ARGENTINA: Jan. Construction Activity and Industrial Production

• Stocks are paring losses late Wednesday, the Nasdaq underperforming amid heavy selling in semiconductor maker and software services shares. Currently, the DJIA trades up 133.65 points (0.27%) at 49373.95, S&P E-Mini Futures down 36.5 points (-0.53%) at 6905, Nasdaq down 364.3 points (-1.6%) at 22889.91.
• As noted, semiconductor and software services shares led midweek declines: Advanced Micro Devices falling -16.62% after falling short of analyst earnings estimates less optimistic guidance on AI-related demand. Meanwhile, AppLovin fell -15.68% as share holders seek an investigation over reports that "AppLovin and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices" according to Access Newswire.
• Other late day laggers included: Sandisk Corp -15.26%, Palantir Technologies -13.29%, Micron Technology -12.50%, Western Digital -11.19%, Amphenol -10.51%, Lam Research -9.80% and Applied Materials Inc -9.33%.
• Media and entertainment shares weighed on the Communication Services sector: Take-Two Interactive Software -5.89%, Fox Corp -3.23%, Meta Platforms -2.76% and Alphabet -2.30%.
• On the positive side, oil & gas shares rallied with crude prices (WTI +1.92 at 65.13) after Axios reported that plans for US/Iran talks on Friday are collapsing w/subject of nuclear weapons, missile program a non-starter: Phillips 66 +4.77%, Devon Energy +4.65%, Marathon Petroleum +4.21%, Coterra Energy +4.04% and EOG Resources +3.14%.
• Meanwhile earnings expected after the close include: Allstate Corp, McKesson Corp, Alphabet Inc, O'Reilly Automotive, Coherent Corp, Snap Inc and QUALCOMM.

• Crude markets have jumped after Axios reported that Iran-US talks are collapsing, raising the risk of conflict in the region.
• WTI Mar 26 is up by 3.1% at $65.2/bbl.
• The US told Iran on Wednesday that it will not agree to Tehran's demands to change the location and format of talks planned for Friday, two US officials told Axios.
• The report said that if the Iranians are willing to go back to the original format, the US is ready to meet this week or next week.
• A bull cycle in WTI futures remains intact, with key resistance and the bull trigger at $66.48, the Jan 30 high.
• A break of this level would open round number resistance at $68.00 next.
• Meanwhile, precious metals have unwound earlier gains as the US dollar rallied amid the risk-off tone.
• Spot gold briefly extended an impressive intraday pullback to print around $4,850 after reaching a $5,091 high overnight. Currently, spot gold is down by 0.2% at $4,936/oz.
• For gold, the next two resistance points to monitor are $5,139.9 and $5,314.0, Fibonacci retracement levels. A reversal lower would refocus attention on $4,403.0, the Feb 2 low.
• Similarly, silver briefly fell into negative territory, reaching a low of $83.3, down from an earlier session high around $92. Currently, silver is up by 1.5% at $86.4/oz.
• For silver, initial firm resistance is at $91.775, the 20-day EMA.

• RES 4: 159.45 High Jan 14 and the bull trigger 
• RES 3: 159.23 High Jan 23
• RES 2: 157.72 76.4% retracement of the Jan 14 - 27 bear leg 
• RES 1: 156.86 High Feb 04
• PRICE: 156.57 @ 16:53 GMT Feb 4  
• SUP 1: 154.55/152.10 Low Feb 2 / Low Jan 27 and the bear trigger 
• SUP 2: 151.98 38.2% of the Apr 22 ‘25 - Jan 14 bull cycle 
• SUP 3: 151.54 Low Oct 29 ‘25
• SUP 4: 150.99 Trendline support drawn from the Apr 22 ‘25 low 

USDJPY is trading higher as the pair extends the recovery from the Jan 27 low. This week’s gains have resulted in a breach of resistance around the 50-day EMA, at 155.75. The break undermines the recent bear theme and highlights a stronger short-term bull cycle. Sights are on 157.72, a Fibonacci retracement point. On the downside, a reversal would expose the key support at 152.10, the Jan 27 low.