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Macro Roundup (Jun 27)
Jun 27, 2022 09:30CST
Source:SMM
The U.S. dollar slipped on Friday and was on track for its first weekly decline this month, as traders dialed down bets on where interest rates may peak and brought forward their views on the timing of interest rate cuts to counter a possible recession.

SHANGHAI, Jun 27 —This is a roundup of global macroeconomic news last night and what is expected today.

The U.S. dollar slipped on Friday and was on track for its first weekly decline this month, as traders dialed down bets on where interest rates may peak and brought forward their views on the timing of interest rate cuts to counter a possible recession.

A significant factor this week has been the fall in oil and commodity prices, which has eased inflation fears and allowed equity markets to rebound. This has eroded the safe-haven bid that has been boosting the dollar against other major currencies.

In afternoon New York trading, the dollar index, which measures the U.S. unit against six major currencies, fell 0.3% to 104.13.

The safe-haven greenback slipped further after data showed new home sales jumped 10.7% to a seasonally adjusted annual rate of 696,000 units last month. May’s sales pace was revised higher to 629,000 units from the previously reported 591,000 units.

U.S. stock futures fell on Sunday night following a major rebound last week from this year’s steep declines. Despite the bounce, Wall Street is preparing to wrap up the worst first half for stocks in decades.

Dow Jones Industrial Average futures fell 75 points, or 0.2%. The S&P 500 futures declined 0.2%, and Nasdaq 100 futures dropped 0.2%.

Those moves followed a major comeback week that saw the Dow industrials jump more than 800 points, or 2.7%. The S&P 500 popped 3.1%, and the Nasdaq Composite surged 3.3%.

Those gains helped the major averages post their first positive week since May. The Dow climbed 5.4% last week. The S&P 500 increased 6.5%, and the Nasdaq Composite gained 7.5%.

Oil prices settled up by more than $3 a barrel on Friday, supported by tight supply, but they notched their second weekly decline on concern that rising interest rates could push the world economy into recession.

Brent crude settled up $3.07, or 2.8%, at $113.12 a barrel by 12:10 p.m. EDT (1610 GMT). U.S. West Texas Intermediate (WTI) crude settled up $3.35, or 3.2%, at $107.62.

Gold edged up on Friday as the dollar retreated and recession fears buoyed its safe-haven appeal, but looming interest rates hikes set the non-yielding asset on course for a weekly dip.

Spot gold rose 0.1% to $1,824.69 per ounce, after earlier touching a one-week low of $1,816.10. U.S. gold futures settled up at $1,830.3.

Boosting gold’s appeal, the dollar index fell more than 0.2%.

The pan-European Stoxx 600 index closed up by 2.6% provisionally, its best day in more than three months, with tech shares adding 3.8% to lead gains as all sectors finished in positive territory.

Macro

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