USD/CAD: the upward trend continues
The US currency is showing a confident uptrend paired with the Canadian dollar as part of the "bullish" momentum that began last Wednesday. The instrument gained support thanks to the published macroeconomic data at the end of last week, which makes it possible to rethink the prospects for correction of monetary parameters from the US Federal Reserve. According to the reports, the US CPI increased its positions to 1.0% from the previous 0.3% in May terms, exceeding experts' expectations within 0.7%. The annual expression of inflationary pressure has updated the indicator of the last 40 years, being at a peak of 8.6% against the level of 8.3% a month earlier. At the same time, without taking into account food and energy, the CPI for May decreased to 6.0% from the previous 6.2%. The current situation may serve as a driver for the American regulator to take more decisive steps in the further fight against inflation than planned the day before.
- Resistance levels: 1.2850, 1.2900, 1.2950, 1.3000.
- Support levels: 1.2800, 1.2750, 1.2700, 1.2650.
NZD/USD: the instrument is trading in decline
The NZD/USD trading pair is moving in correction, testing the 0.6345 mark.
The New Zealand dollar is losing ground in a pair with the US currency, having the prospect of an uptrend, surpassing other world currencies, thanks to the publication of positive macroeconomic data. Thus, the complete or partial cancellation of measures to combat coronavirus has become a driver for increasing the number of people crossing the border, the number of which amounted to 266.7 thousand people in April terms, exceeding the indicator of a number of past months, including 15.9 thousand in May 2020. At the same time, on the eve they published statistics on spending through credit cards, reflecting the increase in the level of purchasing power among citizens. According to the data, in May, spending by the population amounted to 123 million New Zealand dollars in May, surpassing by 1.4% the figure in April.
- Resistance levels: 0.6410, 0.6566.
- Support levels: 0.6220, 0.6070.
Gold Prices
The price of gold is trading in a corrective decline, leaving the local highs on May 9, reached with the onset of a new week.
Market participants are busy fixing profits on long-term deals that were opened on time after the weekly Friday, where the level of demand for the asset increased significantly against the background of the release of statistics from the United States on the inflationary level. Thus, experts noted the strengthening of the level of consumer price growth in May to 8.1%, updating the record high from December 1981. The monthly CPI indicator in national terms rose to 0.7% from 0.3% in April, the base indicator without calculating the cost of the food group of goods and the energy segment decreased from 6.2% to 6.0%.
- Resistance levels: 1869.49, 1878.84, 1900.00, 1920.00.
- Support levels: 1850.20, 1823.09, 1800.00, 1775.00.
Oil Market Overview
Quotations of Brent raw materials show a moderate decline, moving away from the local maximum on March 9.
The asset reveals the potential of the "bearish" momentum formed during last Friday, and traders are still in no hurry to increase activity on transactions in the market, remaining at a low level. Positive signals for oil are provided by moderate offers of energy group products due to growing "appetites" between market participants. Meanwhile, the summer season has already started in the USA, during which the level of fuel consumption traditionally shows an increase, while its reserves are at the minimum level from November 2021, which may cause further strengthening of the cost of fuel. Investors' fears are reinforced by the approval of another block of sanctions, including a partial refusal to supply "black gold" from Russia to the eurozone countries.
- Resistance levels: 120.00, 123.24, 125.85, 128.60.
- Support levels: 116.00, 114.09, 112.00, 109.00.