A lot is going on in the world with all the elections and wars and we will have to watch the markets closely. One thing I did not share in the frequent updates was that gold was sinking but we are going to see soon how it made out.
My goodness, this Uganda shilling is really annoying. It has no movement at all so I feel bad for those who trade it.
The Uganda shilling closed at 3365 on the US dollar, 4423 on the British pound (a bit of weakness here), 3811 on the Euro (some weakness), 50.08 on the Rupee ( a bit of strength), 33.17 on the Kenyan shilling, 2602 (the UGX is appreciating on the Canadian dollar but it might be because our dollar is not doing well), 2571 on the Australian dollar and 1.54 on the Tanzania shilling. The Uganda shilling is holding up rather well because I have been hoping that it crashes under its support at 3375 on the US dollar. but if I were to bet and buy it, it still has to break through that resistance at 3350 so for now it remains on the watch list. Its movement on the pound is interesting though. It has movement on the pound.
Coffee Arabica closed at $3.49 per kilo.
Coffee Robusta $2.01 per kilo.
Coffee did not drop as much as I would have thought during the summer months and it has moved in a very narrow range. Winter is coming up so we should expect coffee to move up but do not believe that number I shared on Twitter that it was gonna go up by 13%. Keep an eye on my Twitter account @mlnangalama.
Gold is trading at 1340 and gained only $2 per ounce. So it did not drop as hard as my friend in Uganda told me but it did not move so this means the markets are going up and there is no flight into safety. When the markets tank, gold jumps up a lot.
Brent Crude Oil – Wait. WT??? It fell by $1.76 and closed at $49.09 per barrel. Is the world coming to realise that Iran is going to put out 4 million barrels per day onto the market? I think they are only now up to 1 million barrels per day. Iran has a lot of oil which it can put on the market. They should have run out of all the reserves but they have so many reserves so after all the oil which was stored is sold up, they will open up all their rigs and teach the world a lesson about how they suffered with the sanctions. The only country which can produce oil cheaper than Iran is Saudi Arabia.
WTI Crude Oil closed at $47.41 after losing $1.70 per barrel. Ahem. See notes on Brent. Iran is a real factor.
Shanghai lost 23 points and is looking a bit bearish but still has a lot of support from last week so maybe watch it.
Hong Kong got out of bed, looked at the markets then went back to sleep. Zero change by closing time. It is looking bearish though despite closing at the same level as the opening level.
Tokyo gained 52 points. It also kinda went back to sleep because the Nikkei is a widower maker. This minor gain is nothing. It is looking a bit bearish but we should wait after some days to see the impact of all the flight cancellations from today when the third storm (call it typhoon) landed. Some of these things take a while to sink in.
Frankfurt shot up and came down closing with a loss of 50 points. It hammered in the bottom of this minor pull back so I would go long on this index rather than short it or even better, stay on the side. Actually I would go long on it because it has a lot of support and all the recent losses close within a big positive bullish candle.
Paris lost 11 points and also hammered the bottom. Bullish. A hammer is very powerful. This index is definitely “short at your own risk”.
London is looking a bit bearish but nothing to write home about. It lost 30 points but remember that the FTSE has made a lot of people lose money when they thought it was heading down. Be careful. I would stay on the side and if I had any positions, I would take out half to keep some profits and watch how the other half does.
Toronto – well would you just believe an index heavy with oil goes up when oil falls. It gained 61 points. But the minor falls last week were not strong enough to signal a real fall though.
Dow Jones Industrial Average lost 23 points and this is a none movement for the INDU. Do not panic.
Standard and Poor lost 1 point. Yayaya. The SPX is looking bullish and just pausing and it kinda dictates the markets in North America.
NASDAQ gained 6 points. No surprise here since its cousins did not move a whole lot.
The world news is getting interesting. We have all the wars everywhere and then the US elections. We have Turkey, Russia and the NATO and Russia factor. Shaaa, we also have sanctions.
Did you know that the next thing is going to be #NEXIT? Netherlands is thinking of pulling out of the EU, engineered by the opposition.
Of course we have Turkey with their anger against US about Gulen and their coup and then forming alliances.
John Kerry is in Africa meeting some presidents to discuss peace initiatives (South Sudan). Do not forget that we have problems in Somalia and Ethopia. The Zambia recent elections are being challenged, 3 radio stations were even shut down. DRC heads to the polls this year and so does Somalia and Ethopia. And some people are still dying in Burundi and CAR. Machar is in DRC. President Dos Santos of Angola has gotten the okay to run as the president in their next year elections. Wherever you look in Africa particularly, one wonders who cursed Africa? Then riots broke out in Sierra Leone.
As if this was not enough, Syria and Yemen, we should not even go there.
You can also follow me online on all social media as I update global news throughout the day and only write the business report after the North American markets close.
We were trading Qualcom one time and for some reason it fell and I always believed in this company. The 9yr old looked at the charts and said gently “mom, get out of this one because its trend line is downwards”. I never argue with the girls when they tell me to sell or buy. We got out before it pulled back big time.
If kids can read charts, why not you? Try it for fun. http://stockcharts.com/school/doku.php?id=chart_school
Martha Leah Nangalama
I have an IT and Business background and our daughters are never going to trade anything except go to school.