Author: Specialist

US indices closed higher on Tuesday as the Dow jumped over 512 points. Shares in the Automobiles & Components (+4.65%), Semiconductors & Semiconductor Equipment (+4.3%) and Consumer Durables & Apparel (+4.18%) sectors gained momentum. On the economic data front, factory orders declined by 0.8% in April (estimated -1%) from an increase of 1.3% in March. Durable goods orders decreased by 2.1% in April vs. a rise of 2.6% a month earlier. 

The S&P 500 (2,803.27) stays below both its 20d moving average (2,831.59 – negative slope) and 50d moving average (2,868.06 – flat slope).

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

The scenes for base oil markets in Europe, the Middle East and Africa have become more varied recently with Europe turning relatively more stable while prices fluctuate in the Middle East and Africa based on local conditions.

Prices for European Group l exports have firmed a little, mainly due to availability being restricted by suppliers that appear to maximizing sales into local markets where margins are higher and where sales can be spread over a wider spectrum of buyers. Refiners also have shifted feedstock from base oils to production of diesel, where margins are more appealing. read more

BRENT Crude Technical Snap (Daily)

Pivot: 62.00 Our preference: short positions below 62.00 with targets at 60.00 & 59.20 in extension. Alternative scenario: above 62.00 look for further upside with 62.70 & 63.25 as targets. Comment: the RSI calls for a drop.

Today’s Economic Events

07:45 FR APR Central Govt. Balance (B EUR) exp: NA prev: -40.7
10:00 EC APR Euro-Zone: Unemployment Rate exp: 7.7% prev: 7.7%
15:00 US APR F Durable Goods Ex Transportation exp: NA prev: 0%
15:00 US APR F Durable Goods Orders exp: NA prev: -2.1%
15:00 US APR Factory Orders exp: -1% prev: 1.9%

US indices closed mixed on Monday. Shares in the Media (-4.07%), Software & Services (-2.68%) and Retailing (-2.11%) sectors were under pressure while shares in the Telecommunication Services (+2.62%), Materials (+1.97%) and Automobiles & Components (+1.81%) sectors gained traction. On the economic data front, Markit US manufacturing PMI declined to 50.5 in May (estimated 50.6) from 52.6 in April. ISM manufacturing slightly decreased to 52.1 in May (forecasted 53) compared to 52.8 a month earlier. In other news, construction spending remained flat MoM in April (expected 0.4%) vs. 0.1% in March. 

The S&P 500 (2,744.45) stays below both its 20d moving average (2,838.05 – negative slope) and 50d moving average (2,868.01 – negative slope).


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

BRENT Crude Technical Snap (Daily)

Pivot: 62.00 Our preference: short positions below 62.00 with targets at 60.55 & 60.00 in extension. Alternative scenario: above 62.00 look for further upside with 62.70 & 63.25 as targets. Comment: the RSI is bearish and calls for further decline.

Today’s Economic Events

US MAY Total Vehicule Sales (M) exp: 16.8 prev: 16.4
08:50 FR MAY F Markit Manufacturing PMI exp: 50.3 prev: 50.6
09:00 EU MAY F Markit Manufacturing exp: 47.7 prev: 47.7
14:45 US MAY F Markit Manufacturing PMI exp: NA prev: 50.6
15:00 US APR Construction Spending (MoM) exp: 0.4% prev: -0.9%
15:00 US MAY ISM – Manufacturing exp: 53.2 prev: 52.8
15:00 US MAY ISM – Price Paid exp: NA prev: 50

US indices closed lower on Friday after Trump threatens to impose new tariffs on Mexico. Shares in the Telecommunication Services (-4.15%), Automobiles & Components (-3.82%) and Technology Hardware & Equipment (-2.16%) sectors closed lower. On the economic data front, personal income increased by 0.5% in April (estimated 0.3%) from 0.1% in March while personal spending improved by 0.3% in April (forecasted 0.2%) compared to 1.1% a month earlier. Also, the MNI Chicago PMI increased to 54.2 in May (expected 54) vs. 52.6 in April. In other news, the University of Michigan sentiment index decreased to 100 in May (estimated 101.5) from 97.2 in April. 

The S&P 500 (2,752.06) stays below both its 20d moving average (2,848.11 – negative slope) and 50d moving average (2,870.22 – negative slope).

European markets are expected to open on a negative note. read more

BRENT Crude Technical Snap (Daily)

Pivot: 67.25 Our preference: short positions below 67.25 with targets at 65.20 & 64.60 in extension. Alternative scenario: above 67.25 look for further upside with 68.10 & 68.60 as targets. Comment: the RSI shows downside momentum.

Today’s Economic Events

07:00 GE APR Retail Sales (MoM) exp: 0.1% prev: 0%
09:30 UK APR M4 Money Supply (MoM) exp: NA prev: -0.5%
13:00 GE MAY P Consumer Price Index (MoM) exp: 0.3% prev: 1%
13:00 GE MAY P CPI – EU Harmonised (MoM) exp: 0.3% prev: 1%
13:30 US APR Personal Income exp: 0.3% prev: 0.1%
13:30 US APR Personal Spending exp: 0.2% prev: 0.9%
14:45 US MAY Chicago Purchasing Manager Index exp: 54.3 prev: 52.6
15:00 US MAY F U. of Michigan Confidence exp: 100.9 prev: 102.4