U.S. indices closed mixed on Wednesday. Shares in the Utilities (-1.38%), Semiconductors & Semiconductor Equipment (-1.2%) and Telecommunication Services (-0.58%) sectors were in the red while shares in the Household & Personal Products (+0.29%), Health Care Equipment & Services (+0.22%) and Software & Services (+0.14%) sectors ended on a positive note. The S&P 500 (2,879.42) stays below its 20d moving average (2,915.44 – flat slope) but remains above 50d moving average (2,856.46 – positive 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 Wednesday with the exception of the JPY. On the economic data front, MBA mortgage applications improved by 2.7% in week ended May 3rd from a decline of 4.3% a week earlier.
The Euro was bullish against all of its major pairs with the exception of the JPY. The German industrial production was up by 0.5% in March (-0.5% expected) after a 0.4% rise a month earlier (revised from +0.7%). According to Halifax, UK house prices increased 1.1% in April (+0.1% expected) after a 1.6% drop in March.
The Australian dollar was lower against all of its major pairs except for the NZD and the JPY.
Commodities
After the close of Wall Street, WTI Crude Future (JUN 19) was up $0.6 to $61.97. The contract was below its 20D MA (@ $63.73) and above its 50D MA (@ $61.28). The US Department of Energy reported that, for the week ended 3 May, crude oil inventories fell 3963k barrels compared to the previous week.
Gold was down $3.8 to $1280.7. The precious metal was above its 20D MA (@ $1280) and below its 50D MA (@ $1292).
Copper Future (JUL 19) on Comex was down 1.5c to 277.05c/lb. The contract was below its 20D MA (@ 288.18c) and below its 50D MA (@ 290.29c). In Europe, the London Metal Exchange reported its copper inventories decreased 2875 tons to 227200 tons.