Morning wrap (01.07.2021)

• US indices finished yesterday's trading higher. S&P 500 gained 0.21% while Dow Jones added 0.61%. Nasdaq dropped 0.17%. Russell 2000 finished trading 0.07% higher.

• Pessimism dominated during the Asian trading hours. Nikkei dropped 0.4%, S&P/ASX200 moved 0.5% lower while Kospi declined 0.4%. Indices from China traded mixed

• DAX futures point to a higher opening of the European session

• Japanese authorities are considering a new stimulus package

• Chinese manufacturing PMI (Caixin/Markit) dropped from 52.0 to 51.3 pts in June

• Japanese Tankan index for the manufacturing sector jumped from 5 to 14 in Q2 2021 (exp. 16). Services index moved from -1 to 1 (exp. 3)

• South Korean exports increased 39.7% YoY in June (exp. 33.6%) while imports were 40.7% YoY higher (exp. 33% YoY). Semiconductor exports increased 34.4% YoY

• Australia trade balance reached A$9.68 billion in May (exp. A$10 billion)

• Bitcoin trades near $34,000 mark

• Gold and silver gain while platinum and palladium drop. Oil trades slightly higher with industrial metals decline

• JPY and USD are the best performing major currencies while AUD and EUR lag the most

AUDUSD is one of the worst performing major FX pairs today. Price is retesting a support zone ranging between 0.7475 mark and 50% retracement of the upward move impulse launched in late-2020. Breaking below this hurdle could pave the way for a test of the next support - 0.7380 area at 61.8% retracement. Source: xStation5