Tuesday Rebound: Indices Attempt Bullish Turn After Monday Sell-Off

Tuesday opens with a noticeable shift in sentiment across global indices. After Monday’s session tested new mid-term lows, markets have bounced back with surprising strength. Major indices are now attempting a bullish reversal, and the key question is whether buyers will be able to sustain this upward momentum or not.

On the macroeconomic calendar, we’ve already seen a few significant events unfold. The Reserve Bank of Australia held interest rates steady at 4.1%, as expected. Meanwhile, in the Eurozone, the CPI flash estimate revealed a softer reading. The core CPI came in at 2.4%, just under the 2.5% forecast, which could ease some inflation concerns in the region.

Still ahead today are two key US reports:

• ISM Manufacturing PMI, expected at 49.5, which will provide fresh insight into industrial activity.

• JOLTS Job Openings, with expectations at 7.69 million, which could offer clues on the health of the labor market ahead of Friday’s nonfarm payrolls.

On the currency market, we’re seeing strength in the Swiss Franc and Japanese Yen, indicating some lingering demand for safe-haven assets. The US Dollar remains flat, lacking clear direction so far this week.

In commodities, oil continues its strong performance, extending yesterday’s rally and reinforcing a buy signal. The real star of the show, however, remains the precious metals market. Gold, silver, and copper are all trading near their long-term highs, supported by persistent bullish sentiment. Notably, copper is up 1.2% today, pushing its year-to-date gain to 26%, a remarkable run that highlights the ongoing strength in industrial metals.

As we move through Tuesday’s session, traders will keep a close eye on how the US data prints influence market direction, especially in the run-up to Friday’s critical labor report.

Source: https://www.axiory.com/analytics/market-news/tuesday-rebound-indices-attempt-bullish-turn-after