UK GDP disappoints expectations
US and Mexico close to a £secret" deal on immigration
Trump says Huawai may also be part of deal with China
Subdued start of the week with Equities gapping higher again after positive developments on US-Mexico trade deal and the prospect of more cuts to be expected from the Fed given recent signs of lagging inflation. Wednesday will be key to see if current expectations on inflation will be met, as traders will be awaiting the release of the US CPI. Also don't forget that in two weeks time G20 will kick off in Osaka.
US Equities keep pushing higher living the dream of a Trade resolution and long term low interest rates. SP500 broke above the 2900 level after the US Equities cash open. Will be important to see where we can close the week after the release of the CPI.
The US dollar traded firm around the 97 level amid ahead of inflation data this week. EUR remained above the 1.1300 throughout the session in a relatively tight range. GPB came under pressure after the release of the UK GDP in May( -0.4% vs -0.1% exp) with the manufacturing output hitting a 17 years low. The rest of the USD counterparts traded choppy amid lack of catalyst.
Crude Oil traded rangebound below the 55 level. Gold pulled back after two consecutive weeks of gains
If you missed the morning briefing from the desk click HERE
If you want to get ready for the week ahead, find the Weekly Strategy HERE
Hope you enjoyed the session