The oil’s slide continues as Brent dips to six-year low at $45.73 per barrel. OPEC producers’ stand stays put as the member countries extend their fight for market share by offering discounted prices, especially towards Asia. In the Far Eastern region, markets closed the day mixed following a better-than-expected report on Chinese trade balance which, nonetheless, largely missed yearly forecasts.
Globally, yields have taken a tumble as investors remain in risk-off mode. US 10-year treasuries dipped to 1.86% and Japanese Government 5-year yields reached zero. Conversely, gold prices rose to their highest level in three months.
The focus in US markets will continue to be on companies’ earnings, ahead of large banks numbers. Investors will likely focus on forward guidance as concerns over the upcoming months rise.