Stocks mixed after Fed officials comments - 24.6.2021

The Dollar strengthening has halted currently ahead of the US Labor Department report at 14:30 CET expected to show 382 thousand Americans sought unemployment benefits over the last week, down from 412 thousand the previous week. 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 0.1% Wednesday as two Fed officials commented a period of high inflation in the United States may last longer than anticipated, a day after Fed Chair Powell said interest rates would not be raised too quickly.

EUR/USD joined in GBP/USD’s accelerated climbing on Wednesday on the back of Markit report business growth accelerated at its quickest rate in 15 years in euro-zone in June - both in the services and manufacturing sectors. Pound is lower against the Dollar currently while euro is higher. Both USD/JPY and AUD/USD continued their climbing on Wednesday with Australian dollar and yen higher against the Greenback currently.

The US stock futures are up currently with the 10-year US Treasuries yields up at 1.492% after Atlanta Fed President Raphael Bostic’s comment Wednesday he expected interest rates would need to rise in late 2022 as inflation is well above Fed’s 2% target. The three main US stock indexes booked returns ranging from -0.2% to +0.1% Wednesday with new home sales in May below expectations.

European stock indexes are advancing currently after ending lower Wednesday with utility shares leading losses. The Bank of England is expected to acknowledge the strength of inflationary pressures in recent data when it meets at 13:00 CET today. Asian stock indexes are mixed today with Hong Kong’s Hang Seng Index leading gains.