Morning Minutes 6/19/2020

Morning Minutes

UK Retail Sales Rebound and Quadruple Witching Hour

June 19, 2020

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Market Commentary By:
Colin Cieszynski, CFA, CMT
Chief Market Strategist
ccieszynski@siawm.com
+1 (647) 282-4428

Stock markets around the world are on the rise again this morning. US index futures are up another 1.0% to 1.3% with Dow futures rising 345 points as they look to bounce back from yesterday’s 39-point dip. Overseas, the Dax is up 1.2%, the FTSE is up 1.4% and the Hang Seng rose 0.75%. Commodities are also on the rise again this morning with WTI crude oil jumping 3.3% and regaining the $40.00/bbl level while copper is up 1.9%. The US Dollar is mixed but gold is up 0.6% as central banks remain in stimulus mode.

A better than expected retail sales report for the UK has helped to boost sentiment this morning, encouraging reopening recovery anticipation and adding to the suggestion from the US retail sales report earlier this week that some economies may have already bottomed out. UK May retail sales increased by 12% in May over April, significantly stronger than the 5.7% bounce the street had expected. May UK sales were down 13.1% over year which was improved from the 22.7% over year drop reported for April.  Canadian retail sales for April are also out today which showed a 26.4% drop which was worse than the 15.1% the street had been expecting.

The rest of the day is light for economic news. Fed Chair Powell is speaking again but its hard to see how he could have anything new to say after delivering two days of testimony to Congress earlier this week. We could potentially see some volatility in the last hour of trading as investors square position. Its Quadruple Witching today with futures and options on stocks and indices all set to expire.

New Video: Market Commentary and Portfolio Update – June 17, 2020

With Ted Bader-President, and Colin Cieszynski – Chief Market Strategist, of SIA Wealth Management

A new webinar replay is available featuring Ted Bader updating on the recent performance of SIA Wealth Managed portfolios, plus Colin Cieszynski discussing current trends in world markets. A PDF version of this presentation is available.

GoToMeeting Version: https://attendee.gotowebinar.com/recording/7894801758347351043

YouTube Version: https://youtu.be/UVokWcEBLVw

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