General Market Comment

General Market Comment

US indices closed higher on Tuesday as the Dow reached a new record-high. Shares in the Consumer Durables & Apparel (-1.58%), Retailing (-1.57%) and Automobiles & Components (-1.07%) sectors were under pressure while shares in the Utilities (+1.29%), Telecommunication Services (+1.21%) and Food & Staples Retailing (+0.86%) sectors gained momentum. The S&P 500 (2,923.43) remains above its 20d moving average (2,903.99 – positive slope) and 50d moving average (2,872.96 – positive slope).

European markets are expected to start on a flat note.

Foreign Exchange

The US dollar was bullish against most of its major pairs on Tuesday with the exception of the JPY. On the economic data front, there was no news to report.

The Euro was bearish against most of its major pairs with the exception of the AUD and the GBP. Euro zone PPI increased 0.3% in August (+0.2% expected) after a 0.7% rise the month before (revised from +0.4%).

The Australian dollar was lower against all of its major pairs.

Commodities

After the close of Wall Street, WTI Crude Future (NOV 18) was about flat to $75.14. The contract was above its 20D MA (@ $70.46) and above its 50D MA (@ $68.46). The 14d RSI above 70 (72.91) indicates WTI Crude Future (NOV 18) was overbought.

Gold was up $14.3 to $1203.4. The precious metal was above its 20D MA (@ $1198) and above its 50D MA (@ $1202).

Copper Future (DEC 18) on Comex was up 1.4c to 280.15c/lb. The contract was above its 20D MA (@ 272.48c) and above its 50D MA (@ 273.38c). In Europe, the London Metal Exchange reported its copper inventories decreased 2525 tons to 196600 tons.