Dollar weakness continues
US stock market extended gains on Monday. The S&P 500 advanced 0.4% to 2832.94. Dow Jones industrial gained 0.3% to 25914.10 despite continued Boeing drag on the blue chip index. The Nasdaq composite added 0.3% to 7714.48. The dollar weakening endured ahead of Federal Reserve two-day meeting starting today. Market participants expect the central bank to keep dovish stance and lower rate hike projections to just one in 2019 and one more in 2020. The live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, slipped 0.02% to 96.50 and is lower currently. Futures on US stock indexes point to higher openings today.
FTSE 100 outperforms European indices
European stocks ended marginally higher on Monday led by bank shares. The GBP/USD turned lower while EUR/USD continued climbing with both pairs higher currently. The Stoxx Europe 600 index added 0.3%. The DAX 30 however slid 0.3% to 11657.06. France’s CAC 40 edged up 0.1% and UK’s FTSE 100 gained 1.0% to 7299.19 as Prime Minister May’s plans for gaining parliament’s approval for her Brexit deal faced increasing opposition after the speaker of parliament ruled that the deal could not be put to a new vote unless it was re-submitted in fundamentally different form.
Asian indices mixed
Asian stock indices are mostly lower today. Nikkei slipped 0.1% to 21566.85 as yen climb against the dollar continued. Markets in China are mixed as investors await further developments following weekend reports the summit between President Donald Trump and China’s Xi Jinping to end the trade battle between the two countries may be pushed back to June: the Shanghai Composite Index is down 0.2% while Hong Kong’s Hang Seng Index is 0.1% higher. Australia’s All Ordinaries Index again turned lower slipping 0.1% as the Australian dollar continued gaining against the greenback.
Get our Weekly Commitment of Traders Report: - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.
Get Our Free Metatrader 4 Indicators - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter
Brent futures prices are extending gains today still supported by OPEC supply cuts. Prices gained yesterday after reports major oil producers’ “overall conformity” with the production cut agreement that began at the start of the year rose to almost 90% in February, up from 83% in January. May Brent crude rose 0.6% to $67.54 a barrel on Monday.
Market Analysis provided by IFCMarkets
This overview has an informative and tutorial character and is published for free. All the data, included in the overview, are received from public sources, recognized as more or less reliable. Moreover, there is no guarantee that the indicated information is full and precise. Overviews are not updated. The whole information in each overview, including opinion, indicators, charts and anything else, is provided only for familiarization purposes and is not financial advice or а recommendation. The whole text and its any part, as well as the charts cannot be considered as an offer to make a deal with any asset. IFC Markets and its employees under any circumstances are not liable for any action taken by someone else during or after reading the overview.