It's a busier day ahead on the economic calendar. Stats from the Eurozone and the U.S will provide direction ahead of tomorrow's FOMC policy decision and projections.
French HICP (MoM) (May) Final
Italian CPI (MoM) (May) Final
Eurozone Trade Balance (Apr)
Eurozone Wages in euro zone (YoY) (Q1)
Eurozone Core CPI (YoY) (May) Final
Eurozone CPI (MoM) (May) Final
Eurozone CPI (YoY) (May) Final
It was a mixed start to the week for the European majors on Monday.
The CAC40 and the EuroStoxx600 rose by 0.24% and by 0.18% respectively, while the DAX30 slipped by 0.13%.
Better than expected economic data from the Eurozone and hopes of an accommodated FED delivered support on Monday.
While FOMC members have signaled a willingness to begin discussion on tapering, NFP numbers have yet to press for a hasty response.
The market focus early in the week will be on the FED, with the FOMC meeting kicking off later today.
In April, industrial production increased by 0.8%, coming in ahead of a forecasted and March 0.4% rise.
According to Eurostat,
It was a particularly quiet day on the economic calendar, with no material stats to provide direction late in the session.
For the DAX: It was a bearish day for the auto sector on Monday. Volkswagen and Daimler fell by 0.94% and by 0.97% respectively, with Continental ending the day down by 0.72%. BMW saw a more modest 0.03% loss on the day.
It was a bearish day for the banks, however. Deutsche Bank and Commerzbank ended the day down by 1.44% and 1.38% respectively.
From the CAC, it was a mixed day for the banks. BNP Paribas and Credit Agricole rose by 0.23% and by 0.27% respectively. Soc Gen ended the day flat.
It was also a mixed day for the French auto sector. Stellantis NV ended the day flat, while Renault fell by 0.18%.
Air France-KLM slid by 1.40%, while Airbus SE eked out a 0.04% gain on the day.
It was back into the green for the VIX on Monday, marking 4th gain in 8 sessions.
Reversing a 2.80% fall from Friday, the VIX rose by 4.73% to end the day at 16.39.
The Dow fell by 0.25%, while the NASDAQ and the S&P500 ended the day up by 0.74% and by 0.18% respectively.
It’s a busier day ahead on the European economic calendar.
Finalized inflation figures for France, Germany, and Italy are due out along with trade data for the Eurozone.
Expect the Eurozone’s trade data for April to draw the greatest interest.
From the U.S, it’s a busy day ahead, with NY Empire State Manufacturing Index, wholesale inflation, and retail sales figures the key stats of the day.
Industrial production and inventory numbers are also due out but should have a muted impact on the majors.
Away from the economic calendar, further chatter following the G7 Summit will also need monitoring.
In the futures markets, at the time of writing, the Dow Mini was down by 23 points.
For a look at all of today’s economic events, check out our economic calendar.
With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.