Global equities volatile ahead of US markets reopening - 6.7.2021

The Dollar strengthening has stalled currently . The live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, added 0.01% on Monday.

GBP/USD continued advancing while EUR/USD reversed its climbing Monday despite Markit report June’s final euro-zone purchasing managers’ index showed business activity expanding at its sharpest rate for 15 years in euro-zone. Both are higher currently. USD/JPY’s continuing retreating Monday while AUD/USD continued climbing with both Australian dollar and yen higher against the Greenback currently.

Futures on three main US stock indexes are mixed currently ahead of the Institute for Supply Management Services PMI report at 16:00 CET today while US 10-year Treasury yields inched up to 1.444% currently. All three major Wall Street stock benchmarks ended last week higher, boosted by the higher-than-expected 850,000 non-farm payroll increase in June - significantly more than the 559,000 in May.

European stock indexes are mixed currently after ending mixed in a choppy session Monday with bank shares leading the gains. Asian indexes are mostly down today with Australia’s All Ordinaries ASX 200 Index leading losses as the Reserve Bank of Australia kept the official cash rate on hold at a record low of just 0.1% and said it was likely to remain there until 2024 while the RBA would continue purchasing government bonds past the present September deadline at a weekly pace of A$4 billion, rather than the current A$5 billion until at least mid-November.