Market Comment
US indices closed mixed to finish the week on Friday. Shares in the Banks (-1.15%), Retailing (-0.81%) and Consumer Durables & Apparel (-0.77%) sectors ended on a negative note while shares in the Energy (+2.2%), Media (+1.51%) and Materials (+1.38%) sectors gained momentum. On the economic data front, Markit manufacturing PMI decreased at a preliminary estimate of 54.6 in June (estimated 56.1) from 56.4 in May. The S&P 500 (2,754.88) is below its 20d moving average (2,755.37 – positive slope), which stands above its 50d moving average (2,714.83 – positive slope).
European markets are expected to open on a negative note.
Foreign Exchange
The US dollar was bearish against all of its major pairs on Friday. On the economic data front, Markit manufacturing PMI decreased at a preliminary estimate of 54.6 in June (estimated 56.1) from 56.4 in May.
The Euro was bullish against its major pairs with the exception of NZD and AUD. Euro zone PMI composite index unexpectedly bounced to 54.8 in June in first estimation, its highest level in two months, from 54.1 in May. It was expected to be 53.9.
The Australian dollar was bullish against all of its major pairs.
Commodities
After the close of Wall Street, WTI Crude Future (AUG 18) was up $3.8 to $69.34. The contract was above its 20D MA (@ $66.16) and above its 50D MA (@ $67.89).
Gold was up $2.8 to $1270. The precious metal was below its 20D MA (@ $1290) and below its 50D MA (@ $1305).
Copper Future (SEP 18) on Comex was up 1.1c to 305.5c/lb. The contract was below its 20D MA (@ 316.66c) and below its 50D MA (@ 313.88c). In Europe, the London Metal Exchange reported its copper inventories decreased 1700 tons to 305975 tons.