France's CAC up modestly and trade at a new record high
The major European indices are closing with mixed results. The provisional closes are showing the France's CAC up 0.1% which would be another new record high. The German Dax is flat.
- German DAX, flat
- France's CAC, +0.1%
- UK's FTSE 100, -0.5%
- Spain's Ibex, -0.3%
- Italy's FTSE MIB +0.15%
In the European debt market, the benchmark 10 year yields are all trading lower with the UK 10 year down -2.0 basis points.
- Spot gold is trading up $14.26 or 0.77% at $1864.10
- Spot silver is up $0.26 or 1.05% $25.08
- WTI crude oil futures are down $1.33 at $79.30. The US announced that the strategic petroleum reserves felt -3.2 million barrels to the lowest level since June 2003
- Bitcoin is trading above and below the $60,000 level. It currently trades at $60,316
In the US stock market, the Dow industrial average is down 200 points. The NASDAQ and S&P index are also lower.
- Dow industrial average -198.64 points or -0.56% at 35943
- S&P index -8.02 points or -0.17% at 4692.88. Yesterday the index closed less than a point away from an all-time high close.
- NASDAQ index is down -8.07 points or -0.05% at 15965
In the US debt market, the front end of the curve is mostly lower while the 30 year yield is up 0.8 basis points. The U.S. Treasury will auction off 20 year bonds at 1 PM ET.
In the forex market, the GBP remains the strongest of the majors (it was the strongest at the start of the NA session). The AUD remains the weakest. The USD has tilted higher in the US morning session. The greenback is higher vs the CAD and AUD, down vs the GBP and JPY, and near unchanged vs the EUR, CHF and NZD.
- The Canada CPI came in as expected but remains high (18 year high).
- Housing starts in the US was lower, but building permits were higher
- Schnabel said the ECB has to be ready to act if inflation remains high, but also said avoiding the mistake of premature tightening of monetary policy in response to a temporary and possibly short-lived inflation spike
- BOEs Mann said we feel confident that people believe the BOE can and will undertake appropriate policy response to bring CPI back to 2%
