DOW JONES (U30USD)
The Dow Jones Industrial Average had its best session of the year on Friday, capping off a strong month. This rise followed the release of economic data that met expectations, including the core personal consumption expenditures price index, which increased by 0.2% in April as anticipated. Core PCE rose 2.8% annually, just above the 2.7% forecast.
US30 (Daily). The Dow Jones hit a double top at its all-time high of 40,000.00. We are waiting for a correction at the psychological level of 38,000.00 for a better buying level in June.
GOLD (XAUUSD)
XAUUSD (H4). Be careful as Gold traded in a very tight area last week. A break of 2325.00 would create a downtrend, but a bounce back from the key support area may take Gold back to 2380.00.
JAPAN
Japan's Ministry of Finance confirmed the country's first currency intervention since 2022, following the yen's drop to a 34-year low in April. Japan spent 9.7885 trillion yen ($62.25 billion) on intervention between April 26 and May 29. This move came after the Bank of Japan ended its negative interest rate policy in March. Japanese Finance Minister Shunichi Suzuki had earlier supported interventions to counter sharp currency moves affecting households and companies, though he did not comment on specific actions.
USDJPY (Daily). Despite government intervention, the pair's uptrend is still on track. The 158.30 will be the level to consider shorting this pair. As traders, we always align ourselves with the central bank’s intention.
CRUDE OIL (WTIUSD)
WTIUSD (Daily). Failing to break the 80.00 resistance level, crude oil returned to its support level. It is expected to continue to trade between 76.50 and 80.00 in the near term.
Fullerton Markets Research Team
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