Shares in Asia-Pacific were mixed on Tuesday trade. The Nikkei 225 in Japan slipped 0.39%, while the Australia’s S&P/ASX 200 declined 0.20%, and the mainland Chinese stocks, the Shanghai composite edged 0.11% lower.

Elsewhere, the Hong Kong’s Hang Seng index and the South Korea’s KOSPI both gained around 0.43%, and the India’s S&P BSE Sensex index added 0.18%. The Singapore’s FTSE Straits Times Index rose fractionally higher at 0.08%.




Oil climbed ahead with the summer driving season starting in the U.S., and as OPEC and its allies forecast a tightening global market ahead of a production policy meeting.

The Brent topping $70, to trade at $70.16 per barrel, and U.S. crude futures traded at $67.62 per barrel.

Overnight, the Brent closed at $69.32 while WTI ended at $67.59 per barrel.




The dollar languished near multi-month lows versus major peers as traders pondered the prospects for early policy normalisation by the Federal Reserve ahead of the jobs report, and as market thinned by U.S. and British holidays. The dollar index was at 89.815 on Tuesday.

The 10-year U.S. Treasury yield flat, last at 1.615.

There was little action in cryptocurrencies, with bitcoin steady around $37,000.




Gold prices held above the $1,900-level and edged near a 5-month high scaled last week, supported by a softer dollar and growing inflationary pressures.

The spot gold rose to trade at $1,911.10 an ounce and added to $1,914.60 per ounce for gold futures. Previously closed at $1,907.10 and $1,905.30, respectively.




Asian stock markets rose on Tuesday as investors reacted to the release of a private survey on Chinese manufacturing activity in May, while traders also await key European and U.S. data later this week that will likely offer more clues to help gauge the economic outlook.

Global stocks are starting the new month near record highs, underpinned by the economic recovery from the pandemic and ample liquidity from sustained stimulus. Still, concerns linger that rising price pressures could prompt central banks to withdraw support earlier than anticipated.

OPEC on Monday projected that lower oil output in Nigeria, Angola, and Iran in May partly offset major increases from top producers Saudi Arabia and Iraq to result in a lower-than-expected rise in the supply. OPEC+ is scheduled to meet on Tuesday to discuss the alliance's moves on crude stockpiles.

China’s Caixin/Markit manufacturing PMI for May came in at 52, higher compared against April’s reading of 51.9 and the official index released Monday, which at 51.0.


Among key events to watch today including the Reserve Bank of Australia policy decision, OPEC+ oil production review, and U.S. & Europe PMI figures.





Important Levels to Watch for Today:

-        Resistance line of 109.961 and 110.196.

-        Support line of 109.201 and 108.966.

Commentary/ Reason:

  1. The dollar fell for a third day against the yen, weakening slightly to 109.505. The pair had climbed as high as 110.20 on Friday, following the inflation data.

  2. A decline in T-note yields sparked short-covering in the yen.

  3. Meanwhile, the yen was weighted after Japanese Prime Minister Suga extended a state of emergency from May 31 to June 20, though optimism were supported by hopes of a domestic economic recovery on delayed-but-steady rollouts of COVID-19 vaccines.