European equities open on positive territory, US dollar weak before CPI data
MarketsFN Team
CAC40 less than 1 hour after the opening advancing above yesterday high. The French index is up by 0.77% at 7,303.53. DAX in Germany up 0.57% at 16,188.35 while the Euro Stoxx 50 is advancing by 0.70% at 4,345.75. In UK the FTSE100 is rising by 0.21% at 7,586.1.
US indices advanced on Monday, with Dow Jones Industrial Average up 0.56% at 34,066.33, S&P500 rose 0.93% to 4,338.93 and NASDAQ Composite rallied by 1.53% to 13,461.92
Nikkei 225 rallied on positive market sentiment and closed at 33,018.65 , up 1.80%, Hang Seng advanced to 19,538.00 , up 0.69%.
EUR/USD is up 0.37% to 1.0795 while is continuing the rally of AUD/USD and NZD/USD, up +0.33% and +0.33% respectively. USD/JPY almost flat at 139.51. Better than expected figures for the ILO unemployment rate in UK , despite employment being a laggard indicator, are lifting BoE hawkish bets, with GBP/USD trading at 1.2562 , up 0.44%.
Crude Oil rebound after yesterday selloff, and is trading at 67.69$/barrel, up 0.85% while XAU/USD is up 6.8$ or 0.35% at 1,976.5 $/oz.
On a different note, German CPI (6.1% YoY) and Spanish CPI (3.2 YoY) were very far away from each other. This complicate restrictive monetary policy because can trigger a credit crunch when prices are just above the long term target rate.
