S&P 500 futures fall at start of busy week, dollar mixed

• Equity markets with a negative tone, falls on average of 0.8% on Wall Street.
• A week full of results, data and events begins.
• The dollar moves without a clear direction, sovereign bonds fall.
• Metals, oil and cryptocurrencies without significant changes.

Wall Street futures are trading in the red at the start of a week on key data, critical corporate results and central bank decisions. The dollar moves without a clear direction and with runs in recent ranges. Commodities stable and bond yields rising.

Key week begins

In Asia, the Hang Seng fell 2.73%. In Europe stocks are falling with the FTSE 100 shedding 0.14% and the CAC 40 shedding 0.85%. S&P futures fall 1%, and Nasdaq futures 1.39%.

Alibaba shares that operate in New York fall more than 5% in the previous one. Lockheed Martin stands out with a rise of 1%. Before the opening, Rayanair and Canon will present results; after closing it will be Whirlpool and Principal Financial. This week they will present results from Exxon, Ford, Starbucks, Apple, Amazon, Meta Platforms and Alphabet. Tech companies are in the crosshairs following the announcements of job cuts, and their outlook may weigh on broader markets.

In Europe mixed data were known. Among the most striking was the contraction of the German economy in the fourth quarter of 0.2%, against the expectation of stagnation. In Spain, the annual inflation indicators for January surprised to the upside, with the harmonized index standing at 5.8%, higher than the previous 5.7% and the expected 4.9%, despite the monthly drop of 0.2%. On the positive side, Eurozone consumer confidence indicators improved with the main index rising from 97.1 to 99.9.

In the US, the Dallas Fed manufacturing business index will be published. On Tuesday there will be employment, production and retail data from Japan, activity figures from China, GDP from the Eurozone and the preliminary inflation for December from Germany. In addition, the two-day meeting of the Federal Reserve. There is a busy week ahead since in addition to the corporate results and the data, it will be the decision of the Fed (Wednesday), the European Central Bank and of the bank of england (Thursday). The number of relevant economic reports and central bank decisions lead to a high possibility of volatility in financial markets.

The bond yields sovereigns rise overall. Spain’s inflation data accelerated those of the region. Germany’s 10-year bond yields 2.32%, the highest since January 6, while the Treasury yields 3.55%, close to Friday’s high. The US Treasury will place debt at 13 weeks (60,000 million) and 26 weeks (48,000 million).

The dollar presents mixed results and small variations with respect to Friday’s closes. The DXY falls 0.07%, and trades at 101.85. USD/JPY had fallen in Asian hours to 129.20 but rebounded to 130.20. EUR/USD hit highs above 1.0900, but has yet to gain a foothold above it. GBP/USD is trading around 1.2900. Emerging market currencies are trading mostly (moderate) losers against the dollar.

The Prayed and the silver remains stable at family levels. Gold remains close to $1,930 while silver remains near $23.70. Cryptocurrencies are falling on Monday. Bitcoin had climbed to the gates of $24,000 over the weekend, but today it returns much of that gain and is testing $23,000. Oil prices do not register significant variations and a barrel of WTI remains close to $80.00.

technical levels