Morning wrap (07.06.2021)

• Stock markets in Asia traded mixed. Indices from Japan and South Korea gained while equities from Australia and China dropped

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

• G7 finance ministers committed to implementing a global minimum tax rate of 15%

• US Treasury Secretary Yellen said at the G7 meeting that she will support Biden's spending plan even if it sends inflation higher as it is beneficial for the United State

• Yellen also said that slightly higher interest rates would be good for Federal Reserve and society

• US President Biden rejected Republican infrastructure bill proposal. Fox reported that a group of bipartisan US politicians will present its own infrastructure bill project worth around $880 billion

• Putin said that Russia will continue to deepen cooperation with China. Russian President said he expects trade between Russia and China to reach $200 billion by 2024

• S&P affirmed Australia at "AAA" rating with outlook upgraded from "negative" to "stable"

• Economy minister of Japan said that government will work with Bank of Japan in order to boost economy and avoid deflation

• Chinese exports increased 27.9% YoY in May (exp. 32.1% YoY) while imports were 51.1% YoY higher (exp. 51.5% YoY)

• Cryptocurrencies had a volatile weekend. Bitcoin dropped below $35,000 mark but has managed to recover to $36,000 area since

• Precious metals, oil and industrial metals trade lower. Agricultural goods gain

• NZD and USD are the best performing major currencies while CAD and GBP lag the most

US dollar index pulled back from the resistance zone at 90.45 on Friday following a disappointing jobs report. USD is regaining some ground today following Yellen's comments on interest rates over the weekend. Source: xStation5