By IFCMarkets
Dollar weakening pauses as inflation rises
US stock market added to previous session gains on Tuesday led by the health care and utilities shares. The S&P 500 gained 0.3% to 2791.52. Dow Jones however slid 0.4% to 25554.66 dragged by continued slump of Boeing as more airlines grounded their fleets of 737 Max 8 planes after weekend fatal crash in Addis Ababa, Ethiopia’s capital. The Nasdaq rose 0.4% to 7591.03. The dollar weakening slowed after data showed inflation rose 0.2% on month in February following three months of no change. 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 0.03% to 96.97 but is higher currently. Futures on US stock indexes point to mixed openings today.
FTSE 100 outperforms European Indices after Brexit no vote
European stocks were mixed on Tuesday as investors awaited the UK vote on amended Brexit deal. The British parliament rejected the Brexit deal with revised Irish border provisions later in the day. The EUR/USD continued gaining while GBP/USD turned lower with both pairs reversing currently. The Stoxx Europe 600 slipped 0.1%. The German DAX 30 slid 0.2% to 11524.17, France’s CAC 40 however added 0.1% and UK’s FTSE 100 advanced 0.3% to 7151.15.
The British lawmakers will vote today on whether or not they want a hard, no-deal Brexit, which is considered the worst case scenario. In case the no-deal outcome Brexit is rejected too, the parliament will vote the next day on extending the deadline for leaving the European Union beyond March 29.
Shanghai Composite leads Asian indices losses
Asian stock indices are mostly lower today. Nikkei slumped 1% to 21290.24 with yen little changed against the dollar as data showed domestic machinery orders fall in January accelerated. Chinese stocks turned lower: the Shanghai Composite Index is down 1.1% and Hong Kong’s Hang Seng index is 0.5% lower. Australia’s All Ordinaries Index lost 0.2% despite the Australian dollar resuming its slide against the greenback.
Brent steady
Brent futures prices are steady today supported by OPEC cuts and US sanctions on Venezuela and Iran. The American Petroleum Institute late Tuesday report indicated US crude inventories fell by 2.6 million barrels last week and gasoline inventories dropped by 5.8 million. Prices ended marginally higher yesterday. May Brent added 0.1% to $66.67 a barrel on Tuesday. Today at 16:30 CET the Energy Information Administration will release US Crude Oil Inventories.
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This overview has an informative and tutorial character and is published for free. All the data, included in the overview, are received from public sources, recognized as more or less reliable. Moreover, there is no guarantee that the indicated information is full and precise. Overviews are not updated. The whole information in each overview, including opinion, indicators, charts and anything else, is provided only for familiarization purposes and is not financial advice or а recommendation. The whole text and its any part, as well as the charts cannot be considered as an offer to make a deal with any asset. IFC Markets and its employees under any circumstances are not liable for any action taken by someone else during or after reading the overview.
