U.S. indices closed mixed on Thursday. Shares in the Energy (-1.18%), Telecommunication Services (-1.17%) and Banks (-1.15%) sectors were under pressure while shares in the Household & Personal Products (+1.18%), Consumer Services (+1.09%) and Semiconductors & Semiconductor Equipment (+0.74%) sectors ended on a positive note. On the economic data front, annualized GDP increased 3.1% QoQ in second estimate for 1Q (vs +3.0% expected, +3.1% in first estimate). Initial jobless claims rose to 215K in week ended May 25 (estimated 214K) from 212K in the prior week while continuing claims declined to 1.657M in week ended May 18 (forecasted 1.662M) from 1.683M a week earlier. In other news, wholesale inventories increased by 0.7% MoM in a preliminary estimate in April (expected +0.1%). The S&P 500 (2,788.86) stays below both its 20d moving average (2,856.39 – negative slope) and 50d moving average (2,871.66 – negative slope).
European markets are expected to start on a negative note.
Foreign Exchange
The US dollar was bullish against all of its major pairs on Thursday with the exception of the CAD. On the economic data front, annualized GDP increased to 3.1% in a second reading for 1Q (estimated 3%) from 2.2% in 4Q. Initial jobless claims reached 215k in week ended May 25th (estimated 214k) from 212k in the prior week while continuing claims declined to 1.657M in week ended May 18th (forecasted 1.662M) vs. 1.683M a week earlier. In other news, wholesale inventories increased by 0.7% MoM in a preliminary estimate in April (expected 0.1%) compared to a flat level in March. Finally, the Bloomberg consumer comfort index slightly improved to 60.8 in week ended May 26th vs. 60.3 a week earlier.
The Euro was bullish against most of its major pairs with the exception of the CAD. In Europe, there was no major economic data yesterday.
The Australian dollar was lower against all of its major pairs.
Commodities
After the close of Wall Street, WTI Crude Future (JUL 19) was down $2.3 to $56.55. The contract was below its 20D MA (@ $61.19) and below its 50D MA (@ $62.21). The 14d RSI below 30 (29.15) indicates WTI Crude Future (JUL 19) was oversold. The US Department of Energy reported that, for the week ended 24 May, crude oil inventories fell 282k barrels compared to the previous week.
Gold was up $9 to $1288.7. The precious metal was above its 20D MA (@ $1284) and above its 50D MA (@ $1287).
Copper Future (JUL 19) on Comex was down 1.5c to 264.85c/lb. The contract was below its 20D MA (@ 273.58c) and below its 50D MA (@ 283.96c). The 14d RSI below 30 (28.15) indicates Copper Future (JUL 19) contract was oversold. In Europe, the London Metal Exchange reported its copper inventories increased 27450 tons to 212450 tons