This is what you need to know to trade today Friday June 11:
Markets remain bullish and the US dollar remains in range despite strong inflation figures. The focus of attention shifts to US consumer confidence, as well as possible progress in bipartisan talks. A delay in the UK reopening is weighing on the British pound, oil spreads its gains and cryptocurrencies are consolidating.
The index S&P 500 It hit a new all-time high on Wednesday as investors ignored fears of a jump in headline inflation to 5%, the highest level since 2008. Markets appear to be convinced that the Federal Reserve would ignore rising prices and continue to label inflation as transitory.
Yields on US 10-Year Bonds they fell well below 1.50%, dragging the dollar with them.
See: US Inflation Analysis: As High As Possible? Fed may still stick to “transitory” stance, dollar could suffer
A bipartisan group of US senators reached a settlement of $ 1.2 trillion in infrastructure spending that does not include tax increases. President Joe Biden is touring Europe and has yet to bless the deal. More details may be released on Friday.
The EUR/USD it is trading near 1.22 despite the European Central Bank’s decision to keep the bond buying pace high. ECB President Christine Lagarde said it is premature to talk about exiting the QE program. The central bank also updated its growth forecasts, as expected.
The GBP/USD it falls below 1.42 amid the current acrimony of Brexit and news that Prime Minister Boris Johnson will delay reopening by four weeks. The last phase to return to normal is scheduled for June 21, but the rapid spread of the Delta variant has led policy makers to change their minds.
The monthly figures for gross domestic product UK GDP for April they are scheduled to show a robust growth rate of more than 2% and Bank of England Governor Andrew Bailey speaks later in the day.
The crude petróleo WTI it is trading above $ 70.00 despite news that Saudi Arabia increased its production. Gold is around $ 1,900, benefiting from lower returns in the United States.
The cryptocurrencies They have been consolidating their gains, with Bitcoin hovering around $ 37,000 and Ethereum just under $ 2,500. The relative calm in digital assets can make way for a turbulent weekend.
Preliminary figures for the Consumer Sentiment Index from University of Michigan for June they show a recovery from the May drop to 82.9 points. The data is considered a leading indicator of retail sales.
See: Michigan Consumer Confidence Preview: Inflation Becomes a Problem
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