Significant Data to Be Released This Week
market news summary
Official data revealed that the economy of the Eurozone has officially entered what is known as a “technical recession” in the first quarter of the current year.
According to the revised or final data released by Eurostat, the Gross Domestic Product (GDP) of the Eurozone contracted by approximately 0.1% in the first three months of 2023. The initial readings had indicated a 0.1% growth in the economy. The Eurozone economy also contracted by about 0.1% in the last three months of 2022. With two consecutive quarters of GDP contraction, the economy is sliding into what is known as a “technical recession.”
Goldman Sachs has lowered its expectations for the price of Brent crude oil and U.S. crude oil for December. In a memo, the U.S. bank indicated that it expects the price of Brent crude to reach levels around $86 per barrel in December, compared to previous estimates of $95.
Dollar Index (USDX)
Investors are now eagerly awaiting data on both the Consumer Price Index (CPI) and the Producer Price Index (PPI) in the United States, which will be released on Tuesday and Wednesday respectively, to gauge their impact on interest rate expectations.
The U.S. dollar index is hovering around the $103.50 level.
Pivot point: 103.45
| Resistance level | Support level |
| 103.65 | 103.35 |
| 103.75 | 103.15 |
| 103.95 | 103.00 |
Spot Gold (XAUUSD)
Gold prices fell on Monday, June 12, as the dollar rose while investors awaited US inflation data and the Federal Reserve’s interest rate decision.
Gold in spot transactions decreased 0.2% to 1956.82 dollars an ounce, and US gold futures contracts fell 0.3% to 1971.10 dollars.
Pivot point: 1963
| Resistance level | Support level |
| 1969 | 1953 |
| 1979 | 1946 |
| 1986 | 1937 |
Dow Jones Index (DJ30ft – US30)
The market is looking forward to the Consumer Price Index (CPI) figures this week and the meeting of the Federal Open Market Committee (FOMC). 71% of the markets anticipate that Federal Reserve will temporarily pause interest rate hikes in the June meeting.
On a weekly basis, the S&P 500 index rose by 0.39%. This marks the fourth consecutive week of gains, a feat last achieved in August. The Nasdaq index increased by about 0.14%, marking its seventh consecutive week of gains. The Dow Jones index rose by 0.34%.
Pivot point: 33878
| Resistance level | Support level |
| 34015 | 33760 |
| 34135 | 33620 |
| 34275 | 33500 |
US Crude (USOUSD)
Oil prices declined on Monday, June 12, ahead of the Federal Reserve’s meeting as investors seek clues about the US Federal Reserve’s stance on interest rate hikes. Additionally, concerns related to fuel demand growth in China and increased Russian crude supplies have impacted the market.
Brent crude futures fell by 29 cents or 0.4% to $74.50 per barrel, while West Texas Intermediate (WTI) crude dropped by 24 cents or 0.3% to $69.93 per barrel.
Pivot point: 70.70
| Resistance level | Support level |
| 71.35 | 69.70 |
| 72.40 | 69.05 |
| 73.05 | 68.00 |
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