Oil tumbled to its lowest level since January yesterday on concerns that the Federal Reserve will continue to aggressively raise rates and as investors weighed the impact of the price cap on Russian crude. Brent dipped below USD 80 for the first time since 3 January yesterday, falling 3.6% during trading. Meanwhile, US crude fell 3.8% to its lowest level since December 2021, reaching USD 74.47 a barrel.

This was the third consecutive day that prices have fallen by more than 1% on the back of a string of bad news for the market. “It's been quite the three days — with OPEC+ deciding not to further cut production on Sunday, the toothless start of the Russian price cap and sanctions yesterday, and a rout in equity markets today, oil speculators are charging for the exits amid a flight from risk assets,” a Kpler analyst told Reuters. The Financial Times and Bloomberg also have the story.

US stocks tumbled again yesterday as traders continued to fret about rising interest rates and bank CEOs warned of an oncoming recession, according to Bloomberg. Stronger-than-expected data out earlier this week stoked fears that the Fed may continue raising rates for longer, triggering a sell-off on Monday that continued in yesterday’s session. The S&P 500 finished in the red for the fourth straight session, falling 1.4%. Tech stocks were particularly hard hit, with the Nasdaq losing 2% and only two companies seeing gains.

Bank CEOs warn of recession: Coming on the same day that Morgan Stanley announced a fresh round of job cuts, stocks were also hit by JPMorgan CEO Jamie Dimon warning of a “mild to hard recession” in 2023 in an interview with CNBC and Morgan Stanley Wealth Management’s Lisa Shalett forecasting a larger-than-expected drop in earnings next year due to higher inflation and slowing growth.

It’s a sea of red in Asia this morning where shares are picking up where Wall Street left off yesterday. It’s a more mixed picture in the Western markets, with US shares currently poised to see early gains later today but most European markets to open in the red.

	EGX30	14,498	+1.2% (YTD: +21.3%)
	USD (CBE)	Buy 24.58	Sell 24.66
	USD at CIB	Buy 24.58	Sell 24.64
	Interest rates CBE	13.25% deposit	14.25% lending
	Tadawul	10,444	+0.2% (YTD: -7.4%)
	ADX	10,408	-0.6% (YTD: +22.6%)
	DFM	3,340	-0.4% (YTD: +4.5%)
	S&P 500	3,941	-1.4% (YTD: -17.3%)
	FTSE 100	7,521	-0.6% (YTD: +1.9%)
	Euro Stoxx 50	3,939	-0.4% (YTD: -8.4%)
	Brent crude	USD 79.73	-3.6%
	Natural gas (Nymex)	USD 5.38	-3.5%
	Gold	USD 1,783.60	+0.1%
	BTC	USD 16,994	+0.1% (YTD: -63.2%)

THE CLOSING BELL-

The EGX30 rose 1.2% yesterday on turnover of EGP 2.65 bn (48.6% above the 90-day average). International investors were net sellers. The index is up 21.3% YTD.

In the green: Elsewedy Electric (+9.4%), Sidi Kerir Petrochemicals (+9.2%) and Ibnsina Pharma (+5.9%).

In the red: Telecom Egypt (-2.6%), e-Finance (-2.4%) and Eastern Company (-1.7%).