23 May: US$ mixed, stocks lower ahead of today’s FOMC Minutes. EU PMIs also in focus

By | May 23, 2018

 

The dollar is mixed, but not too far from previous levels, as traders begin looking to the release of the Fed’s minutes from its most recent FOMC meeting, due later today, with analysts suggesting that there could be inflationary overtones. Of note, Sterling’s rebound following the UK Inflation Report Hearing in early European trade was rather short-lived as BoE Governor Mark Carney’s report provided little support for Cable.

Stocks have pulled back because Donald Trump has hinted that the proposed meeting with the N Korean President may be cancelled. The metals and WTI are steady.

In terms of data, the Richmond Fed Mfg Index beat expectations, adding to support for the dollar.

Wednesday will be busy, beginning with the Australian WBC April Leading Index, Construction Work Done in Q1 and the Japanese Flash Nikkei Mfg PMI. The EU will follow up with the Flash Manufacturing/Services/Composite PMIs and the EU Consumer Confidence for May, while Cable traders will focus on the UK CPI, PPI and RPI for April (CPI, exp 0.5%mm, 2.5%yy; Core, exp 2.2%yy).  The US will have its own PMIs, as well as the New Home Sales for April and will end the day with the key feature of the week, being the FOMC Minutes. Also note that the RBA Governor, Lowe is speaking at the Australia-China Relations Institute in Sydney at 6.00 AET today. Have a good day.

CURRENCIES
EURUSD: 1.1778
Res  1.1800  1.1820  1.1835
Sup  1.1755  1.1740  1.1715
USDJPY: 110.89
Res  111.20  111.85  111.40
Sup  110.80  110.60  110.40
GBPUSD: 1.3433
Res  1.3445  1.3460  1.3480
Sup  1.3415  1.3395  1.3370
USDCHF: 0.9924
Res  0.9950  0.9975  0.9995
Sup  0.9920  0.9895  0.9875
AUDUSD: 0.7575
Res  0.7605  0.7620  0.7640
Sup  0.7565  0.7540  0.7515
NZDUSD: 0.6933
Res  0.6975  0.7000  0.7030
Sup  0.6920  0.6885  0.6850
INDICES / COMMODITIES
S&P. 2725
Res  2735  2745  2755
Sup  2720  2710  2700
DJ30. 24832
Res  24950  25080  25180
Sup  24800  24740  24600
SPI200: 6042
Res  6055  6065  6080
Sup  6035  6020  6005
XAUUSD: 1291
Res  1295  1300  1305
Sup  1290  1285  1280
XAGUSD: 16.54
Res  16.65  16.75  16.85
Sup  16.40  16.25  16.05
WTI.fs: 72.09
Res  72.85  73.80  75.00
Sup  71.80  71.05  70.25