Shares in Asia slump and US Markets are closed for the holiday

TL;DR: US Markets are closed today for the Juneteeth holiday, Japan’s Nikkei 225 is down 1.3% and shares in Europe are expected to open lower.

📰 What’s moving markets?

• Euro Zone core inflation printed at 5.3% year-on-year as expected, contributing to a 0.68% rally in the EuroStoxx 50 on Friday. However, EuroStoxx futures are down 0.70% suggesting that the gains might be reversed today.

• Japan kept base rates at -0.1% on Friday, unchanged since 2016. The Yen weakened to 141.5 USDJPY as a result and the Nikkei 225 is trading 1.3% lower this morning (but is still up 28% for the year).

• China GDP growth forecasts are being cut by analysts across the Street with Goldman Sachs recently reducing its forecast for China's GDP growth this year to 5.4% from 6.0% as they predict that policymakers will be limited in their ability to provide sufficient stimulus to the economy.

• Oil prices are down 1% over concerns surrounding China’s economic output this year.

📊 Chart of the day

Apple earnings-per-share estimates have declined consistently since Oct 20; nevertheless, the stock has rallied 48% and added $1tn in market cap year-to-date (source: Ross Hendricks’ Twitter).

📅 Coming up this week

Monday 19th June

• US NAHB Housing Market Index expected: 51, last: 50

Tuesday 20th June

• Japan Industrial Production expected: -0.4%, last: 1.1%

• Euro Zone Current Account expected: 30.1B, last: 31.2B

Wednesday 21st June

• UK Core CPI (YoY) expected: 6.7%, last: 6.8%

• UK Headline CPI (YoY) expected: 8.5%, last: 8.7%

• UK Core RPI (YoY) expected: 10.1%, last: 10.4%

• UK Headline RPI (YoY) expected: 10.2%, last: 11.4%

• Canada Retail Sales expected: 0.2%, last: -1.4%

• Brazil Interest Rate Decision expected: 13.75%, last: 13.75%

Thursday 22nd June

• UK BoE Interest Rate Decision expected: 4.75%, last: 4.50%

• US Continuing Jobless Claims expected: 1,766k, last: 1,775k

• US Jobless Claims 4-Week Avg. expected: 242.01K, last: 246.75K

• UK BoE Interest Rate Decision expected: 4.75%, last: 4.50%

• Japan Core CPI (YoY) expected: 3.1%, last: 3.4%

• Japan Headline CPI (YoY) expected: 4.1%, last: 3.5%

Friday 23rd June

• Singapore CPI expected: 5.5%, last: 5.7%

• Spain GDP (YoY) expected: 3.8%, last: 2.6%

📈 The markets at a glance