Feb 26, 2020
Online Retailers Warn of Disruptions in the Supply Chain
Top online retailers rely on Chinese production that has been shut down for weeks. If China will not resume its normal operations soon, the result will be a shortage of goods. Amazon the largest e-commerce retailer in the U.S. dropped more than 8.5% since the start of the week.
Technically Amazon retest the psychological level at 2000.0. If the price will bounce from this level investors will see it as a buying opportunity. On the other hand, a drop below 2000.0 could accelerate the downturn. Alibaba has already warned this month about potential weakening earnings. The e-commerce giant warned of lower profit this quarter because the workers cannot get to their jobs.
Crude oil inventories report will be published today at 15.30 GMT. This quarter is crucial for oil prices since there is no agreement by OPEC+ on production cuts and there might be a big drop in global oil demand amid production halt in China.
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