Headlines:
- A week later and not much has changed with the Strait of Hormuz situation
- EUR/USD continues to erase the NFP gains as focus remains on the US CPI data. What’s next?
- Yen-tervention risks remain in focus to start the new week
- Gold extends the pullback after the mixed NFP, but the focus remains on the CPI report
- This oil analysis goes beyond showing you oil is bearish
- Eurozone investor sentiment sees significant improvement in July – Sentix survey
- Eurozone retail sales see a modest bounce back in May
- Euro area producer prices continue to pick up in May even as energy prices cool a little
- German factory orders see a broader pick up again in May
- UK construction sector remains subdued in June – PMI data
- China reportedly launches nuclear-capable long-range missile in the South Pacific
Market update:
- USD leads, JPY lags on the day
- WTI crude down 0.1% to $68.60
- European equities lightly changed; S&P 500 futures up 0.4%
- US 10-year yields down 1.8 bps to 4.46%
- Gold down 0.5% to $4,153
- Bitcoin up 0.3% to $62,903
It was a slower start to the new week in Europe as traders are waiting on the return of US markets from the long weekend.
The US and Iran are taking a pause in negotiations for a week, so that will is likely to see the fragile ceasefire carry on for a bit with little headlines to work with.
Oil prices are keeping more tentative with WTI crude down just 0.1% to $68.60, despite the Strait of Hormuz situation keeping as it was last week.
Meanwhile, the US dollar is seeing a modest rebound in paring some of the declines from the softer US jobs report on Thursday. EUR/USD is down 0.2% to 1.1414 while USD/JPY is a notable mover as it climbs up by 0.6% to 162.30 on the day. The Japanese yen just can’t get off the floor it would seem.
Besides that, major indices in Europe were more tentative with light changes seen all around. As for US equities, the return of Wall Street sees tech shares eyeing a rebound to start the day at least. S&P 500 futures are up 0.4% while Nasdaq futures are up 1.0% currently. Semiconductors are looking for a bounce with Micron up over 3% and Sandisk up near 5% in pre-market.
In other markets, 10-year Treasury yields continue to hold little changed at around 4.46% while gold is down 0.5% to $4,153 in struggling to hold the bounce at the end of last week.
This article was written by Justin Low at investinglive.com.
