Monday Market Open: Indices Ease, Commodities Rise, Inflation Ahead

Market Overview

The new trading week begins with a cautious risk-off sentiment as global indices retreat from their recent highs. Traders are positioning themselves ahead of a significant week filled with macroeconomic data releases.

Indices Performance

Both American and European futures are slightly lower at the start of the session. The NASDAQ and S&P 500 are experiencing pullbacks from last week's peaks, but key support levels remain intact. For the NASDAQ, the critical support level is at 22,650, while the S&P 500's key level is at 6,225. Maintaining these levels is crucial for sustaining a positive market sentiment; a break below could lead to a challenging week for bullish traders.

Currency Movements

In the currency markets, the Antipodean currencies are showing early weakness, with the New Zealand dollar being one of the weakest performers. Conversely, North American currencies, particularly the U.S. dollar and Canadian dollar, are exhibiting mild strength, although overall foreign exchange movements are relatively subdued at this time.

Commodity Trends

Commodities are off to a robust start this week:

• Natural Gas: Up nearly 5% in early trading.
• Oil: Increased by approximately 1% at the week's outset.
• Metals: Palladium, silver, and gold are all on the rise, continuing the positive momentum from previous sessions.
• Copper: Down about 1%, giving back some of last week's significant gains, yet remains one of the top-performing metals of the year, up nearly 40% in 2025.
• Platinum: Leading the pack with over 60% gains this year, followed by palladium at +44%.

Upcoming Economic Data

Monday's economic calendar is relatively quiet, with no Tier 1 data scheduled. Market movements will primarily be driven by technical factors and trader positioning. However, starting Tuesday, attention will shift to inflation data from Canada and the U.S., followed by UK inflation figures on Wednesday. With CPI data coming from three major economies, traders should prepare for increased volatility.