +0.8% to $9,486/ton.
- March copper futures +0.9% to $4.74/lb.
- Escondida mine (world’s largest) halted operations, fueling supply risk sentiment.
Gold Consolidates, While Silver & Platinum Diverge
- Gold remained steady at $2,916/oz after pulling back slightly from all-time highs.
- Gold futures (April) rose +0.4% to $2,929/oz, as safe-haven demand stays strong.
- Silver dropped -1.85% to $31.55/oz, while platinum dipped -0.2% to $970/oz.
European Markets & German Business Sentiment
- DAX edged higher (+1.1%), FTSE 100 (+0.7%), CAC 40 (+0.3%).
- German Ifo Business Climate Index remained weak at 85.2 points, signaling economic fragility.
- Euro lost early gains, reflecting market caution after German election results.
DAX Technical Analysis 1 Day
The Germany 40 (DAX) daily chart is showing a recovery bounce after testing the 22,128 support level. The price remains above the 20 EMA, indicating that the bullish trend is still intact despite the recent pullback. The formation suggests that buyers are stepping in to defend this key level.
The RSI is stabilizing, avoiding an overbought condition while maintaining positive momentum. The Stochastic RSI is rising from oversold levels, reinforcing the potential for further upside. If the current bullish momentum continues, the price could retest the 22,937 resistance level, and a breakout above it could push the index toward 23,100-23,200.
However, if the price fails to break above 22,937, it could lead to further consolidation or another pullback. A break below 22,128 would shift focus to 21,750 (50 EMA region) as the next major support. Traders should monitor whether DAX can sustain its recovery or faces renewed selling pressure near resistance levels.
U.S. Stock Futures & Economic Concerns
- Nasdaq & S&P 500 continued declining, with investors wary ahead of Nvidia’s earnings.
- Dow futures +0.4%, S&P 500 -0.42%, Nasdaq -1.06%.
- U.S. consumer confidence plunged to 98.3, the lowest since August 2021.
- Markets expect Q4 GDP & PCE inflation data later this week.
Oil Prices Edge Lower to Two-Month Lows
- Brent crude -2.5% to $74.22/barrel yesterday, +0.33% today.
- WTI crude yesterday -2.50%, +0.3% today to $69.24/barrel.
- U.S. crude inventories fell by 640,000 barrels, boosting sentiment.
- Market watching potential Ukraine peace deal, which could ease Russian sanctions.
Crypto Sell-Off Deepens as Bitcoin Drops Below $90K
- Bitcoin fell -6% to $87,843, a 3-month low.
- Altcoins followed:
- Ethereum (ETH) -12% to $2,388.
- XRP -11% to $2.20.
- Solana -13%, Cardano -9.6%, Dogecoin -11%.
- Reasons for the drop:
- Trump’s tariff threats rattling markets.
- Bybit exchange security breach ($1.5B stolen in Ethereum) shaking investor confidence.
Key Economic Data to Watch (GMT Time)
- 15:00 – USD: Crude Oil Inventories → Expected: 2.500M | Prev: 4.633M
- 15:00 – USD: New Home Sales → Expected 679K | Prev: 698K
- NVIDIA (NVDA) Earnings – Aftermarket
- Salesforce Inc (CRM) Earnings – Aftermarket
- Snowflake (SNOW) Earnings - Aftermarket
Market Outlook
- DAX & European markets remain cautious amid weak German economic data.
- Nvidia earnings will be crucial for tech sentiment.
- Gold remains strong, while crypto faces more downside risk.
- Oil traders watching U.S. inventory data & Ukraine peace deal talks.
- Copper could stay volatile due to Chile disruptions & Trump’s tariff threats.
Related tags:
The complete CFD trading experience
Award-winning platforms, competitive spreads, low commissions and dedicated support.
We live and breathe the markets and are dedicated to helping traders realise their ambitions as we continue to set the industry bar.
Economic calendar
Web Trader platform
Our sophisticated web-based platform is packed with features.
Related articles
Dow Jones forecast: Stock markets under pressure from multiple sources
When looking at the major tech-heavy US indices like the S&P 500 or the Nasdaq 100, you wouldn’t think that the stock market is particularly weak. Yet, beneath the surface, the market is far from healthy right now. Investors are evidently just piling into the big tech and AI names, and as a result, market breadth is deteriorating. Other indices like the small cap Russell 2000 and the Dow Jones are starting to reflect that weakness.
Nikkei breakout accelerates as yen weakness returns
Nikkei has started October with a powerful breakout, helped by renewed yen weakness and strong upside momentum
S&P 500 Forecast: SPX Continues to Drift Away from Record Highs
Recent trading sessions have done little to restore confidence in the equity market. Over the last four sessions, the S&P 500 has declined by nearly 1.00%, a move that highlights growing short-term weakness and keeps the index moving further away from its record-high territory.
StoneX Europe Ltd may make third party material available on this website which may contain information included but not limited to the conditions of financial markets. The material is for information purposes only and does not contain, and should not be construed as containing, investment advice and/or investment recommendation and/or an investment research and/or an offer of or solicitation for any transactions in financial instruments; any decision to enter into a specific transaction shall be made by the client following an assessment by him/her of their situation.
StoneX Europe Ltd makes no representation or warranty and assumes no liability as to the accuracy or completeness of the information provided, nor any loss arising from any investment based on a recommendation, forecast or other information supplied. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. We are not under any obligation to update any such material. Any opinion made may be personal to the author and may not reflect the opinion of StoneX Europe Ltd.