Author: Specialist

U.S. indices closed slightly lower after reaching a record high earlier in the day on Friday pressured by shares in the Real Estate (-1.1%), Consumer Services (-0.88%) and Insurance (-0.78%) sectors. On the economic data front, Market Manufacturing PMI dropped to 50.1 for June in preliminary estimates (estimated 50.5) from 50.5 in the prior month. Also, existing home sales rose to annualized rate of 5.34M in May (estimated 5.30M) from 5.21M in the previous month. The S&P 500 (2,950.46) stays above its 20d moving average (2,855.63 – positive slope) and its 50d moving average (2,878.03 – positive slope).

European markets are expected to start on a flat note. read more

BRENT Crude Technical Snap (Daily)

Pivot: 64.00 Our preference: long positions above 64.00 with targets at 65.00 & 65.75 in extension. Alternative scenario: below 64.00 look for further downside with 63.60 & 63.10 as targets. Comment: technically the RSI is above its neutrality area at 50.

Today’s Economic Events

07:45 FR 1Q F Wages (QoQ) exp: NA prev: 0.7%
08:15 FR JUN P Markit Composite PMI exp: 51.6 prev: 51.2
08:15 FR JUN P Markit Manufacturing PMI exp: 50.8 prev: 50.6
08:15 FR JUN P Markit Services PMI exp: 51.8 prev: 51.5
09:00 EU JUN P Markit Composite PMI exp: 51.9 prev: 51.8
09:00 EU JUN P Markit Manufacturing exp: 47.9 prev: 47.7
09:00 EU JUN P Markit Services PMI exp: 52.9 prev: 52.9
09:30 UK MAY Public Finances (PSNCR) (B GBP) exp: NA prev: -7.1
09:30 UK MAY Public Sector Net Borrowing (B GBP) exp: 4.2 prev: 5
14:45 US JUN P Markit Composite PMI exp: NA prev: 50.9
14:45 US JUN P Markit Manufacturing PMI exp: 50.6 prev: 50.5
14:45 US JUN P Markit Services PMI exp: 51.3 prev: 50.9
15:00 US MAY Existing Home Sales (M) exp: 5.3 prev: 5.2 read more

U.S. indices pushed higher on Thursday with the S&P 500 posting a record close lifted by shares in the Energy (+2.21%), Capital Goods (+1.95%) and Software & Services (+1.74%) sectors. On the economic data front, the current account deficit posted $130.4B in 1Q (estimated $124.3B) compared with $143.9B in the previous quarter. Initial jobless claims fell to 216K for week ending June 15 (estimated 220K) from 222K in the prior week and continuing claims dropped to 1.662M in week ending June 8 (estimated 1.680M) from 1.699M in the previous week. Lastly, the Leading Index was flat MoM in May (estimated +0.1%). The S&P 500 (2,954.18) stays above its 20d moving average (2,849.22 – positive slope) and its 50d moving average (2,876.78 – positive slope).

European markets are expected to start on a flat note. read more

BRENT Crude Technical Snap (Daily)

Pivot: 61.75 Our preference: long positions above 61.75 with targets at 62.85 & 63.70 in extension. Alternative scenario: below 61.75 look for further downside with 61.40 & 60.90 as targets. Comment: the RSI is bullish and calls for further upside.

Today’s Economic Events

09:30 UK MAY Retail Sales (MoM) exp: -0.5% prev: -0.2%
12:00 UK BoE: Rates decision exp: 0.75% prev: 0.75%
13:30 US JUN Philadelphia Fed. exp: 10.1 prev: 16.6
13:30 US W23 Initial Jobless Claims (k) exp: 220 prev: 222
15:00 EC JUN A Euro-Zone: Consumer Confidence exp: -6.5 prev: -6.5
15:00 US MAY Leading Indicators exp: 0.1% prev: 0.2%

U.S. indices closed higher lifted by shares in the Health Care Equipment & Services (+1.07%), Pharmaceuticals, Biotechnology & Life Sciences (+0.86%) and Software & Services (+0.82%) sectors. The U.S. Federal Reserve held interest rates at 2.25% – 2.50% unchanged (as expected), though stating that uncertainties on the outlook have increased and “will act as appropriate”. Also, the central bank’s economic projection showed that there were 8 out of 17 members forecasting lower rates by the end of 2019. The S&P 500 (2,929.46) stays above its 20d moving average (2,844.32 – positive slope) and its 50d moving average (2,875.26 – positive slope).

European markets are expected to start on a positive note. read more

BRENT Crude Technical Snap (Daily)

Pivot: 61.80 Our preference: long positions above 61.80 with targets at 62.50 & 62.85 in extension. Alternative scenario: below 61.80 look for further downside with 61.35 & 61.00 as targets. Comment: the RSI is mixed to bullish.

Today’s Economic Events

07:00 GE MAY Producer Price Index (MoM) exp: 0.1% prev: 0.5%
09:30 UK MAY CPI – EU Harmonised (MoM) exp: 0.3% prev: 0.6%
09:30 UK MAY PPI – Input (MoM) exp: 0.2% prev: 1.1%
09:30 UK MAY PPI – Output (MoM) exp: 0.2% prev: 0.3%
15:30 US W23 Crude Oil Inventories (WoW chg) exp: NA prev: 2206
19:00 US Fed: Rates decision exp: 2.5% prev: 2.5%

U.S. indices rallied on Tuesday lifted by shares in the Semiconductors & Semiconductor Equipment (+4.17%), Capital Goods (+2.42%) and Technology Hardware & Equipment (+2.13%) sectors. President Donald Trump said he will meet with Chinese president Xi Jinping, at the upcoming G-20 summit. Sentiment was also boosted with anticipation that the Fed will ease monetary policy later this year. On the economic data front, housing starts dropped 0.9% MoM to 1.269M in May (vs 1.239M estimated) while building permits rose 0.3% MoM to 1.294M (vs 1.292M expected). The S&P 500 (2,917.75) stays above its 20d moving average (2,841.21 – positive slope) and its 50d moving average (2,843.65 – positive slope).


European markets are expected to start on a flat note. read more