As is usually experienced with a shirt trading week given U.S & U.K having a holiday on Monday markets in the U.S were a bit wobbly with most major stock indexes closing mixed as losses in technology and health care companies offset gains elsewhere in the market. The S&P 500 SPX gave up an early gain, slipping less than 0.1% to 4,202.04 which broke a three-day winning streak. The Dow Jones Industrial Average DJIA eked out a 0.1% gain, closing at 34,575.31while the tech-heavy Nasdaq COMP inched 0.1% lower to close at 13,736.48.
In Europe, stocks inched toward record levels on Wednesday, helped by energy and consumer stocks, while strong economic data from U.S. and Europe buoyed investor sentiment. We saw the STOXX 600 index rise 0.4% earlier in the trading day after touching a record high in the previous session. The ECB plans still look to remain unchanged as several speakers had indicated that the ECB could recalibrate their pace of purchases at the June meeting. They still have not given a clear indication or official announcement on the reduction in purchasing.
OPEC+ oil producers agreed to stick to the existing pace of gradually easing of supply curbs through July. Oil has seen a rise in demand as the global economy bounces back from the depths of a health-crisis-induced-slowdown. The OPEC oil cartel and allied producing countries plan to restore 2.1 million barrels per day of crude production, balancing fears that COVID-19 outbreaks in some countries will sap demand against surging energy needs in recovering economies. decided to stay the course decided at earlier meetings to raise production by 2.1 million barrels per day from May to July. The group plans to add back 350,000 barrels per day in June and 440,000 barrels per day in July. Saudi Arabia is also gradually adding back 1 million barrels in voluntary cuts it made above and beyond its group commitment.
SSA opens a tad firmer the same way it did the previous day. Oil did extend its gains above $70.00/bbl touching as high as $71.34/bbl yesterday as OPEC+ oil producers agree to stick to the existing pace of gradually easing of supply curbs through July. At the close of yesterday the ZAMBIA curve (24s & 27s) did see more sellers than buyers from real money. Senegal’s much anticipated 15-year WAL EUR will be debuting today.