Markets mixed ahead of Powell’s Jackson Hole speech - 25.8.2023

The Dollar strengthening is intact today. 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, gained 0.8% on Thursday while the Department of Labor data showed the number of Americans who sought unemployment benefits over the last week was lower than the forecast while their number fell.

EUR/USD joined GBP/USD’s accelerated sliding on Thursday. USD/JPY reversed its sliding yesterday while AUD/USD reversed its climbing with the yen and the Australian dollar lower against the Greenback currently.

US stock indexes futures are mixed currently as the yield on benchmark 10-year Treasury notes rose to 4.259%. The three main stock benchmarks ended lower on Thursday in the range of -1.87% to -1.07% led by technology shares as the yield on the 10-year US Treasury resumed advancing while data showed US durable goods orders slumped from June to July.

European stock indexes are mixed currently after closing lower on Thursday with tech shares leading losses. Asian stock indexes futures are mostly lower today with Hong Kong’s Hang Seng leading losses while China banned the import of seafood from Japan as Japan began releasing contaminated water from the Fukushima plant into the Pacific Ocean.

Brent is advancing currently. Prices ended higher yesterday amid reports of falling refined product stocks in Europe. Dutch consultancy Insights Global posted data showing gasoil stocks held in independent storage in the Amsterdam-Rotterdam-Antwerp (ARA) refining and storage hub declined by 3% in the latest week. The US oil benchmark West Texas Intermediate (WTI) rose 0.2% and is higher currently. Brent crude gained 0.2% to $83.36 a barrel on Thursday.