Stocks subdued ahead of US inflation report - 13.9.2023

The Dollar strengthening has resumed 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, ended little changed on Tuesday.

GBP/USD reversed its climbing yesterday while EUR/USD slowed its advancing as ZEW survey indicated economic sentiment for Germany recorded a slight increase in September. Both euro and Pound are lower against the dollar currently. USD/JPY reversed its sliding Tuesday while AUD/USD reversed its advancing with both the yen and Australian dollar lower against the Greenback currently.

Futures on three main US stock indexes are higher currently as the yield on benchmark 10-year US notes has edged up to 4.294% currently. Stock indexes ended lower on Tuesday with three main stock benchmarks recording daily losses in the range from -1.0% to -0.1% led by tech shares dragged by disappointing guidance from software giant Oracle.

European stock indexes are falling currently after a mixed session on Tuesday with chemicals stocks leading losses. Asian indexes futures are mostly down today with Hong Kong’s Hang Seng index leading losses while Chinese property shares defied general trend as Country Garden Holdings rallied over 11% after it won approval from some bondholders to extend payments for three years.

Brent is up currently. Oil prices rose to 10-month high on Tuesday as Organization of the Petroleum Exporting Countries (OPEC) stuck to its optimistic forecasts for robust growth in global oil demand in 2023 and 2024. The Energy Information Administration will release its US inventory data at 16:30 CET today. The US oil benchmark West Texas Intermediate (WTI) rose 1.3% and is higher today. Brent gained 1.6% to $92.06 a barrel.