General Market Comment
US indices closed lower on Monday, pressured by shares in the Semiconductors & Semiconductor Equipment (-2.5%), Software & Services (-1.32%) and Capital Goods (-1.31%) sectors. On the economic data front, the Chicago federal national activity index improved to 0.27 in December from 0.21 in the previous month. In other news, the Dallas federal manufacturing activity index increased to 1 in January (forecasted -2.7) vs. -5.1 in December. The S&P 500 (2,643.85) stays above its 20d moving average (2,586.13 – positive slope) and 50d moving average (2,612.23 – negative slope).
European markets are expected to open on a flat note.
Foreign Exchange
The US dollar was mixed against its major pairs on Monday. On the economic data front, the Chicago federal national activity index improved to 0.27 in December from 0.21 in the previous month. In other news, the Dallas federal manufacturing activity index increased to 1 in January (forecasted -2.7) vs. -5.1 in December.
The Euro was bullish against all of its major pairs. The euro-zone M3 money supply growth was 4.1% YoY in December (+3.8% expected) vs +3.7% in November.
The Australian dollar was lower against most of its major pairs with the exception of the CAD.
Commodities
After the close of Wall Street, WTI Crude Future (MAR 19) was down $1.6 to $52.14. The contract was above its 20D MA (@ $50.86) and above its 50D MA (@ $51.2).
Gold was about flat to $1303.6. The precious metal was above its 20D MA (@ $1288) and above its 50D MA (@ $1261).
Copper Future (MAR 19) on Comex was down 4.1c to 268.75c/lb. The contract was above its 20D MA (@ 265.59c) and below its 50D MA (@ 271.3c). In Europe, the London Metal Exchange reported its copper inventories increased 200 tons to 146475 tons