Morning Brew June 22 2023

Good Morning,

Powell`s continued hawkishness weighed on markets yesterday and continuing through the night, stocks as well as precious metals are falling and Silver is down 5.6% on the week. Gold is holding up better at a minus of 0.6%. Bitcoin surged to above 30k again not least on Powell stating it was here to stay.

Big Tech also had a negative day with Tesla -5.5%, Apple -0.6%, Nvidia -1.7%and Microsoft -1.3%.

Opposed to precious metals and stocks, rates are relatively stable an the USD weak at 102.10, EURUSD 1.0980, GBPUSD 1.2750 and USDJPY 141.80. 2 Year US Rates are relatively stable at 4.73%.

This a-synchronicity seems a bit overdone and makes for likely interesting moves – Watch out

 Today, focus will be on the 4 central Bank decisions

• The Swiss National Bank with 65% in favor of 50 basis point hike and 35% for 25 basis points at 9:30
• The Norwegian Central Bank is expected to hike 25 BPS at 10:00 CET
• BOE: 52% for a 25 BPS hike, 48% in favor of 50 basis points at 13:00
• Turkish Central Bank at 13:00

That aside we are awaiting a second day  of Testimony by Powell at 16:00 and the usual labor market data at 14:30. Everyone with an eye on AI technology should watch the Accenture earnings!

Thursday June 22
Swiss Rate decision
UK Rate decision
US Jobless Data, Existing Home sales
Jerome Powell speaks in the Senate

Earnings: Accenture PLC, FactSet

Friday June 23

Japan CPI, PMI
UK Retail Sales
DE, NL PMI
EU PMI
US PMI

Earnings: Oracle