Top daily news
Global markets are in a rally mode today as worries about rising US-China tensions were offset by reports another US drug maker has started the first human study of its experimental coronavirus vaccine. Trading was thin yesterday with markets in US and UK closed for public holidays.
Forex news
The Dollar strengthening has reversed today ahead of Federal Reserve’s Beige Book report due later today. 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, gained 0.1% Monday. GBP/USD reversed higher Monday while EUR/USD continued sliding with both pairs higher currently. Both AUD/USD and USD/JPY reversed their sliding yesterday and both pairs are up currently.
Stock Market news
Futures on three main US stock indexes are sharply higher currently ahead of markets reopening following Memorial Day holiday Monday. Novavax, an American biotech company, announced Monday it expected initial results on safety and immune responses on its experimental vaccine in July. Merck, Scotiabank and Suzuki Motor are among companies reporting quarterly results today while more states have reopened economies. Stock indexes in US ended solidly higher last week: the three main US stock indexes posted weekly gains ranging from 3.2% to 3.4%. European stock indexes are rising currently amid reports Germany plans to end a travel warning for tourist trips to 31 European countries from June 15. Asian indexes are higher today as Japan ended its nationwide state of emergency. Australia’s All Ordinaries ASX 200 Index is leading advancers with 2.9% gain as its rally continues. Hong Kong’s Hang Seng Index rebounded 2.1% after the China’s central bank said it would continue lowering interest rates on loans.
Commodity Market news
Brent is extending gains today. Oil prices rallied on Monday against the background of report from Russia its oil output had nearly dropped to its target of 8.5 million barrels per day for May and June. That is the level for its supply cut deal with the Organization of the Petroleum Exporting Countries and other leading producers known as OPEC+. The US oil benchmark West Texas Intermediate (WTI) is over 3% higher currently. July Brent crude climbed 1.1% to $35.53 a barrel on Monday in thin trading.
Gold Market News
Gold prices are rebounding today. Spot gold lost 0.4% to $1729.54 an ounce on Monday.