Global Markets Roundup: 22 May 2024

APAC stocks edged lower on Tuesday, while the dollar remained steady, as investors keenly awaited the minutes of the Federal Reserve's latest policy meeting to assess the potential timing and scope of interest rate cuts this year. In Japan, the tech-centric Nikkei NI225 showed resilience, buoyed by semiconductor shares following a record high on the Nasdaq, ahead of Nvidia's earnings report due Wednesday.

Gold inched closer to its all-time high from Monday, whereas crude oil prices dipped on concerns that U.S. interest rates may remain elevated for a longer period, with Fed officials maintaining a cautious stance despite a recent easing in inflation. Cryptocurrencies ether and bitcoin soared to new six-week highs amid speculation that the U.S. Securities and Exchange Commission (SEC) might soon approve a spot ether exchange-traded fund (ETF).

Market participants currently expect around 41 basis points of Fed rate cuts this year, with a quarter-point reduction fully anticipated by November. Traders renewed their bets on easing after data earlier this month indicated a slowdown in consumer price pressures in April, following three months of higher-than-expected inflation figures.

Despite these trends, Fed officials are hesitant to confirm that inflation is under control. On Monday, Vice Chair Philip Jefferson stated it was premature to determine if the slowdown is "long-lasting," while Vice Chair Michael Barr emphasized the need for more time to assess the impact of restrictive policies.

Japan's Nikkei NI225 fell 0.6%. EUROSTOXX 50 futures FESX1! and FTSE futures Z1! both climbed 0.2%. S&P 500 futures ES1! and Nasdaq futures NQ1! both were trading slightly stronger.

In currencies, the dollar index DXY was trading lower to 104.645. The GBPUSD was trading near the recent high of $1.2712, while the EURUSD was trading around $1.0857. The USDJPY traded around 156.20.

In commodities, Brent crude BRN1! lost 50 cents to $82.38 a barrel, while U.S. crude CL1! fell 54 cents to $78.12 per barrel. GOLD was trading higher around $2,424 an ounce. Three-month LME HG1! edged 0.5% lower to $10,802.50 per metric ton. LME aluminium ALI1! lost 0.1% to $2,723.50 a ton, nickel NICKEL1! fell 0.4% to $21,210, zinc ZNC1! was trading flat around $3,138.50, tin FTIN1! lost 0.3% to $33,225, while lead LEAD1! jumped 0.5% to $2,348.

In soft commodities, the most-active wheat contract on the CBOT ZW1! was 1% higher at $7.04-1/2 a bushel. CBOT soybeans ZS1! traded flat at $12.36-3/4 a bushel, and corn ZC1! climbed 0.4% at $4.59-3/4 a bushel. July arabica coffee KC1! edged 5.1% higher at $2.172 per lb​​. July robusta coffee RC2! climbed 6.7% to $3,734 a metric ton. July London cocoa C1! jumped 2.1%, to 6,111 pounds per ton. July New York cocoa CC1! traded 2.5% higher to $7,394 a ton. July raw sugar SB1! ​​traded 0.6% lower at 18.56 cents per lb. August white sugar SF1! lost 1.2% to $544.40 a ton.

Looking ahead, markets anticipate, UK Inflation Rate, US Existing Home Sales, FOMC Minutes.

You can view all markets data and charts here.

General news - Information source from multiple newswires.

The article and the data is for general information use only, not advice!

The Trade Academy Team

Rating: Mixed Outlook

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