- U.S. futures, European shares fluctuate around neutral levels ahead of earnings, Fed speakers
- Dollar climbs, euro falls, pound tumbles to lowest price in over a year on no-deal Brexit risks
- Oil slips below $60 but remains in uptrend
- U.S. equities hit new record closes
Shares in Europe and futures on the , and meandered this morning, following a mixed Asian session as traders switched on the autopilot ahead of some key earnings releases as well as speeches from several Fed members that could add insight into the possibility of a rate cut being implemented as soon as the next monetary policy meeting at the end of the month.
The traded within a narrow range since it fell below its ascending channel since the early June bottom. Gains in chemical stocks offset a selloff in real estate shares.
A vacuum of market news resulted in a mixed equity performance in the earlier Asian session, which closed little changed but mostly higher.
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Japan’s (-0.69%) underperformed as it re-opened after a holiday. Technically, the price closed below both the uptrend line and the 200 DMA, while trading within a bullish falling flag. South Korea’s (+0.45%) provided the best results in the region—even against a strengthening won—ahead of the Bank of Korea’s during the week. Technically, the found resistance below the downtrend line since the May 21 high.
Global Financial Affairs
Yesterday, U.S. equities gained ground to post yet new records on the back of a technology rally. The hit a fresh record close eking out a 0.02% gain, with defensive (+0.40%) outperforming. However, cyclical (+0.28%) also led gains, offsetting a 0.9% drop in stocks—which tracked the price of oil slipping below $60—and a 0.56% decline in on the outlook for lower interest rates.
The posted a 0.1% advance to a fresh record close as well. The closed 0.17% higher, giving up a new all-time high before the close. The rallied 0.30% to both an all-time high and a record close.
DXY Daily Chart
The USD gained for a second straight day, bouncing off the 200 DMA, even as a rebound in yields faded after yesterday’s drop. The is retesting the top of its short-term channel top since the May 23 high and the uptrend line since the September bottom. Helping the greenback higher were Brexit woes affecting both the and the pound.
GBP Daily Chart
in particular fell to the lowest level since April 2017 as Brexit negotiations soured after U.K. leadership contenders Boris Johnson and Jeremy Hunt ramped up the odds of a no-deal departure from the 28-nation bloc.
WTI Daily Chart
slid below the psychological $60 level, but remained above the 50 DMA and within an uptrend.
- JPMorgan Chase & Co (NYSE:), Bank of America (NYSE:), Goldman Sachs Group (NYSE:) and Taiwan Semiconductor Manufacturing (NYSE:) are among companies due to report results this week.
Canadian and for May are released Tuesday.
The Canadian for June is released Wednesday.
Canadian for May are released Wednesday.
- U.S. June , due on Tuesday, are expected to rise from the prior month.
- Monetary policy decisions are due in , South Korea and on Thursday.
- West Texas Intermediate crude declined 0.3% to $59.43 a barrel, the lowest in a week.
- gained 0.4% to $116.97 per metric ton, the highest in almost two weeks.
- climbed less than 0.05% to $1,414.35 an ounce.
- fell 0.5% to $9.16 a bushel.