U.S. indices closed higher on Tuesday lifted by shares in the Telecommunication Services (+1.46%), Banks (+1.45%) and Energy (+1.45%) sectors. On the economic data front, housing starts dropped 8.7% MoM to 1.162M in February (estimated 1.21M) from 1.273M in January and building permits declined 1.6% MoM to 1.296M (forecasted 1.305M) from 1.317M. In other news, the FHFA house price index rose 0.6% MoM in January (expected +0.4%). Finally, the Conference Board Consumer Confidence Index declined to 124.1 in March (estimated 132.5) from 131.4 in February. The S&P 500 (2,818.46) stays above both its 20d moving average (2,800.27 – flat slope) and 50d moving average (2,742.68 – positive slope).
European markets are expected to start on a flat note.
Foreign Exchange
The US dollar was bearish against all of its major pairs on Tuesday with the exception of the CHF, the JPY and the EUR. On the economic data front, housing starts decreased by 8.7% MoM to 1.162M in February (estimated 1.21M) from 1.273M in January. Also, building permits declined by 1.6% MoM to 1.296M in February (forecasted 1.305M) compared to 1.317M a month earlier. In other news, the FHFA house price index improved by 0.6% MoM in January (expected 0.4%) vs. 0.3% in the previous month. Finally, the Conference Board consumer confidence index decreased to 124.1 in March (estimated 132.5) from 131.4 in February.
The Euro was bearish against all of its major pairs with the exception of the JPY. The Germany GfK advanced consumer confidence index fell to 10.4 for April (10.8 expected) from 10.7 a month earlier. French GDP growth was revised to 1% for 4Q on a yearly basis vs +0.9% in previous estimation.
The Australian dollar was higher against all of its major pairs.
Commodities
After the close of Wall Street, WTI Crude Future (MAY 19) was up $1.2 to $60.06. The contract was above its 20D MA (@ $58.13) and above its 50D MA (@ $56.04).
Gold was down $6 to $1315.8. The precious metal was above its 20D MA (@ $1303) and above its 50D MA (@ $1307).
Copper Future (MAY 19) on Comex was about flat to 286.5c/lb. The contract was below its 20D MA (@ 290.97c) and above its 50D MA (@ 283.33c). In Europe, the London Metal Exchange reported its copper inventories decreased 1525 tons to 172275 tons.