Day trading pre-market open June 27

Morning traders. Thanks loungers, especially @Ravgnome and @Patterns.


Outlook for the day: Positive after US stocks climbed towards previous highs as a weaker greenback boosted commodity prices.

ASX futures: up 51 points or 0.6%


Overnight themes:

• US stocks closed near record levels as the Israel-Iran ceasefire held, investors looked towards multiple rate cuts this year, and the White House downplayed next month's deadline for trade deals.
• The S&P 500 rallied 0.8% to 6,141, ending the session just six points below its February all-time closing high. The Nasdaq Composite gained 0.97%, also near a record. The Dow advanced 404 points or 0.94%.
• All three indices were on track for strong weekly gains after the announcement earlier this week of an end to hostilities between Israel and Iran. The S&P 500 has put on almost 3% so far this week.
• White House spokesperson Karoline Leavitt soothed concerns that next month's deadline for trade agreements was looming without significant progress on deal announcements. July 8 was originally flagged by the Trump administration as the date when "Liberation Day" tariffs would kick in for countries that had not struck a deal with the US. Overnight, Leavitt said: “The deadline is not critical. Perhaps it could be extended, but that’s a decision for the president to make.”
• Bank stocks rallied after the Federal Reserve announced plans to reduce the amount of cash lenders have to hold in reserve. The S&P 500 banks index jumped 1.6%.
• Economic data continued to point to multiple rate cuts this year. First-quarter GDP shrank 0.5% as consumers reined in spending. Continuing claims for unemployment benefits rose last week to the highest in several years.
• "Clearly, the pull forward of rate cuts into 2025 is one of the more significant factors," behind the current market rally, Bill Northey, senior investment director at U.S. Bank Wealth Management, told Reuters. "Expectations now point to three rate cuts this year."
• Real estate and consumer staples were the night's only sector drags as the rest marched higher. Notable gains included energy +1.5%, industrials +1.1%, materials +1.09% and financials +0.76%.
• The greenback slumped to levels last seen in the first quarter of 2022 amid concerns about the independence of the Federal Reserve. The US dollar index sank 0.36% overnight following reports that President Donald Trump may name a successor to Chair Jerome Powell months early to reduce Powell's authority in the final months of his term as head of the central bank. Trump has repeatedly complained that Powell's Fed has been too slow to lower official rates. Powell's term is due to expire in 11 months. Traditionally, a successor is not named until three or months from the end of the chair's term.
• Copper neared a three-month high as a weaker US dollar lowered prices for buyers using other currencies. Benchmark copper rallied 1.89% on the London Metal Exchange to US$9,896 a metric ton. Aluminium, nickel, zinc, tin and lead posted gains of between 0.32% and 2.21%. "What is key for us is dollar weakness, and that is trending lower, which is supportive for our space," Alastair Munro, senior metals strategist at Marex, told Reuters.
• Gold struggled for traction despite declines in the US dollar and treasury yields. Spot gold was lately down US$4.71 or 0.14% to US$3,328.09 an ounce. Earlier, US gold futures settled US$4.90 or 0.2% ahead at US$3,348. "Gold has declined over the past few sessions due to de-escalation in the Middle East. Also, adding pressure was the anticipated interest rate cut, eagerly awaited by the market that continues to be delayed, amid rising inflation expectations driven by Trump-era tariffs," David Meger, director of metals trading at High Ridge Futures, told Reuters.
• Iron ore rebounded from two days of decline as the US dollar declined and Chinese Premier Li Qiang promised "forceful steps" to boost consumption. Benchmark ore on the Dalian Commodity Exchange ended daytime trade 0.64% higher at US$98.44 a metric ton.
• Oil prices settled little changed as the Israel-Iran ceasefire appeared to hold. Brent crude settled 5 US cents or 0.07% ahead at US$67.73 a barrel after an early rally faded.

Key events today:

• US May consumer inflation (PCE) - tonight
• US revised June consumer sentiment - tonight

S&P 500: up 49 points or 0.8%

Dow: up 404 points or 0.94%

Nasdaq: up 194 points or 0.97%

VIX: down 1.01% to 16.59

US 10-year treasury yield: down 4.4 points to 4.248%

Dollar: up 0.38% to 65.46 US cents

Iron ore (Dalian): up 0.64% to US$98.44

Brent crude: up 5 US cents or 0.07% to US$67.73

Gold (futures): up US$4.90 or 0.2% to US$3,348

Gold (spot): down US$4.71 or 0.14% to US$3,328.09

Silver (spot): up 39 US cents or 1.06% to US$36.66

Palladium (spot): up US$64 or 5.97% to US$1,136

Antimony (China ore): down 0.04% to US$19,817

NYSE Arca Gold Bugs: up 1.81%

Bitcoin: down 0.15% to US$107,612

Copper (LME): up 1.89% to US$9,896

Nickel (LME): up 0.5% to US$15,150

Lithium carbonate (China spot battery grade): up 0.62% to 7,459 yuan

Global X Lithium & Battery Tech ETF: up 1.65%

Uranium (spot): steady at US$78.50

Global X Uranium ETF (URA): up 2.3%

BHP: up 3.42% (US); up 2.43% (UK)

Rio Tinto: up 3.3% (US); up 3.48% (UK)