Weekly Excerpt 06/14/2021
Weekly summary from June 07 to 11
- The US equity market closed the week in positive territory, with the exception of the Dow Jones index. The S&P500 reached new highs, something that has not happened since the beginning of May. The leading sectors during the week were Real Estate, Health Care and Consumer Discretionary. On the other hand, the Nasdaq 100 closed the week in positive territory once again, closing in the green for the sixth consecutive session, its longest streak since the beginning of December 2020.
- In Europe, the week closed on a positive note for the main equity indices. The week was defined by the ECB's message that it has decided to maintain the pace of its purchase program (despite the fact that inflation has already reached 2%). On the other hand, economic projections have improved.
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- Inflation data came in above expectations. The CPI figure for 5% (4.7% expected) is a figure not seen since 2008. Regarding the underlying CPI, the figure of 3.8% (3.5% expected) has not been seen since 1992.
- However, based on the behavior of the last few days, the market seems to have already discounted this data. For now, it seems to have accepted the Fed's message that inflation is a transitory and not a long-term problem.
- On the other hand, on expectations of an increase in demand, oil has closed another week in positive territory. The yield on the benchmark 10-year US Treasury bond has fallen to its lowest level in a month, closing the week at 1.45%.
| AMERICA | QUOTE | Δ %5 Days | Δ % YTD |
|---|---|---|---|
| DOW JONES | 34.479,60 | -0,80% | 12,65% |
| S&P500 | 4.247,44 | 0,41% | 13,08% |
| NASDAQ | 14.069,42 | 1,85% | 9,16% |
| EUROPE | QUOTE | Δ %5 Days | Δ % YTD |
|---|---|---|---|
| Euro Stoxx 50 | 4.126,70 | 0,91% | 16,16% |
| FTSE 100 | 7.134,06 | 0,92% | 10,43% |
| CAC 40 | 6.600,66 | 1,30% | 18,90% |
| DAX | 15.693,27 | 0,00% | 14,39% |
| IBEX 35 | 9.205,00 | 1,28% | 14,01% |
| SMI | 11.841,30 | 2,34% | 10,63% |
| ASIA | QUOTE | Δ %5 Days | Δ % YTD |
|---|---|---|---|
| NIKKEI 225 | 28.948,73 | 0,02% | 5,48% |
| HSI | 28.842,13 | -0,26% | 5,92% |
| CSI 300 | 5.224,70 | -1,09% | 0,26% |
| BONUS | QUOTE | Δ %5 Days | Δ % YTD |
|---|---|---|---|
| US TREASURY 10Y | 1,45 | -6,54% | 117,01% |
| US Generic Govt 2 Yr | 0,15 | 1,51% | -25,32% |
| GERMANY 10 YR | - 0,27 | -28,41% | 33,82% |
| UK 10 Yr | 0,71 | -10,42% | 257,58% |
| COMMODITIES | QUOTE | Δ %5 Days | Δ % YTD |
|---|---|---|---|
| WTI | 70,91 | 1,85% | 46,15% |
| BRENT | 72,69 | 1,11% | 40,33% |
| NATURAL GAS | 3,30 | 6,43% | 29,81% |
| CORN | 684,50 | 0,26% | 41,43% |
| WHEAT | 680,75 | -1,02% | 6,28% |
| GOLD $/oz | 1.877,40 | -0,66% | -0,93% |
| SILVER $/Oz | 28,15 | 0,90% | 6,57% |
| COPPER | 453,75 | 0,19% | 28,94% |
| PLATINUM | 1.150,92 | -1,57% | 7,35% |
| COINS | QUOTE | Δ %5 Days | Δ % YTD |
|---|---|---|---|
| EURUSD | 1,211 | -0,48% | -0,88% |
| AUDUSD | 0,771 | -0,40% | 0,18% |
| CADUSD | 0,823 | -0,59% | -4,53% |
| CHFUSD | 1,114 | 0,13% | 1,47% |
| GBPUSD | 1,411 | -0,35% | 3,20% |
| CNYUSD | 0,156 | -0,06% | -1,96% |
| JPYUSD | 0,009 | -0,13% | 6,15% |
| USDBRL | 5,118 | 1,36% | 1,57% |
| USDMXN | 19,876 | -0,41% | 0,19% |
| USDCOP | 3603,44 | -1,18% | -4,82% |
| XBTUSD | 37152,14 | 0,26% | 28,13% |
To be taken into account
- Investors' attention this week will be mainly focused on the meeting to be held by Fed representatives. No immediate adjustments in monetary policy are expected, but new indications of the new stance on the current inflation data are expected.
- As part of the items approved on their agenda, G7 leaders agreed on Sunday 13 to increase their contributions to meet an overdue spending commitment of $100 billion a year by rich countries to help poorer countries reduce carbon emissions and tackle global warming.
- Another of the points concluded after the weekend meeting was the commitment made by the seven countries (Germany, Italy, France, the United States, Canada, Japan and the United Kingdom) to donate 1 billion doses of COVID-19 to the countries most in need by the end of 2022.
- Nancy Pelosi, Speaker of the U.S. House of Representatives, has said that Democrats will not back down from a major infrastructure plan proposed by President Joe Biden. The radical infrastructure bill consists of a major overhaul to the nation's roads and bridges, as well as spending on public services such as health care and child care.
Other important points
- Shell, the second-largest Western energy company, is reportedly reviewing its U.S. oilfield holdings for a possible sale. The move would mark a key moment in its shift away from fossil fuels as it faces growing pressure to reduce carbon emissions.
- Investors will be watching China's industrial production and retail sales data on Wednesday. The information will provide an updated perspective on how the world's second largest economy is evolving.
- In view of the growing concern about the increasing number of infections of the "delta COVID-19" variant, British Prime Minister Boris Johnson is due to announce on Monday 14 June whether the last remaining blocking restrictions in the UK can finally be fully lifted on 21 June.
- Tesla Inc. chief executive Elon Musk has announced that his company will resume bitcoin transactions when miners verifying transactions use more renewable energy.
- This week a number of companies will hold their annual investor meetings, including Activision Blizzard and General Motors on Monday the 14th, followed by Humana on Tuesday the 15th and finally DXC Technology and NRG Energy on Thursday the 17th.
Economic Calendar
Monday 14
CNY: Holiday
Tuesday 15
AUD: Minutes of the monetary policy meeting of the Reserve Bank of Australia
UK: Unemployment data (May)
USA: Underlying retail sales
USA: PPI Data
Wednesday 16
CNY: Industrial Production Index
USA: IEA crude oil inventories
USD: Interest rate decision and FOMC statement
Thursday 17
CHF: Interest rate decision
USA: New claims for unemployment benefits
EURO: CPI in the euro zone
Friday 18
JPY: BoJ Monetary Policy Statements
GBP: Retail sales data
