Statistics Canada was active with another report released yesterday, and it was the Foreign Securities Purchase data. The April report showed non-resident investors purchased securities worth a whopping CAD14.91 billion, which comprised equity and debt securities. Local investors purchased more foreign securities for the third straight month, CAD2.8 billion.
In the United States, the Federal Reserve Bank of New York declared yesterday the June Empire State Manufacturing index advanced to 7.8, much stronger than expected, as analysts merely looked for a 0.4 gain, after a dismal -1.4 reading in May. US NAHB Housing Market Index also advanced, 52 versus the 45 forecast, National Association of Home Builders reported.
Today, Reserve Bank of Australia greeted the market with its Monetary Policy Meeting Minutes. However, nothing really new was declared. The Minutes showed that RBA sees inflation may provide breathing room for easing rates further and that Aussie Dollar remains high relative to export prices. It also stated that the housing market is improving, while the mining investment seems near its peak.
Japan’s METI published today the revised Industrial Production date for April, and this showed a 0.9 percent gain, following a 1.7 percent gain back in March.
In the UK, Consumer Price Index has accelerated to 2.7 percent in May, brought about by the record airline fare hikes. Economists were expecting a 2.6 percent gain, after the 2.4 percent gain back in April. Meanwhile, PPI Input, RPI, and HPI came in at -0.3 percent, 3.1 percent, and 2.6 percent, respectively.
German and Euro-area ZEW Economic Sentiments were released simultaneously a few hours ago, and they stood at 38.5 and 30.6 respectively.
Less than two hours from now, the market will enthusiastically await the release of US Building Permits, CPI, and Housing Starts. The G8 continues with their second day of meetings today in Northern Ireland.
Gold continues to play around in a very tight range for a seventh day today, but this time it is closing in the lows set last Tuesday around $1,365. As mentioned before, key support could come in around $1,320-30. Further slide in price would keep bulls busier and farther from the $1,400 must-breach level.
Oil sellers in the upper-$98s helped pulverize nearly all of yesterday’s gains, keeping oil nearly unchanged and confined below the $98 for the second day in a row. Sellers continued the downside march today, and came very close to clinching a break of yesterday’s low. A successful break would easily expose $94-$96.50.