SHANGHAI, May 26 (SMM) – US durable orders and pending home sales in April will be announced today. Base metals are expected to follow their own trends today.
US April pending home sales are expected to fall sharply from March. US home prices climbed recently, though, while housing starts and construction permits in April both increased. New and existing home sales were also upbeat in April, meaning US property market is recovering.
US durable goods orders in April should decrease from March. Markit flash and final manufacturing PMI in April both hit the lowest since September 2009. Output growth was the slowest since October 2009, and growth of new orders was also the slowest in four months. New export orders dropped most significantly over the past six months, boding ill for US April durable goods orders.
St. Louis Fed Chair will speak today, and any possible hawkish statement will drive up the US dollar index. He said the Fed may hike interest rate in July should US economic data improve, and believed US economy is in or surpasses full employment.
See SMM price forecast, please click: Base Metals to Stay Weak and Diverge, SMM Says