The US Federal Reserve has no plans to cut its stimulus programs this year
The US stock indices remained at the same price levels. Investors are braced for the Consumer Price Index (CPI) report to be released on Thursday. In its turn, party disagreements regarding the G7 tax deal are growing in the US. Several high-ranking Senate Republicans criticized the US deal with the G7 countries to impose a global corporate tax of at least 15%. Republicans believe the deal is meant to tax big tech corporations such as Alphabet, Apple, Amazon, Google, Facebook, Microsoft, and others, which would hit the US economy and lead to a drain on tax revenues from the US Treasury to other countries.
The US Treasury yields are currently at weekly lows. Considering the intensifying inflationary pressures, the current situation plays in favor of the rising prices of gold and other precious metals.
While oil futures reached $70, marking a 2-year high, the quotes fell on Monday. The possible arrival of Iranian oil barrels at the global market still plays a key role in curbing the rise in prices for “black gold.” Although many Wall Street traders are confident of reaching $100 a barrel by the end of next year. This year, the price of oil increased by more than 40%.
At the moment, the Asian stock indices show the same dynamics as the American ones. Indices are rising slowly, but inflationary pressures are restraining factors. Volatility is likely to remain below average until the US Consumer Price Index report.
S&P 500 (F) 4,226.52 -3.37 (-0.08%)
Dow Jones 34,630.24 -126.15 (-0.36%)
DAX 15,677.15 -15.75 (-0.10%)
FTSE 100 7,077.04 +8.18 (+0.12%)
USD Index 89.98 -0.16 (-0.18%)
News feed for: 2023.07.04
- Japan Gross Domestic Product (q/q) at 02:50 (GMT+3);
- Germany ZEW Economic Sentiment (m/m) at 12:00 (GMT+3);
- Eurozone ZEW Economic Sentiment (m/m) at 12:00 (GMT+3);
- Eurozone Gross Domestic Product (q/q) at 12:00 (GMT+3);
- US Trade Balance (m/m) at 15:30 (GMT+3);
- Canada Trade Balance (m/m) at 15:30 (GMT+3).
This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.
