Good Morning Traders!
It is Friday 23rd of June, here are some things to look out for.
Sentiment
As hawkish signals from the Federal Reserve and other major central banks reignited fears of a recession, US equity futures fell, with the benchmark index on track for its worst week since March.
As of 5:19 a.m. in New York, S&P 500 contracts were down 0.5%, bringing the index's weekly loss to 1%. Futures for the tech-heavy Nasdaq 100 index fell 0.7%.
After Federal Reserve Chair Jerome Powell reiterated the need for further tightening and a global risk-off mood fed into further upside for the greenback, the dollar strengthened against all G-10 currencies, putting it on track for its first weekly gain this month. Treasuries rose across the yield curve, joining a broad-based rally in European bonds, as weak euro-zone PMI data re-emphasized the threat of recession.
Money markets increased their bets on further Federal Reserve tightening, pricing in a 100% chance of a 25-basis-point hike by July, up from a 100% chance by September yesterday.
Docket
09:45 AM ET
US S&P Manufacturing PMI Flash - Median Forecast 48.5 | Prior 48.4 | Range 51.4/47.9
US S&P Services PMI Flash - Median Forecast 54 | Prior 54.9 | Range 55/52
US S&P Composite PMI Flash - Median Forecast 53.5 | Prior 54.3 | Range 54.4/53.1
Speakers
08:00 AM ET
Fed's Bostic participates in conversations on relevant topics to the finance community and business before the University of Georgia Terry College of Business CFO Roundtable.
08:40 AM ET
Fed's Mester
08:45 AM ET
ECB's Panetta speaks in a panel discussion on the future of Crypto at the 22nd BIS Annual Conference on central banks, macro-financial stability and the future of the financial system in Basel.
12:00 PM ET
ECB's Elderson participates in a panel on green finance policy at Federal Working Group Europe of the German Greens Conference
13:40 PM ET
Fed's Mester will discuss community development during closing remarks at the bank's annual Policy Summit. Text is expected but no Q&A.
Good Luck Today Traders!