The market takes breath after the long rally. What opportunities do traders have today?
Japan's June core machinery orders suddenly dip
In June, Japan's core machinery orders suddenly decreased for a third consecutive month, thus underscoring companies' reluctance to spur spending and conflicting with recent indications that the economic revival is gaining momentum.
Core orders faced a second straight quarter of drops in April-June. That’s the first instance of consecutive quarterly declines since 2012. It casts doubt on policymakers' upbeat mood that brightening business sentiment will lead capital expenditure ahead.
While experts warn against reading too much into the extremely volatile series, the June sag provides a negative note ahead of Monday's second-quarter GDP data supposed to demonstrate a sturdy surge recovery, powered by firm domestic demand.
In June, core orders, considered to be an indicator of capital spending in the nearer six to nine months, inched down 1.9% from last month, ruining a median market forecast for a 3.7% leap, as Cabinet Office data unveiled on Thursday.
The United States will publish a weekly update on unemployment claims on July 9, at 15:30 MT time.
The market sentiment deteriorated amid increasing virus cases in the USA and Australia. Investors prefer safe-haven assets like gold, the US dollar and the Japanese yen.
Riskier currencies and stocks are in favor of investors. Surprisingly, gold rallies too. Let’s have a closer look.
Congratulations! Gold has just opened a new era... or, rather, reopened...
Canada will publish the employment change and the unemployment rate on July 10, at 15:30 MT time.