Equities extend gains after pullback earlier - 23.6.2020

The Dollar weakening has halted 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, lost 0.6% Monday after mixed data showing the Chicago Fed’s national activity index recovered in May - indicating expanding economy, while existing home sales fell 9.7% over moth in May. Both GBP/USD and EUR/USD reversed their sliding Monday as euro-zone’s consumer confidence index recovery in June indicated continued consumer confidence recovery. Euro is higher currently against the dollar while Pound is down. Both USD/JPY and AUD/USD reversed their sliding yesterday with both yen and Australian dollar lower against the greenback currently.

Futures on three main US stock indexes are higher currently as they recovered from earlier losses following President Trump’s trade adviser comment China trade deal was ‘over’. Stock indexes in US rebounded Monday: the three main US stock indexes posted gains ranging from 0.6% to 1.1%. European stock indexes are rising currently after a pullback on Monday led by food and telecom shares. Asian indexes are recovering today led by Hong Kong’s Hang Seng Index as President Trump tweeted Monday night that the China trade was “fully intact” after a comment by his trade adviser that China trade deal was ‘over.’

Brent is edging lower today. Oil prices ended higher on Monday against the background of signs of improving global oil demand as economies reopened. The US oil benchmark West Texas Intermediate (WTI) rose 1.8% Monday. August Brent crude climbed 2.1% to $43.08 a barrel on Monday.