General Market Comment
US indices closed sharply higher on Monday lifted by shares in the Banks (+2.73%), Insurance (+2.16%) and Transportation (+1.97%) sectors as trade war concerns between the U.S. and global trading partners calmed. The S&P 500 (2,784.17) remains above its 20d moving average (2,750.50 – flat slope) and 50d moving average (2,726.26 – positive slope). European markets are expected to start on a flat note.
Foreign Exchange
The US dollar was mixed against its pairs on Monday. No major economic data was released.
The Euro was bullish against its major pairs with exception of the NZD and the AUD. Germany trade excess narrowed to E19.7B in May from E20.1B in April. Exports rose 1.8% while imports increased by 0.7%.
The Australian dollar was bullish against all of its major pairs.
Commodities
After the close of Wall Street, WTI Crude Future (AUG 18) was about flat to $74.06. The contract was above its 20D MA (@ $69.43) and above its 50D MA (@ $69.01).
Gold was up $2.6 to $1257.8. The precious metal was below its 20D MA (@ $1267) and below its 50D MA (@ $1288).
Copper Future (SEP 18) on Comex was up 4.6c to 286.95c/lb. The contract was below its 20D MA (@ 304.67c) and below its 50D MA (@ 309.4c). The 14d RSI below 30 (26.31) indicates Copper Future (SEP 18) contract was oversold. In Europe, the London Metal Exchange reported its copper inventories decreased 4925 tons to 270550 tons.