15.07.14

Good morning,

Asian markets didn’t see much activity overnight aside from the Reserve Bank of Australia meeting minutes. AUDUSD dropped to currently trade at 0.9365 when the central bank said it was likely to keep interest rates at record lows. The Bank of Japan reiterated its’ 2% inflation target for the coming year, although the central bank lowered the economic growth prediction slightly, as the effect of April’s Sales Tax increase are being felt. USDJPY was trading at 101.60 at time of writing.

The NIKKEI was trading at 15395.16 up 98.34 points, an increase of 0.64%

European markets will see the publication of a lot of data from the UK today including Consumer and Producer Price Index data, along with ZEW Economic Sentiment from Germany and the Eurozone area. The Euro was buoyed slightly following Mario Draghi’s speech during yesterday’s session, with EURGBP trading at 0.7977 and EURUSD trading at 1.3616 at time of writing, with Draghi mentioning the risk involved with low inflation for a sustained period. The exchange rate, he said, is not a policy target of the ECB.

The FTSE100 was at 6762.21 while the DAX was trading at 9776.96

Retail Sales figures are awaited in the US today ahead of FED chair Yellen’s testimony. The Bank of Canada tomorrow will publish their Interest Rate Statement tomorrow, with the rate expected to remain unchanged at 1% USDCAD was trading at 1.0727 while CABLE was trading at 1.7070 at time of writing. GOLD was after dropping to $1308 per ounce possibly linked to the Egyptian suggestion of ceasefire in the Middle East after a week of hostility.

The DOW closed at 17055.42 up 111.61 points or 0.66%

Hope you all have a nice day.