US indices closed up on Monday, lifted by the Technology Hardware & Equipment (+1.39%), Energy (+1.06%) and Capital Goods (+0.84%) sectors. On the economic data front, Durable Goods Orders declined 2.0% for the November preliminary reading, missing the 1.5% consensus, down from a revised rise of 0.2% in the prior reading. New Home Sales fell to 719K for November, below the 732K estimate, up from a revised 710K in October.
On Tuesday, economists expect the Richmond Fed Manufacturing Index to release at 1 for December, up from -1 in November.
European markets are expected to start on a flat note.
Foreign Exchange
The US dollar was bearish against most of its major pairs on Monday, with the exception of the GBP. On the economic data front, Durable Goods Orders declined 2.0% for the November preliminary reading, missing the 1.5% consensus, down from a revised rise of 0.2% in the prior reading. New Home Sales fell to 719K for November, below the 732K estimate, up from a revised 710K in October. On Tuesday, economists expect the Richmond Fed Manufacturing Index to release at 1 for December, up from -1 in November.
The Euro was bullish against most of its major pairs with the exception of the NZD and AUD. In Europe, November Germany Import prices were released at +0.5% vs +0.4% expected.
The Australian dollar was bullish against most of its major pairs with the exception of the NZD.
Commodities
After the close of Wall Street, WTI Crude Future (FEB 20) was about flat to $60.7. The contract was above its 20D MA (@ $58.85) and above its 50D MA (@ $57.03).
Gold was up $7.4 to $1485.6. The precious metal was above its 20D MA (@ $1470) and above its 50D MA (@ $1477).
Copper Future (MAR 20) on Comex was about flat to 280.7c/lb. The contract was above its 20D MA (@ 274.03c) and above its 50D MA (@ 269.34c). In Europe, the London Metal Exchange reported its copper inventories decreased 3350 tons to 147750 tons.