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Another bleak target outlook, World Bank worries about stagflation, bitcoin tumbles

World Bank warns about stagflation US stocks teetered as traders digested another profit warning from Target and a dire outlook from the World Bank. The story behind Target is not surprising to anyone as many retailers have been talking about persistent supply chain issues and as a shift in spending from goods to services.

07-06-2022 15:25 GMT by Edward Moya

CAD edges up after strong PMI

The Canadian dollar has extended its gains on Tuesday. USD/CAD is trading at 1.2545, down 0.26% on the day.

07-06-2022 11:29 GMT by Kenneth Fisher

Japanese yen falls to 20-year low

Dollar continues to pummel yen The Japanese yen continues to lose ground. USD/JPY touched the 133 line earlier in the day, as the yen hit a 20-year low.

07-06-2022 10:43 GMT by Kenneth Fisher

Oil clutching to US 120, gold drifting

Oil struggling to hold above USD 120 Oil is continuing to struggle around USD 120 on Tuesday, with Brent and WTI very slightly lower. We've seen USD 120 broken on a few occasions over the last week but each time it's been quickly repelled in a sign of momentum starting to run a little thin.

07-06-2022 09:38 GMT by Craig Erlam

RBA joins super-sized club

Stock markets are back in the red on Tuesday, giving back the bulk of Monday's gains in a sign of ongoing uncertainty as to the direction of equity markets and the economy. There is clearly appetite at these levels but that's not being backed up by momentum of any kind. Hardly surprising given the sheer uncertainty around inflation, interest rates and the economy.

07-06-2022 09:34 GMT by Craig Erlam

Australian dollar swings after RBA shocker

The Australian dollar showed some bounce on Tuesday, courtesy of the RBA rate decision. AUD/USD produced a flash spike of 60 points after the move and touched a daily high of 0.7248, but was unable to consolidate. In the European session, the Aussie is trading at 0.7180, unchanged on the day. RBA surprises with 50bp hike The RBA had a huge surprise up its sleeve, as it delivered a 50bp rate hike, bringing the cash rate to 0.85%.

07-06-2022 07:53 GMT by Kenneth Fisher

Oil steady, gold range-trades

Oil is steady in Asia Oil’s intraday gains overnight were pared back in New York as US yields and the US dollar climbed, leaving both Brent crude and WTI slightly lower for the session. Brent crude finished 1.05% lower at USD 119.95 a barrel, and WTI finished 1.10% lower at USD 119.00 a barrel.

07-06-2022 05:21 GMT by Jeffrey Halley

US dollar rises in Asia

The spike in US yields across the curve overnight unwound early US dollar selling, sending the dollar index to a modest 0.24% gain for the day, closing at 102.41. US dollar strength continues in Asia, perhaps helped by BOJ comments that now is not the time to consider an easy monetary policy exit.

07-06-2022 05:09 GMT by Jeffrey Halley

Asian equities are mixed once again

China reopening boosts Chinese equities Higher US bond yields took the edge of Wall Street overnight, which was happy to tail chase the China reopening trade higher, especially as US-listed China equities performed very well. That left Wall Street closing modestly higher.

07-06-2022 04:12 GMT by Jeffrey Halley

Three is a magic number

US Treasury yields push above 3% US yields were on the move last night, with the curve from the 5-year to 30-year tenor now all above three per cent. That was enough to crimp the perpetual FOMO bulls of the stock market, with Wall Street finishing just above flat, while the US dollar also booked some gains.

07-06-2022 03:50 GMT by Jeffrey Halley

US Close: Surging yields cap stock rally, Boris Survives Confidence Vote, Oil softens, Gold lower as Yields surge, Bitcoin rebound

US stocks rallied early as improvement with China’s COVID situation, optimism that a strong labor market will help the US consumer handle the latest wave of inflation, and after a wrath of positive news. With no US economic data releases scheduled for today and a quiet Fed due to the blackout period, US equities followed the rally that started in Asia. With the exception of the latest Musk/Twitter drama, it was mostly positive news from corporate America, which translated to a good start for sh

06-06-2022 16:46 GMT by Edward Moya

Oil edges lower, gold stable

Oil pares gains as China continues reopening Oil prices are slipping a little on Monday after stalling just above USD 120 a barrel. Clearly, traders were not overly impressed by the OPEC+ output hike last week once the details of the deal were released.

06-06-2022 13:23 GMT by Craig Erlam

Boris faces no-confidence vote

Stock markets are off to a decent start this week with Europe posting almost 2% gains and the US not far behind. Fluctuations in the markets are so frequent and large that I struggle to get particularly excited about days like today. On the face of it, these are very decent gains.

06-06-2022 13:21 GMT by Craig Erlam

GBP/USD - Inverse head and shoulders forming?

Can it break higher? It can't be often that a Prime Minister is hours away from potentially being removed by their own party and yet the currency is rallying? Of course, the UK political scene has been far from normal for a number of years now. You could read one of a number of things into today's moves.

06-06-2022 12:41 GMT by Craig Erlam

Aussie in calm waters ahead of RBA

The Australian dollar went on a wild ride late last week. AUD/USD jumped 1.27% on Thursday, only to cough up most of these gains on Friday. The Aussie is showing little movement today, as the markets eye the Reserve Bank of Australia rate decision on Tuesday. RBA poised for back-to-back rate hikes The RBA is widely expected to raise interest rates back-to-back, for the first time since 2013.

06-06-2022 12:20 GMT by Kenneth Fisher

Yen steadies after slide

The Japanese yen has started the week quietly. In the European session, USD/JPY is trading at 130.63, up 0.15% on the day. It was a week to forget for the yen, as USD/JPY surged 2.91%, the biggest weekly gain this year.

06-06-2022 08:13 GMT by Kenneth Fisher

Oil edges lower, gold steady

Oil is steady in Asia as Saudi Arabia hikes prices Oil prices ignored Fed tightening nerves after the US data, rallying strongly with the relaxing of China Covid curbs, with its ensuing return of oil demand, the story driving oil markets. Brent crude rose 2.70% to USD 121.25 a barrel, with WTI rising 2.35% to USD 120.35 a barrel.

06-06-2022 05:47 GMT by Jeffrey Halley

US dollar eases lower in Asia

US dollar pares gains from NFP report Friday’s higher Non-Farm Payroll data saw the US dollar reverse much of its losses from Thursday, characterising a very choppy back-and-forth week last week. The dollar index rose by 0.40% to 1.0217, leaving the index slightly higher for the week.

06-06-2022 05:23 GMT by Jeffrey Halley

Asian equities rise on Beijing reopening

Asian markets rise as China eases restrictions Friday’s higher than expected US Non-Farm Payrolls saw Wall Street make an abrupt retreat as easier Fed hiking hopes on a slowing economy were dashed, although I’d argue a slowing US economy wouldn’t be good for equities either. The S&P 500 finished 1.63% lower, the Nasdaq tumbled by 2.47%, and the Dow Jones fell by 1.06%. In Asia, an easing of restrictions in Beijing, along with reiterations of easy monetary policy in Japan has shielded Asia f

06-06-2022 05:00 GMT by Jeffrey Halley

Beijing reopening dulls non-farm retreat

US nonfarm payrolls beats expectations Wall Street had another schizophrenic day on Friday as May US Non-Farm Payrolls outperformed, rising by 390,000 jobs, slightly less than April’s number, but well above market forecasts of 325,000. That sparked yet another tail-chasing reversal across asset classes as US markets continue to desperately search for “peak-hiking” from the Fed and return to their buy-everything happy space, an illness caused by endless rounds of quantitative easing and ultra-lo

06-06-2022 04:40 GMT by Jeffrey Halley

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