For the bulls, important resistance levels exist at 1460.00 level where the neckline and the MA100 lies now, also at 1490.00 inside resistance derived from the 26th May bottom, and finally at the 1666.00 level of the most recent high registered on May 12th.
For the bears, important support levels exist at 1325.00 where the MA200 lies, also at 1300.00 psychological level from the bottom of January 25th, and finally at the 1200.00 level derived from the inside support top registered on 23rd November 2020.
It is a busy day on the economic calendar in the US. Stats expected on Home Prices (HPI), S&P HPI and CB Consumer Confidence results. Comments from FOMC members may also affect the markets.
• U.S. stocks were mixed after the close on Monday, as gains in the Technology, Utilities and Consumer Goods sectors led shares higher while losses in the Oil & Gas, Financials and Telecoms sectors led shares lower.
At the close in NYSE, the Dow Jones Industrial Average declined 0.44%, while the S&P 500 index gained 0.23%, and the NASDAQ Composite index gained 0.98%.
• The demand for the United States dollar as a paper currency is increasing, Federal Reserve Bank of New York President John Williams stated on Monday.
During an online event organized by the Bank for International Settlements, Williams warned that "money market funds," as well as "treasury markets" can face liquidity-related issues "in times of stress."
• Fitch Ratings financial markets analysis company published a report on Monday, suggesting that the consumer price index inflation will continue to grow further in the coming months compared to the previous year before easing in 2022.
The main reason for inflation rise is identified as continued supply chain pressures, especially in the auto industry, causing the prices of goods to grow. In the services sector, the sharp increase in prices was most noticeable in transportation, travel and tourism.
• Russia plans to keep the U.S. dollar in its international forex reserves despite the general "de-dollarisation" of its financial system, Central Bank Governor Elvira Nabiullina said on Monday, speaking on Bloomberg TV.
Important Daily Events:
• At 13:00 (GMT) Federal Reserve Bank of Richmond President Thomas Barkin is due to to speak at a webinar hosted by Market News International.
• At 13:00 (GMT) US House Price Index (HPI) expected to come out. This is an indicator measuring the change in the purchase price of homes with mortgages backed by Fannie Mae and Freddie Mac.
• At 13:00 (GMT) US S&P/CS Composite-20 HPI y/y is due. This is an indictor measures the change in the selling price of single-family homes in 20 metropolitan areas.
• At 14:00 (GMT) US Conference Board (CB) Consumer Confidence is also due. This is a survey of about 3,000 households which asks respondents to rate the relative level of current and future economic conditions including labor availability, business conditions, and overall economic situation.
US Indices Yesterday:
• Dow Jones -0.44%
• S&P 500 +0.23%
• Nasdaq +0.98%
Sources: Investing.com, forexfactory.com, breakingthenews.net