On Monday, the trading subdued as US stock and bond markets is closed due to the Memorial Day holiday. The UK markets also closed on Monday for the Spring Bank holiday.
Asian shares traded lower on Monday following the release of weaker-than-expected Japan retail sales and China manufacturing PMI data.
Crude oil prices trading higher ahead of OPEC and other major producers meeting on Tuesday. The oil prices ended higher on Friday after US President Joe Biden’s proposed a $6 trillion budget plan for the fiscal year 2022.
In the currency market, the EUR/USD remains under pressure after the dollar gained some upside momentum during the last week. On Friday, the US dollar climbs to a fresh 2-week high of 90.44 after the release of strong US Core PCE Price Index numbers.
The safe-haven metal trading steady above $1900 boosted by a decline in the yield of US Treasury bonds.
On the data front, on Friday the US released the latest personal income and spending data. The US Personal Income in April decreased by 13.1% after growing by 20.9% in March. While personal Spending for the same period slowed down from +4.7% to +0.5%.
This week the main highlights of the economic calendar will be the RBA interest rate decision, OPEC meeting, US and Canada employment report, UK, US, and Germany manufacturing PMI data.
Worldwide, more than 170 million people have been confirmed infected and more than 3.5 million have died. The United States has confirmed over 33.2 million cases and has had more than 594,000 deaths from COVID-19, the highest totals in the world.
EUR/GBP: The currency pair rebounded back to above 0.86 on Monday. If the bullish momentum continues the next upside levels to watch 0.8630 and 0.8665.
The important levels to watch for today: Support- 0.8580 and 0.8560 Resistance- 0.8610 and 0.8630.
GOLD: The yellow metal slightly retreats from the early session high of $1910, any break above this level the short-term upside levels to watch $1914 and $1920. On the downside, the immediate support at $1898 and $1890.
The important levels to watch for today: Support- 1898 and 1890 Resistance- 1912 and 1920.
Quote of the day: Mondays are for the brave, the strong and courageous because it’s always going to be that first day of every week when you choose t get out there and show up!