- Wall Street indices are pulling back, dragged down by the tech sector. S&P 500 drops 1.3%, Nasdaq is down 2.6% and small-cap Russell 2000 declines 0.8%. Dow Jones is the outperformer with 0.5% gain at press time
- Today's sell-off is driven by media reports saying that United States warned its allies that it may impose a severe trade restrictions on company's which provide China with advanced semiconductor technology, with Dutch ASML and Japanese Tokyo Electron being primary targets
- ASML plunged almost 11% today. Declines can also be spotted among US semiconductor stocks with Nvidia dropping almost 6% and AMD plunging 8%
- European stock market indices traded lower today. German DAX dropped 0.4%, French CAC40 was 0.1% down, Dutch AEX slumped 1.8%, while Polish WIG20 plunged 1.3%. UK FTSE 100 gained 0.3%, while Italian FTSE MIB and Spanish IBEX traded a touch above yesterday's close
- Fed's Barkin said that US central bank will for sure debate at July meeting whether inflation can still be described as elevated
- Fed's Waller said that exact timing of rate cut doesn't matter a lot and that it remains an open question
- US housing market starts increased 3.0% MoM in June to 1353k (exp. 1300k), while build permits increased 3.4% MoM to 1446k (exp. 1395k)
- US industrial production increased 0.6% MoM in June (exp. 0.3% MoM), while manufacturing output was 0.4% MoM higher (exp. 0.1% MoM). Capacity utilization improved from 78.7 to 78.8% (exp. 78.4%)
- Atlanta Fed GDPNow growth forecast for Q2 increased from 2.5% to 2.7%
- Weekly report on US oil inventories show 4.87 million barrel drop in headline crude inventories (exp. -0.1 mb), a 3.33 million barrel build in gasoline inventories (exp. -1.7 mb) and a 3.45 million barrel build in distillate inventories (exp. -0.8 mb)
- UK headline CPI inflation unexpectedly remained unchanged at 2.0% YoY in June (exp. 1.9% YoY), while core CPI inflation remained at 3.5% YoY (exp. 3.3% YoY)
- Final CPI data for June from euro area confirmed slowdown in headline inflation from 2.6% to 2.5% YoY as well as core inflation staying unchanged at 2.9% YoY, as suggested by flash release
- New Zealand's CPI inflation slowed from 4.0% to 3.3% YoY in Q2 2024 (exp. 3.4% YoY). On a quarterly basis inflation slowed from 0.6% in Q1 to 0.4% QoQ (exp. 0.5% QoQ)
The content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.
