Technical analysis

TD Securities economists Oscar Munoz and Eli Nir expect August Consumer Price Index (CPI) to prove subdued enough to keep the Federal Reserve (Fed) on hold in September, with the CPI-to-PCE translation also pointing to contained underlying inflation.

United Kingdom (UK) Chancellor of the Exchequer John Healey signaled in a scheduled speech during the European trading session on Monday that the government will continue focusing on maintaining fiscal discipline, in an attempt to contain higher borrowing costs.

Danske Bank’s Danske Research Team notes Brent crude trading near USD 97 as renewed US-Iran strikes around the Strait of Hormuz raise concerns over prolonged disruptions to Middle East energy flows.

Dow Jones futures are down by 0.32% to trade near 53,270 during European hours on Monday. Meanwhile, S&P 500 futures steady near 7,720, while Nasdaq 100 futures advance by 0.31% to trade around 29,660. The US stock market will be closed Monday for the Labor Day holiday.

West Texas Intermediate (WTI), futures on NYMEX, turns upside down to near $89.50 during the European trading session on Monday.

The GBP/JPY cross meets with heavy supply during the early part of the European session on Monday and weakens below the 209.00 mark, hitting its lowest level since February 24 amid a broad-based rally in the Japanese Yen (JPY).