Dollar resumes weakening
US stock market ended at a new record on Tuesday. The S&P 500 advanced 0.3% to 2973.02. Dow Jones industrial gained 0.3% to 26786.75. The Nasdaq added 0.2% to 8109.09. The dollar weakening resumed as Cleveland Fed President Loretta Mester said while she saw “some chance” that the economy could stumble this year, she would need to see more hard evidence of a significant slowdown to advocate for interest rate cuts.: 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, slipped 0.01% to 96.74 and is lower currently. Futures on US stock indices point to higher openings today.
FTSE 100 leads European indexes gains
European stocks advanced fifth consecutive session on Tuesday despite US threat to impose additional tariffs on EU goods worth $4 billion amid a prolonged dispute with EU over aircraft subsidies. The EUR/USD edged higher while GBP/USD continued sliding with both pairs lower currently. The Stoxx Europe 600 ended 0.4% higher led by utility shares. The German DAX 30 inched up 0.04% to 12526.72 despite 0.6% decline over month in German retail sales for May. France’s CAC 40 added 0.2%. UK’s FTSE 100 rose 0.8% to 7559.19 despite data showing that UK construction activity suffered its sharpest downturn in over a decade in June.
Australia’s All Ordinaries Index gains while other Asian indexes fall
Asian stock indices are mostly lower today. Nikkei fell 0.5% to 21638.16 as yen continued its slide against the dollar. Chinese stocks are retreating after report growth of activity in China’s service sector continued to slow in June: the Shanghai Composite Index is down 1% while Hong Kong’s Hang Seng index is 0.3% lower. Australia’s All Ordinaries Index however extended gains 0.5% with Australian dollar little changed against the greenback as Australia’s trade surplus hit record high in May.
Brent falling ahead of US inventory report
Brent futures prices are edging lower today. The American Petroleum Institute late Tuesday report indicated US crude inventories fell by 5 million barrels last week. Prices slumped yesterday: September Brent dropped 4.1% to $62.40 a barrel on Tuesday. Today at 16:30 CET the Energy Information Administration will release US Crude Oil Inventories.