Morning Call by Traders University

Yesterday the FTSE 100 closed down 115 points (2.61%) at 4,326, and the DAX fell 179 points (3.54%) to close at 4,889. All the other major global indices also fell during the heavy selling session as bad economic news was released in the US. The Dow Jones industrials fell 187 points on Monday, their biggest drop since 20 April. Ahead of Monday’s slide, the S&P 500 had jumped 39.9 percent since falling to a 12-year low on 9 March. The unease about the economy’s recovery have kept stocks from rising as quickly in recent weeks as they did in March and April. The Dow and the S&P 500 index are up 12 of the past 14 weeks, and the last four straight weeks. Investors have been betting on an economic recovery but questions about how long that might take are stalling the rally. Questions remain about whether unemployment, still-weak home prices and inflation will trip up resurgence in the economy. Forex news: Alexei Kudrin, Russia’s Finance Minister gave the dollar some strong back wind, by saying that the dollar will remain the world’s reserve currency. This policy shift strengthened the dollar ahead of the TIC Long-Term Purchases. In today’s high news, we start with GBP CPI at 9:30am. Then at 10am, EUR high news with German Zew economic sentiment and finally at 1:30 USD building permits.