Yesterday’s positive momentum which saw major US indices gain 0.75% to 2.0% yesterday has faded overnight and a moderate correction appears to be underway this morning with US index futures down 0.25% to 0.45%. Despite positive economic news, European markets are also down today with the Dax and FTSE both falling about 0.3%. Trading oil and metals is very mixed today with Gold up 0.5%, WTI Crude Oil up 0.2%, Copper down 0.4% and Natural Gas down 0.75%. The Canadian Dollar is quiet ahead of tomorrow’s Bank of Canada meeting.
S&P Global Flash Manufacturing and Flash Service reports, the first quick peek at January economic conditions for several countries have been constructive for the most part. Results from Continental Europe and Japan were better than expected, Australia was worse than expected and the UK was split. Most notably, Australia Manufacturing crossed under 50 into contraction territory, while the Eurozone Composite and German Services crossed above 50 into expansion territory. US Flash Manufacturing (street 46.1) and Flash Services (street 44.5) reports are due at 9:45 am EST.
Earnings season has resumed this morning with more positive results as Johnson & Johnson ($2.35 vs street $2.23) and Danaher ($2.87 vs street $2.55) both beat expectations Microsoft and Canadian National Railway are scheduled to report results after the close today followed by Boeing tomorrow morning.
New Video: SIA Wealth June Market Outlook Webinar Replay
A replay of the SIA Wealth Market Outlook Webinar with Portfolio Manager Kyle Wilson, CFA and Chief Market Strategist Colin Cieszynski CFA, CMT, featuring their 2022 review and 2023 market outlook, is now available.
YouTube Version: https://youtu.be/RzeI-Wd7-JA