The US stock futures did not change much after the bank holiday on Monday. Despite the fact that the US inflation data exceeded forecasts last week, analysts expect further growth of stock indices. The statistics of the ADP non-farm payrolls may have great influence at the end of the week. Negative data may lead to the revision of the monetary policy by the Federal Reserve.
European stock indices declined slightly at the close of the trading day on Monday. The reason for the decrease was a strengthening of inflation in Germany. However, May closed on a positive note, and it is the 4th consecutive month in a plus. Such dynamics is explained by growing expectations of economic recovery in the Eurozone after the pandemic. Today, there will be a lot of macroeconomic statistics from the leading European countries.
Today, there will be an OPEC+ meeting. The experts predict that the OPEC+ will not yet adjust its plans to gradually increase production, which plays in favor of further growth in oil prices. However, the prospect of Iranian oil coming on the market slightly restrains the market rise. Although many analysts are confident that it will not significantly affect the dynamics of demand.
Gold jumped to five-month highs. As long as the Federal Reserve maintains its current monetary policy and the bond yields remain unchanged, precious metals will continue to rise.
Asian stock indices showed mixed dynamics on Monday. Equity indices in Taiwan and South Korea rose slightly, while Japan, Australia, and Hong Kong indices declined. Chinese manufacturing capacity has been growing rapidly again. It is very likely that China will be the first country to emerge from the COVID-19 crisis into a new cycle of economic growth.
Main market quotes:
- S&P 500 (F) 4,204.11 +3.23 (+0.08%)
- Dow Jones 34,529.45 +64.81 (+0.19%)
- DAX 15,421.13 -98.85 (-0.64%)
- FTSE 100 7,022.61 +2.94 (+0.04%)
- USD Index 89.85 -0.18 (-0.20%)
Important events:
- Australia RBA Rate Decision (m/m) at 07:30 (GMT+3);
- Germany Manufacturing PMI (m/m) at 10:55 (GMT+3);
- Germany Unemployment Rate (m/m) at 10:55 (GMT+3);
- EU Manufacturing PMI (m/m) at 11:00 (GMT+3);
- EU Consumer Price Index (m/m) at 12:00 (GMT+3);
- US ISM Manufacturing PMI (m/m) at 17:00 (GMT+3);
- UK BOE Governor Andrew Bailey Speaks at 18:00 (GMT+3);
- China Manufacturing PMI (m/m) at 04:00 (GMT+3);
- OPEC+ Meetings, all day (GMT+3).
