Stocks mixed after Fed minutes release - 23.5.2024

The Dollar strengthening has stalled 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, rose 0.3% on Wednesday.

EUR/USD accelerated its sliding while GBP/USD continued its advancing yesterday as Office for National Statistics data showed UK inflation was higher than expected. Both euro and Pound are higher against the dollar currently. USD/JPY reversed its sliding while AUD/USD resumed its retreating on Wednesday with both the yen and the Australian dollar little changed against the Greenback currently.

The US stock index futures are up currently ahead of US Unemployment Claims report due at 14:30 CET today. The three main US stock indexes ended lower on Wednesday in a range from -0.5% to -0.2% after the minutes of the Federal Reserve’s April meeting showed increasing concerns among policymakers over sticky inflation.

European stock indexes futures are mixed currently after closing lower on Wednesday led by auto stocks. Asian stock indexes futures are mixed today with Japan’s Nikkei leading gains while PMI data showed Japan’s manufacturing sector returned to growth for the first time in 11 months. At the same time Chinese stocks were depressed after President Biden’s administration said new tariffs on about $18 billion worth of Chinese imports will be imposed from August 1.

Brent is extending losses presently. Prices ended lower yesterday as the US Energy Information Administration (EIA) reported US crude stockpiles rose unexpectedly by 1.8 million barrels last week. The US oil benchmark West Texas Intermediate (WTI) futures fell 1.4% and is lower currently. Brent crude lost 1.2% to $81.90 a barrel on Wednesday.