Currencies are little changed on the last trading day of the week
US stocks finished on a mixed note overnight but the overall sentiment was mostly negative due to the lack of progress in the stimulus talks while better-than-expected US jobless claims data failed to inspire investors amid lingering economic concerns. As a result, the Dow Jones Industrial Average fell 0.3%, the S&P 500 lost 0.2%, and the Nasdaq Composite rose 0.3% amid a further recovery in tech stocks.
Asian markets were mixed on Friday, with Chinese shares rising over 1% despite weak economic data. However, in general, a slower-than-expected rise in industrial production and a fall in retail sales weighed on market sentiment anyway. South Korea’s Kospi lost nearly 1.5%, Australia’s S&P/ASX 200 advanced 0.57% while Hong Hong’s Hang Seng Index dipped 0.2%.
European stocks dropped early on Friday as investors reacted to fresh quarantine rules for arrivals to the U.K. The Stoxx Europe 600 Index declined following the reports that The United Kingdom added France, the Netherlands, and Malta to its list of countries from which people arriving have to quarantine for two weeks.
Meanwhile, currencies are little changed on the last trading day of the week. EURUSD is clinging to the 1.18 handle after yesterday’s rejection from the 1.1865 area that capped the recovery towards the 1.19 barrier. On the data front, the Eurozone GDP contracted 12.1% QoQ in the second quarter, matching the expectation of -12.1% and -12.1% reported in the first estimate. Eurozone June trade balance arrived at 17.1 billion euros versus 14.5 billion euros expected. Anyway, ноу common currency has barely reacted to the data ahead of the US retail sales report due later today.
Elsewhere, gold prices are flat around $1,950/oz after a recovery seen yesterday. Despite the selling pressure surrounding the precious metal has eased, the upside potential still looks limited. The bullion needs to regain the $2,000 psychological mark in order to resume the rally towards fresh all-time highs.