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Welcome to the OMF Market Report, I'm Naomi Tan and looking at today's headlines.
Euro supported by positive German data U.S inflation in line with Fed targets
and Markets expect major volatility tomorrow around the Fed comments
The Euro was supported overnight by positive data released out of Germany. The ZEW economic
sentiment index came in at 38.5 in for June, above the 36.4 in May. This is the second
month in a row that sentiment has been upbeat, prompting many to speculate that the Euro
zone's largest economy is well on the road to recovery. The euro hit a 4-month high against
the US dollar, with the common currency currently trading around EUR1.3390.
Across the Atlantic, data out of the US overnight saw inflation rise in line with expectations
at 1.4 percent. This sees numbers move back towards the Federal Reserve annual target.
Meanwhile traders are expecting major volatility early tomorrow morning, as the market waits
for comments from the Federal Reserve following their policy meeting.
Turning to Commodities
Gold fell 1.0 percent overnight, with the August contract closing the day on $1,366.90
an ounce.
Crude edged higher, driven by US economic data and concerns over the Syrian Civil War.
July futures closed the day on$98.44 a barrel.
Corn and Wheat climbed on Tuesday while Soybeans settled lower. Wheat rose 1.0 percent as prices
were buoyed by bargain buying and rains which have stalled the winter wheat harvest. Meanwhile
Corn added 0.7 percent, with soybeans edging 0.1 percent lower.
Moving onto equities
The Dow rose 0.9 percent to close the day on 15,318. General Electric rose 2.4 percent
after the company announced a software platform for high-volume machine data management.
The NASDAQ was also up 0.9 percent to end the day on 3,482. Google gained 1.6 percent
and now sits above $900 per share.
The S&P climbed 0.8 percent to settle the day on 1,651.
And those were today's stories, for more information, visit our website,www.omf.co.nz, or you can
follow us on Twitter @OMFMarkets. Thanks for watching.