U.S. indices closed mixed on Tuesday. Shares in the Capital Goods (-1.14%), Transportation (-0.64%) and Food, Beverage & Tobacco (-0.34%) sectors were under pressure while shares in the Health Care Equipment & Services (+0.92%), Technology Hardware & Equipment (+0.63%) and Utilities (+0.62%) sectors gained some strength. On the economic data front, CPI rose 1.5% YoY in February (vs +1.6% expected, +1.6% in January) and core CPI grew 2.1% (vs 2.2% expected, +2.2% in January). In other news, the NFIB small business optimism index rose to 101.7 in February (estimated 102.5) from 101.2 in January. The S&P 500 (2,791.52) stays above its 20d moving average (2,777.12 – positive slope) and its 50d moving average (2,686.29 – positive slope).
European markets are expected to start on a negative note.<\/p>\n\n\n\n
Foreign Exchange<\/strong><\/p>\n\n\n\n The US dollar was bearish against all of its major pairs on Tuesday with the exception of the GBP and JPY. On the economic data front, the NFIB small business optimism index slightly improved to 101.7 in February (estimated 102.5) from 101.2 in January. In other news, CPI improved by 0.2% MoM in February, in-line with estimates, from a flat level a month earlier.
The Euro was bullish against all of its major pairs. UK GDP for the October-January period was up by 0.2%, as expected, and at the same pace than in the previous period. Separately, industrial production increased by 0.6% in January (+0.2% anticipated) after a 0.5% decline in December. Finally, UK trade deficit widened to \u00a33.83B in January from \u00a33.45 a month earlier.
The Australian dollar was mixed against its major pairs.<\/p>\n\n\n\n