General Market Comment 14.06.19

US indices closed higher on Thursday, boosted by shares in the Consumer Durables & Apparel (+1.51%), Automobiles & Components (+1.48%) and Media (+1.31%) sectors. On the economic data front, the Import Price Index decreased by 0.3% MoM in May (estimated 0.2%) compared with a 0.1% rise in the previous month. Initial Jobless Claims came to 222K in week ending June 8 (estimated 215K) compared with 219K in the previous week. Continuing Claims came to 1.695M for week ending June 1 (forecasted 1.66M) vs. 1.693M in the previous week. Lastly, the Bloomberg Consumer Comfort index reached 61.6 for week ending June 9 down from 61.7 for the previous week. The S&P 500 (2,891.64) stays above its 20d moving average (2,835.30 – positive slope) and its 50d moving average (2,873.67 – flat 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 Thursday except for the CAD, CHF and JPY. On the economic data front, the Import Price Index decreased by 0.3% MoM in May (estimated 0.2%) compared with a 0.1% rise in the previous month. Initial Jobless Claims came to 222K in week ending June 8 (estimated 215K) compared with 219K in the previous week. Continuing Claims came to 1.695M for week ending June 1 (forecasted 1.66M) vs. 1.693M in the previous week. Lastly, the Bloomberg Consumer Comfort index reached 61.6 for week ending June 9 down from 61.7 for the previous week.

The Euro was bearish against all of its major pairs with the exception of the AUD. In Europe, euro-zone industrial production fell by 0.5% in April, as expected, after a 0.4% decline in March. The German CPI index rose by 0.2% in May in final estimation, as anticipated, after a 1.% increase a month earlier. In The UK, the RICS House Price Balance index bounced to -10 in May (-21 expected) from -22 in April. 

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

Commodities

After the close of Wall Street, WTI Crude Future (JUL 19) was up $1 to $52.16. The contract was below its 20D MA (@ $56.66) and below its 50D MA (@ $60.69).

Gold was up $7.9 to $1341.6. The precious metal was above its 20D MA (@ $1305) and above its 50D MA (@ $1293).

Copper Future (JUL 19) on Comex was about flat to 265.6c/lb. The contract was below its 20D MA (@ 267.51c) and below its 50D MA (@ 279.05c). In Europe, the London Metal Exchange reported its copper inventories increased 37650 tons to 248550 tons.