Stocks rise after benign US inflation data - 13.7.2023

The Dollar weakening continues currently. The live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, dropped 1.1% Wednesday.

Both GBP/USD and EUR/USD accelerated their climbing on Wednesday while the Bank of England said British banks are strong enough to support households and businesses. USD/JPY accelerated its retreating yesterday while AUD/USD accelerated its climbing with both the yen and the Australian dollar higher against the Greenback currently.

The US stock index futures are up currently ahead of unemployment claims and producer prices reports at 14:30 CET today. The three main US stock indexes ended solidly higher on Wednesday in the range from 0.25% to 1.15% as US consumer prices data showed sharper than expected slowdown in June.

European stock indexes futures are higher currently after indexes closed up yesterday with mining shares leading gains. Asian stock indexes futures are advancing today with Hong Kong’s Hang Seng Index leading gains as tech giants rallied after Premier Li Qiang urged the companies to support a slowing economy while Chinese trade data showed both exports and imports contracted at a worse than expected pace last month.

Brent is extending gains presently. Prices ended higher yesterday despite Energy Information Administration report US crude inventories rose by above expected 6 million barrels in the last week. The US oil benchmark West Texas Intermediate (WTI) futures surged 1.2% and is higher currently. Brent crude rose 0.9% to $80.11 a barrel on Wednesday.