After a long holiday weekend, the focus will be on US data for more clues about Q2. April durable goods (Tuesday, 08:30 ET) seen edging up 1.0% m/m from +4.7% in March and -3.5% in February. Market expectations are wide, with a median of -0.4% m/m and a large standard deviation of 1.2%. Standard Chartered notes:
- We see ex-transportation durable goods up 0.6%, a touch higher than the consensus (0.4%).
- Even with this stronger April print, we think the May-June data could remain fragile as headwinds persist, from the stronger US dollar to the side-effects of the oil-price slump.
- We could see a positive surprise in new home sales data (10:00 ET; we expect 520,000, more than the 507,000 expected, after 480,000 in March). But the Conference Board consumer confidence index could drop to 93.5, in our view (consensus: 95.0).
The material has been provided by InstaForex Company – www.instaforex.com