- Despite profit-taking pressure in the middle of yesterday's US session, Wall Street indexes closed higher.
- The S&P 500, Dow Jones and Nasdaq 100 were up about 0.6%. The technology index defended the 15,000-point level and futures point to a higher opening today
- Yields on auctions of 2- and 5-year U.S. Treasury bonds reached the highest levels seen before the 2008 financial crisis
- Better sentiment in Europe and the U.S. is largely related to a rebound in China, where authorities decided to use several measures to support the stock market and dismiss concerns about systemic risks, economic slowdowns and even deflationary risk (however all of that risks persist)
- The key macro releases of the day from the US will be US consumer sentiment according to the Conference Board and the JOLTS data - both readings will be published at 15:00 BST. Earlier at 14:00 BST traders will see readings from the US real estate market (Case/Schiller, house prices)
- Chinese indices closed higher in the Asian session, with HK.cash and CNH.cash contracts gaining 1 and 1.3%, respectively, extending the upward momentum. However, gains on Japan's Topix and Korea's KOSPI were somewhat muted, with both indexes gaining about 0.3%
- US officials and China established new commercial issues working group Yestarday and China's Foreign Minister Wang Yi agreed to meet at least once a year with US Secretary of Commerce
- DAX futures point to higher opening of European cash session
- There will be no significant data releases in Europe today. Markets are waiting for a reading of German consumer sentiment according to a GfK survey, a revision of Swedish GDP, French consumer sentiment data and retail sales in Spain
- Cryptocurrencies are trading largely flat, with Bitcoin still costing around $26,000 and returning to the trend from before the last decline. It has seen very little volatility for more than 7 days
- Energy commodities started the session in mixed sentiment, with WTI and Brent crude oil trading flat and natural gas (NATGAS) contracts losing 1%
- Precious metals are posting modest gains, with gold gaining 0.2%, silver 0.3%, and palladium also up 0.3%. Platinum is the exception and loses 0.3%
- The euro is strengthening slightly against the dollar. EURUSD is trading at 1.0823, and the dollar index (USDIDX) has recently retreated below 1.04 points - it is now trading at 103.9
- AUD strengthens by nearly 0.3% against the dollar, AUDUSD is trading at 0.6446. The Australisian currency is supported by improved Chianch sentiment, which paves the way for a potential rise in commodity prices
CHN.cash index, M30 interval. Yesterday's correction of the dynamic increases was stopped at the 23.6 and 38.2 Fibonacci retracements of last week's upward wave. Today, we are watching the Chinese index contracts try to rise above local peaks. Source: xStation5
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