Equities mixed ahead of US producer prices report - 11.8.2023

The Dollar strengthening has reversed today. 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, added 0.2% Thursday while the Department of Labor data showed the number of Americans who sought unemployment benefits over the last week was higher than the forecast while their number rose.

EUR/USD slowed its advancing on Thursday while GBP/USD accelerated its sliding. USD/JPY accelerated its climbing while AUD/USD continued its sliding with the yen and the Australian dollar higher against the Greenback.

US stock indexes futures are up currently as the yield on benchmark 10-year Treasury notes rose to 4.121%. The three main stock benchmarks ended higher on Thursday in the narrow range of 0.03% to 0.15% as San Francisco Fed President Mary Daly said that while US July inflation came in steady without surprising on the low side, there "is still more work to do" for policymakers.

European stock indexes are retreating currently after closing higher on Thursday with household goods leading gains. Asian stock indexes futures are mixed today with Hong Kong’s Hang Seng leading losses while Chinese property companies were under pressure as major developer Country Garden slid to a record low after forecasting a $7.6 billion net loss in the first half.

Brent is advancing currently. Prices ended lower yesterday while OPEC said in its monthly report it expected a robust oil market for the rest of the year, and reiterated its forecast for robust oil demand in 2024 as the outlook for world economic growth slightly improves. The US oil benchmark West Texas Intermediate (WTI) fell 1.9% but is higher currently. Brent crude lost 1.3% to $86.40 a barrel on Thursday.