Daily summary: S&P 500 nears record high while stocks inch higher

• European equities finished the session slightly higher

• S&P 500 approaching record highs

• EURUSD nearing the 1.19 mark

After a mixed session on the Old Continent, most major indices from Western Europe managed to finished the day in the green territory. DAX added 0.15%, FTSE 100 gained 0.61% while CAC 40 rose 0.18%. The session in the U.S. opened higher as investors clearly see S&P 500 aiming for record high. The index is currently in sight of record as tech sector leads in gains. 

As equities in the United States advance, precious metals tend to gain as well. Silver prices are adding almost 4% while gold is trading over 2% higher thus approaching the $2,000 mark. Meanwhile the main currency pair is nearing 1.19 level as the euro strengthens against the U.S dollar.

Today’s trading day was rather “light” in terms of economic calendar. GDP report from Japan indicated that Japanese economy contracted 7.8% QoQ in the second quarter (vs est. -7.6% QoQ). The NY Empire State Manufacturing index surprisingly came in largely below expectations as it fell to 3.7 pts (est. 15.0 pts). Nevertheless, American investors overlooked today’s survey data. 

Tomorrow markets will not see many market-moving events as well. At night RBA will release its latest meeting minutes. In the afternoon investors will be served with building permits data from the U.S. Obviously one should pay attention to rising China-US tensions as well as coronavirus updates (particularly from Europe where Covid-19 cases have been on the rise these days). 

EURUSD is on the rise since August 12 and the main currency pair already managed to smash through 1.18 level. The area near 1.19 might turn out to be a solid resistance as market was not able to breach this barrier in recent weeks. Source: xStation5