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1. All three major U.S. stock indexes closed higher. The Dow Jones Industrial Average rose 0.83% to 46,946.41 points, the S&P 500 rose 1.01% to 6,699.38 points, and the Nasdaq Composite rose 1.22% to 22,374.18 points. Salesforce rose over 2%, with Amazon leading the gains at nearly 2%. The Wind U.S. Tech Big Seven Index rose 1.38%, with Facebook rising over 2% and Nvidia rising over 1%. The Nasdaq China Golden Dragon Index rose 0.95%, with Tencent Music rising over 6% and Li Auto rising over 5%. 2. All three major European stock indexes closed higher. The German DAX rose 0.5% to 23,564.01 points, the French CAC40 rose 0.31% to 7,935.97 points, and the UK FTSE 100 rose 0.55% to 10,317.69 points. 3. The WTI crude oil futures contract closed down 4.55% at $94.22 per barrel; the Brent crude oil futures contract fell 2.06% to $101.02 per barrel. 4. International precious metals futures generally closed lower, with COMEX gold futures down 1.00% to $5011.30 per ounce and COMEX silver futures down 0.42% to $81.00 per ounce.On March 17th, UK Chancellor of the Exchequer Reeves vowed that the UK will adopt artificial intelligence faster than any other G7 country, calling the technology a key pillar of its economic growth strategy. According to a pre-released transcript of his speech from the Treasury, Reeves will outline his economic vision for the coming years in his annual Mais speech on Tuesday, listing artificial intelligence, regional development, and a closer relationship with the EU as the most important growth opportunities. Prior to Reeves speech, the government announced £2.5 billion in funding for artificial intelligence and quantum computing, including £1 billion for the purchase of commercial-scale quantum computers. This funding also includes a previously announced £500 million plan to establish a sovereign AI fund, launching next month, to invest in promising AI startups.Australian Trade Minister: I spoke with EU Trade Commissioner Maroš Šefčovič last night and am confident of reaching a trade agreement.NASA: The team currently plans to unload the Artemis 2 rocket no earlier than Friday, March 20.On March 17, Trump stated in a speech at the White House on Monday that he believed he would be "honored to take over Cuba," adding that he "could do whatever he wanted with this country." This came after the US forced Venezuela to halt crucial support to Cuba, leading to a gradual depletion of Cubas fuel supplies. He said, "I think Cubas end is near. Ive spent my whole life hearing people talk about the United States and Cuba. When will the United States act? Im sure I will have the honor—the honor of taking over Cuba." When asked to explain what "takeover" meant, Trump indicated that the US might intervene in "some form." He said, "Whether its liberating it, taking over it, frankly, I think I could do whatever I wanted with it. Theyre a very weak country right now." These remarks represent a further escalation in Trumps tone. Just last Friday, he also stated that a "friendly takeover" of Cuba might be feasible.

WTI price falls below the $76 mark amid altering financial dynamics and global growth concerns

Alina Haynes

Mar 14, 2023 11:40

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The West Texas Intermediate (WTI) price is unchanged on Tuesday amid a weaker US Dollar and muted risk sentiment. WTI fell to a low of $72.31 on Monday as a result of a strong risk-off environment sparked by the repercussions from Silicon Valley Bank (SVB) and Signature Banks. Since then, the WTI price has risen significantly as a result of the Federal Reserve's plan to intervene. After reaching a peak of approximately $76 on Monday, the WTI price retreated as the dynamics of the US Dollar shifted.

 

The financial system is being harmed by rising borrowing costs around the world and growth concerns are being raised. The WTI price is in a corrective decline as the narrative of China's reopening does not appear optimistic, as the country has lowered its growth forecast to 5.0%.

 

The SVB debacle exacerbates global growth concerns, as it is interpreted as the first of many financial system dings. Due to rising financing costs, businesses are struggling to make their repayments, which will eventually result in a decline in demand.

 

Despite tightened production and numerous voluntary cuts from the Organization of the Petroleum Exporting Countries (OPEC), the WTI price is struggling to surpass $80.

 

Oil prices are influenced by a number of variables, including the US dollar, inflation, OPEC, and global growth concerns. Considering the aforementioned factors, it is difficult to rationalize the directional nature of oil prices, but it appears that the oil market is primarily driven by development concerns.

 

Since these nations are struggling to maintain oil prices above the desired $80 mark, it will also be crucial to monitor the OPEC position on reduced oil prices.