Rabobank's Senior Market Strategist Benjamin Picton highlights comments from Australian Prime Minister Albanese and Treasurer Chalmers ahead of the Commonwealth budget, stressing concerns over an expensive housing market and planned tax changes.
Gold (XAU/USD) maintains its offered tone below through the early European session on Tuesday and is currently placed around the $4,700 as traders keenly await the release of the US consumer inflation figures.
Brown Brothers Harriman (BBH) Elias Haddad notes that USD/JPY has rebounded toward 157.75 after testing 155.00, with 160.00 described as a key line in the sand.
Here is what you need to know on Tuesday, May 12:
The AUD/USD pair continues with its struggle to find acceptance above the 0.7250 level and attracts fresh sellers on Tuesday as rising US-Iran tensions boost the safe-haven US Dollar (USD).
ING’s Francesco Pesole notes EUR/USD has held up with risk sentiment despite Gulf tensions, but warns current levels may not withstand an equity correction.
European Central Bank (ECB) Governing Council Member and President of the Deutsche Bundesbank, Joachim Nagel, said during the European trading session on Tuesday that the baseline includes two interest rate hikes in the near term.
Deutsche Bank analysts report that the S&P 500 closed at another record high, supported by strong gains in chip stocks and energy names, even as broader market breadth remained cautious.
Italy Industrial Output s.a. (MoM) above forecasts (0.2%) in March: Actual (0.7%)
Italy Industrial Output w.d.a (YoY) up to 1.5% in March from previous 0.5%
The USD/CAD pair trades 0.12% higher to near 1.3695 during the European trading session on Tuesday.
MUFG’s strategists note that the US Dollar (USD) has weakened despite solid United States (US) jobs data, as optimism over a potential US/Iran deal and surging US equities support risk appetite.
