Powell's testimony sets the tone for the rest of the trading week

European markets shrug Powell's hawkish comments

5 July 2023

US Futures flat after heavy losses overnight
  • Oil investors await Crude oil inventories.

  • Gold surprises after sharp fall near $1810.

European Markets

On the data side, Final Employment change from the Eurozone drops to 0.3% vs 0.4% expected.

The DAX continued to trade upwards going over $15,600. Focus gets pinned for the German final CPI figures due on Friday.


Gold prices were trying to stay above $1810 handle, after yesterdays sharp drop of almost 2%. Gold prices fell from $1851 to $1812. On the back of Powell’s signal to increase interest rates by more than 25 basis points.

Oil prices also sharply dropped yesterday with investors awaiting Wednesday’s crude oil inventories. WTI was near $77 while Brent was trading near $82.

US Futures

US futures were attempting to recover big losses from yesterdays US session, where the S&P 500 lost more than 1.5% yesterday after Powell’s hawkish testimony flared markets. The Dow was also in the red losing almost 600 points.

Heavy losses on Wall Street triggered losses in the Asian Market in early trades.