Market Comment
US indices closed higher on Tuesday, led by shares in the Energy (+1.4%), Retailing (+1.07%) and Technology Hardware & Equipment (+0.96%) sectors. On the economic data front, the Conference Board consumer confidence index fell to 126.4 in June, below the estimate of 128, from 128 previously. In addition, the Richmond Federal manufacturing index increased to 20 in June (expected 15) from 16 in the prior month. The S&P 500 (2,723.06) is below its 20d moving average (2,756.82 – positive slope) but stands above its 50d moving average (2,716.95 – positive slope).
European markets are expected to open on a positive note.
Foreign Exchange
The US dollar was higher against all of its major pairs on Tuesday. On the economic data front, the Conference Board consumer confidence index fell to 126.4 in June, below the estimate of 128, from 128 previously. In addition, the Richmond Federal manufacturing index increased to 20 in June (expected 15) from 16 in the prior month.
The Euro was bearish against its major pairs with the exception of the NZD and the GBP. No major economic stat was released in Europe yesterday.
The Australian dollar was bullish against its major pairs with the exception of the CAD and the USD.
Commodities
After the close of Wall Street, WTI Crude Future (AUG 18) was up $2.4 to $70.45. The contract was above its 20D MA (@ $66.32) and above its 50D MA (@ $68).
Gold was down $7.1 to $1258.6. The precious metal was below its 20D MA (@ $1287) and below its 50D MA (@ $1301). The 14d RSI below 30 (24.22) indicates gold was oversold.
Copper Future (SEP 18) on Comex was about flat to 301.75c/lb. The contract was below its 20D MA (@ 315.85c) and below its 50D MA (@ 313.43c). In Europe, the London Metal Exchange reported its copper inventories decreased 2425 tons to 303100 tons.