Last session market review
The dollar index.dxy traded in a narrow range on Monday, ending slightly higher at 99.79. Spot gold fluctuated under pressure and ended down at $1,726 an ounce on the negative side.
On Tuesday, watch for comments from federal reserve governor kashkari and bank of Canada governor and deputy governor, as well as data on new home sales and the conference board’s consumer confidence index.
Fx: euro/dollar at 1.0899; Sterling/dollar closed at 1.2182; The Australian dollar closed at 0.6539 against the U.S. dollar. The dollar was at 107.69 yen; U.S. dollar/Canadian dollar at 1.3986; The dollar was at 0.9720 Swiss francs.
Commodities: spot gold closed at $1,729.19 an ounce; Spot silver settled at $17.20 an ounce.
In the currency market
Euro: the euro fell for a third day, or 0.01%, to 1.0899. On the technical level, the pivot point of the currency pair is at 1.0893, the initial resistance to the upward movement of the exchange rate is at 1.0917, the further resistance is at 1.0938, and the key resistance is at 1.0961. The initial support for the fall in the exchange rate is at 1.0872, further support at 1.0849, more key support at 1.0828.
Sterling: the pound rose for the first time in four days to close at 1.2182, up 0.15 percent. On the technical side, the pivot point of the currency pair is at 1.2181, the initial resistance to the upward movement of the exchange rate is at 1.2202, the further resistance is at 1.2223, and the key resistance is at 1.2243. The initial support for the decline of the exchange rate is at 1.2160, further support is at 1.2140, more critical support is at 1.2119.
Yen: dollar/yen rose for the third day in a row, up 0.07% at 107.69. On the technical level, the pivot point of the currency pair is at 107.67, the initial resistance to the upward movement of the exchange rate is at 107.80, the further resistance is at 107.90, and the key resistance is at 108.02. The initial support for the decline of the exchange rate is at 107.57, further support is at 107.45, more critical support is at 107.35.
The stock market
U.S. and European stock markets rose on Monday as investors expressed confidence in a corporate recovery as countries gradually reopened their economies and lifted blockades. Germany’s DAX30 index closed up 310.43 points, or 2.80 percent, at 11384.30. Britain’s ftse 100 index closed down 21.97 points, or 0.37 per cent, at 5,993.28. France’s cac-40 index closed up 95.35 points, or 2.15 percent, at 4,539.91. The euro stoxx 50 index closed up 65.28 points, or 2.25 percent, at 2,970.75. Spain’s IBEX35 index closed up 160.50 points, or 2.40 percent, at 6,858.00. Italy’s ftse MIB index closed up 274.21 points, or 1.58 per cent, at 17590.50.
International spot gold rose as high as $1,735.19 an ounce on Monday morning to $1,734.36, and fell as low as $1,721.12 to close at $1,729.19, down $4.71, or 0.27%.
U.S. gold futures fell 0.5 percent to $1,726.60 an ounce.