Will the markets expect a revival soon? U.S. stock index futures remained flat on Monday. Wall Street is optimistic still that the GD, inflation rates and jobless reports will deliver volatility to the markets. Investors are also anticipating that the upcoming European Central Bank's meeting announcement will loosen up the current monetary policy.
S&P 500 futures rose 1.2 point above fair value. The Dow Jones industrial average futures added 16 points and Nasdaq 100 futures rose 4 points. Trading is forecasted to be light prior to the European Central Bank's June 5 meeting. Investors are looking to push shares higher as the Dow and S&P 500 at record levels.
Ascension Thursday in Europe delivered a frown to Forex traders as countries Iceland, Austria, Finland, Sweden, Switzerland, Norway, Denmark and Luxembourg were closed. The EUR reported a three-month low of $1.3587. Some investors are moving forward with strategic moves while others are waiting for this week's ECB meeting which is anticipated to deliver easing.
Is the U.S. economy at risk of a recession? Technically, the economic data currently indicates that the economy had shrunk by an 1 percent annual rate in the first three months of this year. Economic conditions such as poor weather and inventory impacted first quarter with a 0.1% growth.
GDP is a known significant economic indicator for Forex traders. Although the US Prelim GDP has been disappointing, traders can be optimistic to look to a deviation between 0.3% from the forecasted figure of -0.6% for positive result of the US dollar.