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Welcome to the OMF market Report, I'm Naomi Tan and looking at today's headlines.
Positive data out of the U.S. Kiwi closes on its high after volatile session
S&P and Dow hold above support levels and The Nikkei slumps
The US dollar recovered overnight following some positive data. The greenback had initially
fallen to a 10-week low against the Yen but clawed back most of its losses late in the
session. Retail sales for May came in double expectations, rising 0.6 percent. Finer details
showed auto sales had its largest rise since November, while sales in building materials
had picked up. Meanwhile jobless claims data showed another fall in first time applicants,
a sign that the US economy is making a slow but sure recovery. The USD/JPY cross currently
trades around JPY95.55
The New Zealand dollar traded in a volatile fashion, closing the New York trade on its
highs. The kiwi was supported by the positive data out of the US which increased the appetite
for risk overnight. The local currency currently trades around $0.8085 against the greenback.
Turning to Commodities
Gold erased yesterday's gains following the positive data out of the US which diminished
its safe haven appeal. However it rallied higher late in the day, with August futures
ending the day on $1,377.80 an ounce.
July crude was up 1.1 percent to end the day on $96.69 a barrel.
Moving onto Equities
The Dow was up 1.2 percent to end the day on 15,176. Microsoft fell 0.8 percent, after
the company announced a partnership with retailer Best Buy to open stores in 500 of the retailer's
locations.
The NASDAQ rose 1.3 percent to settle the day on 3,445.
The S&P rallied 1.5 percent to close the day on 1,636.
In Asia the Nikkei slumped more than 6.0 percent as the Yen surged higher. It fell to its lowest
level since April of 12,497. The decline in the Nikkei had a carry on effect to its neighbouring
markets with the Shanghai Composite falling nearly 3.0 percent.
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.