Still under pressure, the euro extended its losses on Monday, approachingmore from the region of 1.19. In contrast, the DXY index was up, close to the level of91.9. This week’s focus will be on FOMC statements and target rate data forFed funds on Wednesday.
Gold was consolidated during the session, close to USD 1730 an ounce, amid aless strong dollar and the approval of President Joe Biden’s big stimulus package,that can boost demand for metal as a means of protection against inflation.
Wall Street had its indices traded mixed, with the Dow Jones trying to stayclose to its record high, while the Nasdaq and S&P 500 remainedclose to their opening regions.
In Europe, indices were up earlier in the session, with some benchmarksreaching their highest levels in a few years, supported by hopes of aglobal economic recovery due to better-than-expected data fromindustrial production and retail sales in China.
The New York Empire State Manufacturing Index jumped from 12.1 in February to 17.4 inMarch 2021, exceeding expectations of 14.5. The reading pointed to the growthstrongest in commercial activity in New York since November 2018. The neworders increased modestly (9.1 against 10.8) and shipments roseconsiderable (21.1 against 4). Delivery times continued to increase (11.4 vs 9.1),and inventories were slightly higher (8.1 vs 6.5). Employment levels (9.4 vs 12.1) andthe average weekly work (10.9 vs 9) increased modestly. Increases ininput prices continued to grow (64.4 against 57.8), increasing at the fastest pacefast in almost a decade, and sales prices have also risensignificantly (24.2 against 23.4). Looking to the future, companies have remainedoptimistic that conditions would improve in the next six months (36.4 vs 34.9),anticipating significant increases in jobs.
