Mixed start to the week for equities but commodities trade firmer

Published date: 16/12/2019

On the first trading day of the week, the indices in the Asia Pac area traded mixed. The Nikkei 225 fell -0.29%, the ASX pushed 1.63% higher and the Shanghai Comp. also increase by 0.56%. There was some interesting data to digest but one of the biggest was the Chinese industrial production number for November. The data beat the expectations of 5% to print at 6.2%. Australian and Japanese manufacturing data was subdued and now it's over to Germany to see if thing improved. 

In FX markets GBP/USD is still pushing higher following the election result and therefore dragging EUR/USD up in the process. Having said that EUR/GBP is 0.19% lower so it's clearly GBP driving the strength.

As equities were mixed gold used the opportunity to push higher. The yellow metal trades at $1477/oz at the start of the trading week, pushing 0.11% higher overnight.

The good news keeps coming for copper as the Chinese data improved. The red metal now trades 0.41% higher after retracing somewhat on Friday but the price is still under the $2.80/lb level.

Spot WTI is desperately trying to take the $60/bbl level out and this morning starts the week, at $59.90/bbl. This weeks inventory levels will be important.

Today we will be looking out for manufacturing data from all the major nations, also services PMI from UK, US and Germany.



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