U.S. indices closed lower on Friday, pressured by shares in the Semiconductors & Semiconductor Equipment (-2.43%), Technology Hardware & Equipment (-1.21%) and Automobiles & Components (-0.88%) sectors. On the economic data front, retail sales increased 0.5% MoM in May (estimated +0.6%, +0.3% in April). Industrial Production rose 0.4% MoM in May (estimated +0.2%, -0.4% in April). Lastly, the University of Michigan Sentiment Index fell to 97.9 in June (estimated 98.0) from 100.0 in May. The S&P 500 (2,886.98) stays above its 20d moving average (2,835.83 – flat slope) and its 50d moving average (2,873.94 – flat slope).
European markets are expected to open on a positive note.
Foreign Exchange
The US dollar was bullish against all of its major pairs on Friday. On the economic data front, Retail Sales Advance increased by 0.5% MoM in May (estimated 0.6%) compared with 0.3% for the previous month. Industrial Production increased by 0.4% MoM for May (estimated 0.2%) vs. a decrease of 0.4% for the previous month. Lastly the University of Michigan Sentiment Index lowered to 97.9 in June for preliminary estimates (estimated 98) compared to 100 for the prior month.
The Euro was bullish against all of its major pairs with the exception of the CHF, USD and JPY. In Europe, the French CPI index growth was revised down at +0.1% in May in final reading vs +0.2% in first one and +0.3% in April.
The Australian dollar was bearish against all of its major pairs with the exception of the NZD.
Commodities
After the close of Wall Street, WTI Crude Future (JUL 19) was about flat to $52.52. The contract was below its 20D MA (@ $56.14) and below its 50D MA (@ $60.49).
Gold was about flat to $1341.1. The precious metal was above its 20D MA (@ $1308) and above its 50D MA (@ $1294).
Copper Future (JUL 19) on Comex was down 2.6c to 263.05c/lb. The contract was below its 20D MA (@ 266.93c) and below its 50D MA (@ 278.41c). In Europe, the London Metal Exchange reported its copper inventories increased 3875 tons to 252425 tons.