Tuesday 8th June 2021 : Markets mostly lower as Japan releases data.

IC Markets No Comments

Global Markets:

  • Asian Stock Markets : Nikkei down 0.19%, Shanghai Composite down 0.54%, Hang Seng down 0.11%, ASX up 0.15%
  • Commodities : Gold at $1896.00 (-0.15%), Silver at $27.81 (-0.75%), Brent Oil at $70.94 (-0.77%), WTI Oil at $68.73 (-0.72%)
  • Rates : US 10-year yield at 1.557, UK 10-year yield at 0.803, Germany 10-year yield at -0.206

News & Data:

  • (JPY) Final GDP Price Index y/y -0.10% vs -0.20% expected
  • (JPY) Final GDP q/q -1.00% vs -1.20% expected
  • (JPY) Current Account 1.55T vs 1.60T expected
  • (JPY) Bank Lending y/y 2.90% vs 5.60% expected
  • (JPY) Average Cash Earnings y/y 1.60% vs 0.80% expected
  • (GBP) BRC Retail Sales Monitor y/y 18.50% vs 29.50% expected
  • (USD) Consumer Credit m/m 18.6B vs 19.5B expected
  • (EUR) Sentix Investor Confidence 28.1 vs 25.5 expected
  • (GBP) Halifax HPI m/m 1.30% vs 1.00% expected
  • China Moves Forward With Law Aimed at Countering U.S. Sanctions

Markets Update:

Asian stock markets are mostly lower on Tuesday, following the mixed cues from Wall Street overnight. Investors await key U.S. inflation data due on Thursday for more indications about the Fed’s policy outlook and cues about the global economic recovery. The coronavirus infection rate in the region is also keeping the underlying mood cautious.

The Japanese stock market is modestly lower after being in the green most of the morning in choppy trading on Tuesday, snapping the two straight sessions of gains, with the benchmark Nikkei index just below the 29,000 mark, after the first contraction in GDP since Q2 2020, amid a resurgence of COVID-19 cases and slow vaccine rollouts. The Australian stock market is modestly lower after alternating between red and green in choppy trading on Tuesday, with the benchmark S&P/ASX 200 falling below the 7,300 level after hitting fresh all-time highs, as local data showed that business sentiment eased from last month’s record highs.

The U.S. dollar index, which tracks the greenback against a basket of its peers, was at 90.062 following an earlier low of 89.955. Oil prices lost more ground on Tuesday as concerns about the fragile state of the global recovery were heightened by data showing China’s oil imports fell in May.

Upcoming Events:

Tuesday, June 08, 2021

  • 09:00 AM GMT – (EUR) ZEW Economic Sentiment
  • 09:00 AM GMT – (EUR) German ZEW Economic Sentiment
  • 11:30 PM GMT – (AUD) RBA Assist Gov Kent Speaks

Wednesday, June 09, 2021

  • 01:00 AM GMT – (NZD) Prelim ANZ Business Confidence
  • 01:30 AM GMT – (CNY) CPI y/y
  • 02:00 PM GMT – (CAD) BOC Rate Statement
  • 02:00 PM GMT – (CAD) Overnight Rate
  • 02:30 PM GMT – (USD) Crude Oil Inventories
  • 05:01 PM GMT – (USD) 10-y Bond Auction

Thursday, June 10, 2021

  • 11:45 AM GMT – (EUR) Monetary Policy Statement
  • 11:45 AM GMT – (EUR) Main Refinancing Rate
  • 12:30 PM GMT – (EUR) ECB Press Conference
  • 12:30 PM GMT – (USD) CPI m/m
  • 12:30 PM GMT – (USD) Core CPI m/m
  • 12:30 PM GMT – (USD) Unemployment Claims
  • 05:01 PM GMT – (USD) 30-y Bond Auction

Friday, June 11, 2021

  • 02:00 PM GMT – (USD) Prelim UoM Consumer Sentiment