Markets advance resumes with Monday rebound

The Dollar strengthening has halted currently . 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, added 0.1% Monday as the Institute for Supply Management reported that its manufacturing PMI rose to an above-expected reading of 54.2. Readings above 50 indicate expansion in factory activity. Both GBP/USD and EUR/USD continued sliding Monday despite Markit’s report manufacturing activity across the euro zone expanded for the first time since early 2019. Both pairs are higher currently. AUD/USD continued sliding yesterday while USD/JPY continued advancing with both pairs higher currently.

Futures on three main US stock indexes are higher currently ahead of factory orders report at 18:00 CET today. Companies continue reporting second quarter results today with Walt Disney, Allstate and Monster Beverage among them. Stock indexes in US ended higher Monday despite Dallas Fed President Robert Kaplan’s comment the economic rebound this quarter “is more muted” than expected and hence the unemployment rate this year will likely be higher than previously thought. The three main US stock indexes posted gains ranging from 0.7% to 1.5% Monday. European stock indexes are mixed currently after a rebound yesterday supported by Markit’s report manufacturing activity in euro-zone expanded in July for the first time since early 2019. Asian indexes are rising today led by Hong Kong’s Hang Seng Index followed by Australia’s All Ordinaries ASX 200 Index as the Reserve Bank of Australia kept its policy intact.

Brent is extending gains today. Oil prices ended solidly higher on Monday: the US oil benchmark West Texas Intermediate (WTI) for September added 1.8% Monday but is down currently. October Brent crude rose 1.5% to $44.15 a barrel on Monday.

Gold prices are adding to gains today. December gold rallied 2% to $1986.30 an ounce on Monday.