By MFM Team The last day of Ramadhan sank the US equities market, with Dow (-1.99%), Nasdaq (-2.67%), S&P (-2.14%) including Russel (-3.26%) in negative territories; after inflation reported a figure not seen since 1982. Annual core CPI rose 3% in April compared to 1.6% in March, when markets were expecting 2.3% and the numbers triggered a sell-off in the bond markets, which saw the 10Y benchmark yield 1.69% as New York closed. The move triggered a Dollar rally as gold retreated from testing the $1,850/oz level, while crude continued to advance above $66.50/bl after Cushing reported a reduction in inventories. We see the worst in the equities market is yet to come.
As we will not be reporting the State of the Markets until next Monday in celebration of the Eid, we will make available Reuters: Day Ahead for your daily reading pleasure.
Trades updates: KHC has reached TP2 and closed, AUY reached TP1 and closed, XAU/USD has reached TP3 and closed, USD/JPY closed on breakeven, we remain bullish PFE and will continue to accumulate.
To all Muslim traders and investors, we wish Eid Mubarak! and may profits always be with you.
MFM Team
Abdul H. Jaffar