Investing.com | Jul 16, 2019 06:49
Shares in Europe and futures on the S&P 500, Dow and NASDAQ 100 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 STOXX 600 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.
All charts powered by TradingView
Japan’s Nikkei (-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 KOSPI (+0.45%) provided the best results in the region—even against a strengthening won—ahead of the Bank of Korea’s rate decision during the week. Technically, the USD/KRW found resistance below the downtrend line since the May 21 high.
h2 Global Financial Affairs/h2Yesterday, U.S. equities gained ground to post yet new records on the back of a technology rally. The S&P 500 hit a fresh record close eking out a 0.02% gain, with defensive Utilities (+0.40%) outperforming. However, cyclical Technology (+0.28%) also led gains, offsetting a 0.9% drop in Energy stocks—which tracked the price of oil slipping below $60—and a 0.56% decline in Financials on the outlook for lower interest rates.
The Dow Jones Industrial Average posted a 0.1% advance to a fresh record close as well. The NASDAQ Composite closed 0.17% higher, giving up a new all-time high before the close. The NASDAQ 100 rallied 0.30% to both an all-time high and a record close.
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 Dollar Index 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 euro and the pound.
Sterling in particular fell to the lowest level since April 2017 as Brexit negotiations
WTI crude slid below the psychological $60 level, but remained above the 50 DMA and within an uptrend.
h2 Up Ahead/h2Canadian Foreign Securities Purchases and Foreign Securities Purchases by Canadians for May are released Tuesday.
The Canadian Consumer Price Index for June is released Wednesday.
Canadian Manufacturing Sales for May are released Wednesday.
Stocks
Canada’s S&P/TSX Composite closed up 0.14 percent on Monday.
Currencies
The Canadian loonie was up 0.09 percent against the U.S. greenback early Tuesday, trading at 0.7669.
Bonds
Canada’s 10-year yield was up early Tuesday at 1.65, a 1.44-percent increase.
Commodities
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.