U.S. indices closed higher on Tuesday, led by shares in the Semiconductors & Semiconductor Equipment (+2.86%), Insurance (+1.75%) and Banks (+1.35%) sectors. On the economic data front, industrial production declined 0.1% MoM in March (estimated +0.2%, +0.1% in February) and capacity utilization fell to 78.8% (forecasted 79.2%) from 79.0%. Also, the NAHB housing market index rose to 63 in April from 62 a month earlier. The S&P 500 (2,907.06) stays above both its 20d moving average (2,860.12 – positive slope) and 50d moving average (2,808.90 – positive slope).
European markets are expected to start on a flat note.
Foreign Exchange
The US dollar was bullish against all of its major pairs on Tuesday with the exception of the CAD. On the economic data front, industrial production declined by 0.1% in March (estimated +0.2%) from an improvement of 0.1% in February. Capacity Utilization reached 78.8% in March (forecasted 79.2%) from 79% a month earlier. Finally, the NAHB housing market index slightly increased to 63 in April vs. 62 a month earlier.
The Euro was bearish against all of its major pairs with the exception of the GBP and the CHF. The German ZEW investor confidence index for expectations bounced to 3.1 for April (0.5 expected) from -3.6 a month earlier. the UK ILO unemployment rate was flat at 3.9% for the December-February period, as anticipated.
The Australian dollar was higher against all of its major pairs except for the CAD.
Commodities
After the close of Wall Street, WTI Crude Future (MAY 19) was up $0.8 to $64.17. The contract was above its 20D MA (@ $61.84) and above its 50D MA (@ $58.66).
Gold was down $11.7 to $1276.2. The precious metal was below its 20D MA (@ $1299) and below its 50D MA (@ $1305).
Copper Future (MAY 19) on Comex was about flat to 293.4c/lb. The contract was above its 20D MA (@ 290.64c) and above its 50D MA (@ 289.47c). In Europe, the London Metal Exchange reported its copper inventories decreased 1250 tons to 190500 tons.