U.S. stocks declined, after equities posted their best monthly gain since February, as commodities producers sank and Apple Inc. fell into a correction.

The Standard & Poor's 500 Index retreated 0.3 percent to 2,097.97 at 4 p.m. in New York, after falling as much as 0.8 percent, to close above its average price during the past 100 days.

Commodities dropped after an official gauge of Chinese manufacturing slid to a five-month low and Iran said it will be able to bolster crude production within a week of sanctions ending.

The slide in equities accelerated Monday after the S&P 500 fell below its average price for the past 100 days, a level commonly watched by market technicians. The gauge last dropped below the 100-day moving average on July 24 during its longest losing streak since January. The S&P 500 is about 1.3 percent above its 200-day average, a level that has stopped the last two declines of more than 2.8 percent.

Apple fell for the ninth time in 10 days, sliding below its average price for the past 200 days for the first time since 2013 and extending its slide from a February high past 10 percent.

Data Focus

A report earlier showed American households kept spending in June, capping a stronger quarterly performance for the biggest part of the economy. Separate data showed The Institute for Supply Management's manufacturing index slipped last month from a June reading that was the fastest since the start of the year.

Focus will turn later this week to the monthly payroll report due Friday, as the Federal Reserve looks for signs of a further pickup in the labor market before raising interest rates. Fed Chair Janet Yellen said in July she expected the central bank to raise its benchmark rate this year, while emphasizing the pace of increases will probably be gradual.

"At this point the focus is largely falling on the Fed, so the macro becomes the dominant conversation in terms of will they or won't they," said Dan Greenhaus, chief global strategist in New York at BTIG LLC. "That's really the conversation point through what is likely to be a slow month. Everyone's going to be focusing on the economic data."

The S&P 500 rose 2 percent in July, as earnings from Amazon.com Inc. and Google Inc. countered declines by commodity companies. The gauge advanced 1.2 percent last week, and is 1.9 percent below an all-time high reached in May.

More than two-thirds of companies in the equity benchmark have reported earnings results, with nearly three-quarters beating profit estimates and half exceeding sales projections. Analysts now forecast a 2.8 percent drop in second-quarter earnings, shallower than calls for a 6.4 percent fall about two weeks ago.

The US dollar was mixed against shows the euro and the yen after the release of US data block. The US Commerce Department announced: the rate of increase of personal spending slowed significantly by the end of June, pointing to the fact that the weak wage growth is putting pressure on consumers.

According to the report, the volume of personal spending rose in June by 0.2% compared with the previous month, recording the smallest increase since February. We also learned that the expenditure for May was revised down - up + 0.7% from + 0.9%. Meanwhile, the amount of personal income, which includes wages and state aid, rose by 0.4% in June, after rising 0.4% in May (revised from + 0.5%. We add the latest changes of costs and revenues fully in line with economists' expectations.

The report came after last week's Commerce Department reported that inflation-adjusted consumer consumption rose by 2.9% annually in the second quarter. But wage growth unexpectedly slowed in the second quarter, which probably was the reason for such a modest increase consumption.

Meanwhile, the Commerce Department reported that the price index for personal consumption expenditures, which is the preferred inflation sensor Fed, rose 0.2%. The basic price index for personal consumption expenditures, which excludes the cost of food and energy, rose 0.1% from May and 1.3% in annual terms.

In addition, the report published by the Institute for Supply Management (ISM), showed that in July, the activity in the US manufacturing sector deteriorated sharply, contrary to the forecasts of experts on the slight improvement. PMI index for the US manufacturing was in July of 52.7 points against 53.5 points in July. It was expected that this figure will rise to 53.6 points.

The report also stated that the new orders index rose to 56.5 from 56 previously, while the sub-index of production - up to 56 from 54. Unfilled orders fell to 42.5 from 47 in June, reaching the lowest level since November 2012. The employment index fell from 55.5 to 52.7, while export orders component fell to 48 from 49.5. Meanwhile, the index of inventories fell to 49.5 from 53 in June, and the price index fell to 44 from 49.5.

Pressure on the euro earlier had mixed performance by PMI. The research results presented by Markit Economics, showed: Germany's manufacturing sector continued to show expansion in July, but slightly slowed the pace of growth compared with the previous month. According to the data, the final Purchasing Managers' Index (PMI) for the sphere of production, which is about one-fifth of the German economy, was 51.8 points compared to 51.9 points in June. It is worth emphasizing, the index remains above the 50 level that separates growth from contraction for the eighth month in a row. Analysts had expected the figure will be 51.5 points. "The manufacturing sector in Germany began the third quarter with a moderate rise. Although PMI remained above the neutral mark of 50 points, the pace of expansion is impressive," - said Oliver Kolodseike, economist at Markit.

Meanwhile, another report showed that manufacturing activity in the euro zone rose in July, slightly higher than originally reported, but compared with June growth rate is still slowed, partly due to the influence of the Greek debt crisis. According to the final purchasing managers' index in the manufacturing sector amounted to 52.4 points in July against preliminary level at 52.4 points and the final figure for June at the level of 52.5 points. Analysts had expected the July figure will be 52.2 points. "Despite a slight slowdown, the manufacturing sector has been surprisingly resilient in the past month, and almost felt the Greek debt crisis - said Chris Williamson, chief economist at Markit. - In fact, it is surprising that growth does not slow down, Bearing in mind that manufacturing activity in Greece has fallen to a record low last month. However, the sharp decline in Greece was offset by improvements in other countries of the eurozone. "

Also today, it was reported that activity in the manufacturing sector in Greece deteriorated sharply in July, reaching a minimum value for the entire 16-year history of observations, which was caused by an unprecedented drop in the number of new orders and difficulties in acquiring raw materials. The seasonally adjusted index of business activity in the manufacturing sector fell in July to a level of 30.2 points against 46.9 points in the previous month.

The pound fell sharply against the US dollar, entrenched below $ 1.5600. Experts say that the pound is almost ignored the data on business activity. Recall, the growth of business activity in the manufacturing sector accelerated in Britain in June, but new orders rose at the slowest pace for almost a year. The report says that the index of manufacturing activity PMI, calculated Markit / CIPS, rose in July to a mark of 51.9 points compared to 51.4 points in June (at least more than two years). However, despite the improvement, the index is still below the historical average of 54.3 points level. The Markit said that the growth rate of new orders slowed to its lowest level since September 2014, highlighting the challenge for policy makers in terms of achieving a more balanced long-term economic growth.

Now the markets are waiting for a meeting of the Bank of England, which will take place on Thursday. For the first time the central bank at the same time announce a decision on interest rates and to publish the minutes of its meetings, and new forecasts for the UK economy. Economists expect that the two members of the management of the Bank of England will show disagreement and vote for it to raise interest rates, which remain at record low levels for over six years.

Polish equity market edged higher on Monday. The broad market measure, the WIG Index, added 0.11%. Sector-wise, food sector (+1.39%) and banks (+0.70%) fared the best, while materials (-0.68%) produced the biggest losses.

The large-cap companies' measure, the WIG30 Index, ended today's session unchanged. In the index basket, CCC (WSE: CCC) plunged by 3.37% after the company reported its monthly sales rose by11.9% y/y in July, which is lower compared to the analogical indicators for April-June (22%-27% y/y). Other major decliners included ALIOR (WSE: ALR), JSW (WSE: JSW), BOGDANKA (WSE: LWB), LOTOS (WSE: LTS) and PZU (WSE: PZU), losing 1.08%-1.94%. On the other side of the ledger, banking names PEKAO (WSE: PEO), PKO BP (WSE: PKO) and ING BSK (WSE: ING), as well as oil&gas stock PGNIG (WSE: PGN) led advancers, gaining 1.59%-1.92%.

Major U.S. stock-indexes lower on the first trading day in August as oil prices touched a six-month low and data showed U.S. economy lost some momentum at the end of the second quarter. In U.S. data, consumer spending recorded its smallest gain in four months, while the pace of growth in the U.S. manufacturing sector slowed in July. On Friday, wage data showed that U.S. labor costs in the second quarter rose the least in 33 years. Investors have been keeping a sharp eye on economic data for clues regarding the timing of the first rate increase in nearly a decade. The U.S. Federal Reserve has said it will hike rates only when it sees a sustained recovery in the economy.

Dow stocks are mixed (17 in positive area, 13 in negative area). Top looser - Chevron Corporation (CVX, -2.79%). Top gainer - The Walt Disney Company (DIS, +0.63).

S&P index sectors are mixed. Top looser - Basic Materials (-1.2%). Top gainer - Utilities (+0.3%).

At the moment:

Dow 17552.00 -62.00 -0.35%

S&P 500 2096.50 -2.00 -0.10%

Nasdaq 100 4590.75 +5.75 +0.13%

10 Year yield 2,17% -0,04

Oil 45.99 -1.13 -2.40%

Gold 1089.90 -5.20 -0.47%

Stock indices closed mixed after the mostly better-than-expected manufacturing PMIs from the Eurozone. Eurozone's final manufacturing purchasing managers' index (PMI) fell to 52.4 in July from 52.5 in June, up from a preliminary reading of 52.2.

The upward revision was driven by a stronger than previously recorded rise in Germany.

Markit's Chief Economist Chris Williamson said that June's PMI was "the Eurozone manufacturing economy showed encouraging resilience in the face of the Greek debt crisis in July".

Germany's final manufacturing purchasing managers' index (PMI) declined to 51.8 in July from 51.9 in June, up from a preliminary reading of 51.5.

The increase was driven by a rise in production and new orders.

"The German manufacturing sector remained stuck in a low gear at the start of the third quarter, with the PMI signalling further, albeit only modest, growth," Markit economist Oliver Kolodseike said.

France's final manufacturing purchasing managers' index (PMI) dropped to 49.6 in July from 50.7 in June, in line with the preliminary reading.

Markit Economics released its manufacturing purchasing managers' index (PMI) for the U.K. on Monday. The Markit/Chartered Institute of Procurement & Supply manufacturing PMI for the U.K. increased to 51.9 in July from 51.4 in June, exceeding expectations for a rise to 51.6.

The increase was driven by the strong performance of the consumer goods sector.

New orders dropped to 52.2 in July, the lowest level since September 2014. The stronger pound weighed on new orders.

"Although an uptick in the headline PMI breaks the decelerating trend in UK manufacturing, growth remains near-stagnant and suggests that the sector is continuing to act as a drag on the economy. With the sterling-euro exchange rate still sapping export demand and constraining growth of total order inflows, its seems that we will again look to the service sector to sustain any semblance of reasonable economic growth in the third quarter," Markit's Senior Economist Rob Dobson said.

According to a Reuters report, the Athens stock exchange closed unofficially 16.2% lower on Monday. The Athens Stock Exchange reopened on Monday after a five-week halt.

Greek banking shares were the weakest performers.

Indexes on the close:

Name Price Change Change %

FTSE 100 6,688.62 -7.66 -0.11 %

DAX 11,443.72 +134.73 +1.19 %

CAC 40 5,120.52 +37.91 +0.75 %

Oil prices decreased on concerns over the global oil oversupply. The oil driller Baker Hughes reported that the number of active U.S. rigs rose by 5 rigs to 664 last week. It was the second consecutive weekly increase.

Combined oil and gas rigs fell by 2 to 874.

The weaker-than-expected Chinese manufacturing data also weighed on oil prices. The Chinese manufacturing PMI declined to 50.0 in July from 50.2 in June. Analysts had expected the index to remain unchanged.

A reading above the 50 mark indicates expansion, a reading below 50 indicates contraction.

The index reflected the weakness in new orders and new export orders, employment and prices for materials.

"Both domestic and external manufacturing remain weak," Zhao Qinghe, an economist at the National Bureau of Statistics, said.

The final Chinese Markit/Caixin manufacturing PMI declined to 47.8 in July from 49.4 in June, missing expectations for a fall to 48.2.

WTI crude oil for September delivery decreased to $45.86 a barrel on the New York Mercantile Exchange.

Brent crude oil for September fell to $50.46 a barrel on ICE Futures Europe.

Gold price declined on a stronger U.S. dollar. Speculation that the Fed starts raising interest rate soon weighed on gold price. St. Louis Federal Reserve President James Bullard said on Friday that the Fed may start raising interest rates in September due to the latest U.S. economic growth data.

Gains of the U.S. dollar were limited due to the weaker-than-expected U.S. economic data. Personal spending rose 0.2% in June, in line with expectations, after a 0.7% increase in May. May's figure was revised down from a 0.9% increase.

Consumer spending makes more than two-thirds of U.S. economic activity.

Personal spending was driven by lower demand for automobiles. Spending on auto mobiles dropped 1.3% in June.

The saving rate rose to 4.8% in June from 4.6% in May.

Personal income increased 0.4% in June, in line with expectations, after a 0.4% gain in May. May's figure was revised down from a 0.5% rise.

The personal consumption expenditures (PCE) price index excluding food and energy rose 0.1% in June, in line with forecasts, after a 0.1% gain in May.

On a yearly basis, the PCE price index excluding food and index increased 1.3% in June, after a 1.3% gain in May. May's figure was revised up from a 1.2% rise.

The PCE index is below the Fed's 2% inflation target. The PCE index is the Fed's preferred measure of inflation.

October futures for gold on the COMEX today declined to 1088.20 dollars per ounce.

According to a Reuters report, the Athens stock exchange closed unofficially 16.2% lower on Monday. The Athens Stock Exchange reopened on Monday after a five-week halt.

Greek banking shares were the weakest performers.

The U.S. Commerce Department released construction spending data on Monday. Construction spending in the U.S. rose 0.1% in June, missing expectations for a 0.6% gain, after a 1.8% increase in May. May's figure was revised up from a 0.8% rise.

The decline was driven by a decrease in private construction. Private construction spending fell 0.5% in June. It was the largest decline since June 2014.

Public construction spending increased 1.6%. It was the largest increase since November 2010.

The Institute for Supply Management released its manufacturing purchasing managers' index for the U.S. on Monday. The index declined to 52.7 in July from 53.5 in June, missing expectations for a gain to 53.6.

A reading above 50 indicates expansion, below indicates contraction.

The decline was partly driven by a fall in employment. The employment index dropped to 52.7 in July from 55.5 in June.

The production index remained unchanged in July.

The new orders index was up to 56.5 in July from 56.0 in June.

The prices paid index declined to 44.0 in July from 49.5 in June.

Markit Economics released its final manufacturing purchasing managers' index (PMI) for the U.S. on Monday. The U.S. final manufacturing purchasing managers' index (PMI) increased to 53.8 in July from 53.6 in June, in line with the previous estimate.

A reading above 50 indicates expansion in economic activity.

The increase was driven by driven by the rise in overall new business volumes.

The Markit Chief Economist Chris Williamson said that companies reported that the strong U.S. dollar hurt export competiveness.

"The data suggest the manufacturing sector is struggling rather than collapsing against the various headwinds. Relief has also come in the form of lower commodity prices, and low oil prices in particular," he added.

Markit Economics released its final manufacturing purchasing managers' index (PMI) for Italy on Monday. Italy's manufacturing purchasing managers' index (PMI) climbed to 55.3 in July from 54.1 in June.

The output and new orders rose in June, while the employment was up.

"Momentum continues to build in the Italian manufacturing sector, with the PMI now having risen in six of the past seven months to its highest since April 2011. Production is expanding on all fronts, though particularly sharply in the capital goods sector, in a sign of increasing investment among businesses," Markit economist Phil Smith said.

EUR/USD: $1.0975(360mn), $1.1000(E522mn), $1.1050(E400mn), $1.1100(E1.1bn), $1.1125(E700mn)

EUR/JPY: Y138.35(E274mn)

GBP/USD: $1.5700(Gbp328mn)

AUD/NZD: NZ$1.1000(A$430mn)

USD/SGD: Sgd1.3600($900mn), Sgd1.3650($1.19bn)

U.S. stock-index futures fluctuated as investors awaited data on manufacturing.

Global Stocks:

Nikkei 20,548.11 -37.13 -0.18%

Hang Seng 24,411.42 -224.86 -0.91%

Shanghai Composite 3,622.99 -40.74 -1.11%

FTSE 6,700.83 +4.55 +0.07%

CAC 5,118.55 +35.94 +0.71%

DAX 11,440.51 +131.52 +1.16%

Crude oil $46.02 (-2.33%)

Gold $1090.40 (-0.40%)

Markit Economics released its final manufacturing purchasing managers' index (PMI) for Spain on Monday. Spain's manufacturing purchasing managers' index (PMI) declined to 53.6 in July from 54.5 in June. It was the lowest level since October 2014.

The decline was driven by a slower increase in output and new businesses.

"On the one hand, growth of output and new orders continued to slow from the sharp rates seen in May. On the other, firms raised employment and stocks of purchases at rates not seen since before the economic crisis, suggesting that manufacturers aren't expecting a prolonged slowdown," a senior economist at Markit Andrew Harker said.

(company / ticker / price / change, % / volume)

The U.S. Commerce Department released personal spending and income figures on Monday. Personal spending rose 0.2% in June, in line with expectations, after a 0.7% increase in May. May's figure was revised down from a 0.9% increase.

Consumer spending makes more than two-thirds of U.S. economic activity.

Personal spending was driven by lower demand for automobiles. Spending on auto mobiles dropped 1.3% in June.

The saving rate rose to 4.8% in June from 4.6% in May.

Personal income increased 0.4% in June, in line with expectations, after a 0.4% gain in May. May's figure was revised down from a 0.5% rise.

The personal consumption expenditures (PCE) price index excluding food and energy rose 0.1% in June, in line with forecasts, after a 0.1% gain in May.

On a yearly basis, the PCE price index excluding food and index increased 1.3% in June, after a 1.3% gain in May. May's figure was revised up from a 1.2% rise.

The PCE index is below the Fed's 2% inflation target. The PCE index is the Fed's preferred measure of inflation.

Upgrades:

Downgrades:

Other:

Walt Disney (DIS) reiterated at Buy at Stifel, target raised from $120 to $130

Walt Disney (DIS) reiterated at Outperform at RBC Capital Mkts, target raised from $120 to $130

Markit Economics released its final manufacturing purchasing managers' index (PMI) for Greece on Monday. Greece's manufacturing purchasing managers' index (PMI) dropped to 30.2 in July from 46.9 in June.

The decline was driven by falls in the capital goods sector and in the production of intermediate and consumer goods.

"Manufacturing output collapsed in July as the debt crisis came to a head. Factories faced a record drop in new orders and were often unable to acquire the inputs they needed, particularly from abroad, as bank closures and capital restrictions badly hampered normal business activity," Markit economist Phil Smith said.

Economic calendar (GMT0):

(Time/ Region/ Event/ Period/ Previous/ Forecast/ Actual)

00:30 Australia MI Inflation Gauge, m/m July 0.1% 0.2%

01:00 Australia HIA New Home Sales, m/m June -2.3% 0.5%

01:30 Australia ANZ Job Advertisements (MoM) July 1.3% -0.4%

01:35 Japan Manufacturing PMI (Finally) July 50.1 51.4 51.2

01:45 China Markit/Caixin Manufacturing PMI (Finally) July 49.4 48.2 47.8

07:30 Switzerland Manufacturing PMI July 50 50.7 48.7

07:50 France Manufacturing PMI (Finally) July 50.7 49.6 49.6

07:55 Germany Manufacturing PMI (Finally) July 51.9 51.5 51.8

08:00 Eurozone Manufacturing PMI (Finally) July 52.5 52.2 52.4

08:30 United Kingdom Purchasing Manager Index Manufacturing July 51.4 51.6 51.9

The U.S. dollar traded mixed to higher against the most major currencies ahead of the U.S. economic data. The personal consumer expenditures (PCE) price index excluding food and energy is expected to increase 0.1% in June, after a 0.1 rise in May.

Personal income in the U.S. is expected to rise 0.5% in June, after a 0.4% gain in May.

Personal spending in the U.S. is expected to gain 0.2% in June, after a 0.9% gain in May.

The final manufacturing purchasing managers' index is expected to climb to 53.8 in July from 53.6 in June.

The ISM manufacturing purchasing managers' index is expected to climb to 53.6 in July from 53.5 in June.

The euro traded lower against the U.S. dollar as the Greek stocks dropped after the reopening of the Greek stock exchange. The Athens Stock Exchange reopened on Monday after a five-week halt.

Meanwhile, the economic data from the Eurozone was mostly better than expected. Eurozone's final manufacturing purchasing managers' index (PMI) fell to 52.4 in July from 52.5 in June, up from a preliminary reading of 52.2.

The upward revision was driven by a stronger than previously recorded rise in Germany.

Markit's Chief Economist Chris Williamson said that June's PMI was "the Eurozone manufacturing economy showed encouraging resilience in the face of the Greek debt crisis in July".

Germany's final manufacturing purchasing managers' index (PMI) declined to 51.8 in July from 51.9 in June, up from a preliminary reading of 51.5.

The increase was driven by a rise in production and new orders.

"The German manufacturing sector remained stuck in a low gear at the start of the third quarter, with the PMI signalling further, albeit only modest, growth," Markit economist Oliver Kolodseike said.

France's final manufacturing purchasing managers' index (PMI) dropped to 49.6 in July from 50.7 in June, in line with the preliminary reading.

The British pound traded lower against the U.S. dollar despite the better-than-expected the manufacturing PMI from the U.K. The Markit/Chartered Institute of Procurement & Supply manufacturing PMI for the U.K. increased to 51.9 in July from 51.4 in June, exceeding expectations for a rise to 51.6.

The increase was driven by the strong performance of the consumer goods sector.

New orders dropped to 52.2 in July, the lowest level since September 2014. The stronger pound weighed on new orders.

"Although an uptick in the headline PMI breaks the decelerating trend in UK manufacturing, growth remains near-stagnant and suggests that the sector is continuing to act as a drag on the economy. With the sterling-euro exchange rate still sapping export demand and constraining growth of total order inflows, its seems that we will again look to the service sector to sustain any semblance of reasonable economic growth in the third quarter," Markit's Senior Economist Rob Dobson said.

The Swiss franc traded lower against the U.S. dollar after the weaker-than-expected the manufacturing PMI from Switzerland. Credit Suisse released its manufacturing purchasing managers' index (PMI) for Switzerland on Monday. The manufacturing purchasing managers' index in Switzerland was down to 48.7 in July from 50.0 in June, missing expectations for an increase to 50.7.

The decline was driven by a drop in purchase prices and backlog of orders. Purchase prices decreased three points to 40.2 points in July, while the backlog of orders sub-index declined by 2.6 points to 48.5.

Production rose 0.7 points to 55.5 in July, while the employment sub-index remained unchanged 41.6.

EUR/USD: the currency pair decreased to $1.0942

GBP/USD: the currency pair fell to $1.5564

USD/JPY: the currency pair rose to Y124.27

The most important news that are expected (GMT0):

12:30 U.S. Personal spending June 0.9% 0.2%

12:30 U.S. Personal Income, m/m June 0.5% 0.4%

12:30 U.S. PCE price index ex food, energy, m/m June 0.1% 0.1%

12:30 U.S. PCE price index ex food, energy, Y/Y June 1.2%

13:45 U.S. Manufacturing PMI (Finally) July 53.6 53.8

14:00 U.S. ISM Manufacturing July 53.5 53.6

EUR/USD

Offers 1.1000 1.1020 1.1050 1.1065 1.1080-85 1.1100 1.1120 1.1160 1.1185 1.1200

Bids 1.0960 1.0925-30 1.0900 1.0880 1.0860 1.0820-25 1.0800 1.0780 1.0750

GBP/USD

Offers 1.5650 1.5680 1.5700-10 1.5725-30 1.5750 1.5780 1.5800

Bids 1.5600 1.5575-80 1.5565 1.5550 1.5520-25 1.5500 1.5485 1.5450 1.5425-30 1.5400

EUR/GBP

Offers 0.7030-35 0.7050 0.7080 0.7100 0.7125 0.7150-55 0.7180-85 0.7200

Bids 0.7000 0.6975-80 0.6950 0.6930 0.6900 0.6885 0.6865 0.6850

EUR/JPY

Offers 136.50 136.80 137.00 137.30 137.50 137.80 138.00

Bids 136.00 135.80 135.60 135.30 135.00 134.85 134.50 134.30 134.00

USD/JPY

Offers 124.25-30 124.50 124.75 125.00 125.30 125.50

Bids 123.75-80 1 123.45-50 123.25-30 123.00

AUD/USD

Offers 0.7330 0.7350 0.7385 0.7400 0.7420-25 0.7450

Bids 0.7280 0.7250 0.7230 0.7200 0.7180 0.7150

Stock indices traded mixed after the mostly better-than-expected manufacturing PMIs from the Eurozone. Eurozone's final manufacturing purchasing managers' index (PMI) fell to 52.4 in July from 52.5 in June, up from a preliminary reading of 52.2.

The upward revision was driven by a stronger than previously recorded rise in Germany.

Markit's Chief Economist Chris Williamson said that June's PMI was "the Eurozone manufacturing economy showed encouraging resilience in the face of the Greek debt crisis in July".

Germany's final manufacturing purchasing managers' index (PMI) declined to 51.8 in July from 51.9 in June, up from a preliminary reading of 51.5.

The increase was driven by a rise in production and new orders.

"The German manufacturing sector remained stuck in a low gear at the start of the third quarter, with the PMI signalling further, albeit only modest, growth," Markit economist Oliver Kolodseike said.

France's final manufacturing purchasing managers' index (PMI) dropped to 49.6 in July from 50.7 in June, in line with the preliminary reading.

Markit Economics released its manufacturing purchasing managers' index (PMI) for the U.K. on Monday. The Markit/Chartered Institute of Procurement & Supply manufacturing PMI for the U.K. increased to 51.9 in July from 51.4 in June, exceeding expectations for a rise to 51.6.

The increase was driven by the strong performance of the consumer goods sector.

New orders dropped to 52.2 in July, the lowest level since September 2014. The stronger pound weighed on new orders.

"Although an uptick in the headline PMI breaks the decelerating trend in UK manufacturing, growth remains near-stagnant and suggests that the sector is continuing to act as a drag on the economy. With the sterling-euro exchange rate still sapping export demand and constraining growth of total order inflows, its seems that we will again look to the service sector to sustain any semblance of reasonable economic growth in the third quarter," Markit's Senior Economist Rob Dobson said.

The Athens Stock Exchange reopened on Monday after a five-week halt.

Current figures:

Name Price Change Change %

FTSE 100 6,688.39 -7.89 -0.12 %

DAX 11,356.09 +47.10 +0.42 %

CAC 40 5,097.45 +14.84 +0.29 %

Credit Suisse released its manufacturing purchasing managers' index (PMI) for Switzerland on Monday. The manufacturing purchasing managers' index in Switzerland was down to 48.7 in July from 50.0 in June, missing expectations for an increase to 50.7.

The decline was driven by a drop in purchase prices and backlog of orders. Purchase prices decreased three points to 40.2 points in July, while the backlog of orders sub-index declined by 2.6 points to 48.5.

Production rose 0.7 points to 55.5 in July, while the employment sub-index remained unchanged 41.6.

Markit Economics released its manufacturing purchasing managers' index (PMI) for the U.K. on Monday. The Markit/Chartered Institute of Procurement & Supply manufacturing PMI for the U.K. increased to 51.9 in July from 51.4 in June, exceeding expectations for a rise to 51.6.

A reading above 50 indicates expansion.

The increase was driven by the strong performance of the consumer goods sector.

New orders dropped to 52.2 in July, the lowest level since September 2014. The stronger pound weighed on new orders.

"Although an uptick in the headline PMI breaks the decelerating trend in UK manufacturing, growth remains near-stagnant and suggests that the sector is continuing to act as a drag on the economy. With the sterling-euro exchange rate still sapping export demand and constraining growth of total order inflows, its seems that we will again look to the service sector to sustain any semblance of reasonable economic growth in the third quarter," Markit's Senior Economist Rob Dobson said.

Markit Economics released its final manufacturing purchasing managers' index (PMI) for France on Monday. France's final manufacturing purchasing managers' index (PMI) dropped to 49.6 in July from 50.7 in June, in line with the preliminary reading.

"The French manufacturing sector slipped back into contraction during July, failing to build on the previous month's marginal improvement in operating conditions. Key variables such as output, new orders, employment and stock levels all showed declines, as weak demand continued to hold back the performance of the industry and thwart any sort of upturn taking hold," Markit Senior Economist Jack Kennedy said.

Markit Economics released its final manufacturing purchasing managers' index (PMI) for Germany on Monday. Germany's final manufacturing purchasing managers' index (PMI) declined to 51.8 in July from 51.9 in June, up from a preliminary reading of 51.5.

The increase was driven by a rise in production and new orders.

"The German manufacturing sector remained stuck in a low gear at the start of the third quarter, with the PMI signalling further, albeit only modest, growth," Markit economist Oliver Kolodseike said.

Markit Economics released its final manufacturing purchasing managers' index (PMI) for the Eurozone on Monday. Eurozone's final manufacturing purchasing managers' index (PMI) fell to 52.4 in July from 52.5 in June, up from a preliminary reading of 52.2.

The upward revision was driven by a stronger than previously recorded rise in Germany.

Markit's Chief Economist Chris Williamson said that June's PMI was "the Eurozone manufacturing economy showed encouraging resilience in the face of the Greek debt crisis in July".

EUR/USD: $1.0975(360mn), $1.1000(E522mn), $1.1050(E400mn), $1.1100(E1.1bn), $1.1125(E700mn)

EUR/JPY: Y138.35(E274mn)

GBP/USD: $1.5700(Gbp328mn)

AUD/NZD: NZ$1.1000(A$430mn)

USD/SGD: Sgd1.3600($900mn), Sgd1.3650($1.19bn)

The Chinese manufacturing PMI declined to 50.0 in July from 50.2 in June. Analysts had expected the index to remain unchanged.

A reading above the 50 mark indicates expansion, a reading below 50 indicates contraction.

The index reflected the weakness in new orders and new export orders, employment and prices for materials.

"Both domestic and external manufacturing remain weak," Zhao Qinghe, an economist at the National Bureau of Statistics, said.

The final Chinese Markit/Caixin manufacturing PMI declined to 47.8 in July from 49.4 in June, missing expectations for a fall to 48.2.

The Institute for Supply Management released its Chicago purchasing managers' index on Friday. The index climbed to 54.7 in July from 49.4 in June, exceeding expectations for an increase to 50.5.

A reading above the 50 mark indicates expansion, a reading below 50 indicates contraction.

The rise was partly driven by increases in the production and new orders. The production index rose by 12.0 points to 61.8 in July, while new orders index also increased.

The employment index remained below 50.

The Thomson Reuters/University of Michigan final consumer sentiment index decreased to 93.1 in July from 96.1 in June, missing the preliminary estimate of 94.0.

"A disappointing pace of economic growth was the main reason for the small decline in consumer confidence," the Surveys of Consumers chief economist at the University of Michigan Richard Curtin.

He adds that there is "no indication of a break in the prevailing positive trend".

The current economic conditions index declined to 107.2 in July from 108.9 in June.

The index of consumer expectations fell to 84.1 from 87.8.

The oil driller Baker Hughes reported that the number of active U.S. rigs rose by 5 rigs to 664 last week. It was the second consecutive weekly increase.

Combined oil and gas rigs fell by 2 to 874.

The Swiss National Bank (SNB) reported losses of CHF20 billion in the second quarter. The SNB's losses for the first half of the year 2015 totalled CHF50.1 billion, equivalent to 7.5% of Switzerland's GDP.

The losses were mainly driven by removing of the euro exchange rate cap in January, set at 1.20 francs per euro in September 2011. The depreciation of the euro against the Swiss franc led to significant currency losses.

The Confederation of British Industry (CBI) data showed that UK's economic growth strengthened in the second quarter. Britain's economy expanded by 0.7% in the second quarter after a 0.4% increase in the first quarter.

"A healthy pace of growth puts the economy on a firm footing going into the third quarter and it looks set to stay that way through the rest of this year, as low oil prices and inflation help support spending," head of economic analysis at the CBI, Anna Leach, said.

Britain's exporters faces problems due to the stronger pound, Leach added.

St. Louis Federal Reserve President James Bullard said on Friday that the Fed may start raising interest rates in September due to the latest U.S. economic growth data.

The U.S. GDP rose at an annual rate of 2.3% in the second quarter, while the first quarter's GDP was revised up to a 0.6% rise from a 0.2% fall.

Bullard noted that "the outlook remains fairly good for the economy". He was not concerned over the slow growth in employer costs.

The Athens Stock Exchange will reopen today. The stock exchange was closed since June 29. But local investors will face restrictions to stop capital flight from the country. Local investors could purchase shares with existing cash holdings, but not to withdraw money from their Greek bank accounts to purchase shares. There will be no restrictions on foreign investors.

Economic calendar (GMT0):

Time/ Region/ Event/ Period/ Previous/ Forecast/ Actual

00:30 Australia MI Inflation Gauge, m/m July 0.1% 0.2%

01:00 Australia HIA New Home Sales, m/m June -2.3% 0.5%

01:30 Australia ANZ Job Advertisements (MoM) July 1.3% -0.4%

01:35 Japan Manufacturing PMI (Finally) July 50.1 51.4 51.2

01:45 China Markit/Caixin Manufacturing PMI (Finally) July 49.4 48.2 47.8

Volatility of the U.S. dollar was low after its short-term fall on Friday, which was caused by weak wages data (only +0.2% in the second quarter vs +0.6% expected). This report made investors think that the anticipated rate increase might be postponed. The Federal Reserve monitors wage data. An acceleration of wage growth would signal that the labor market improved. However the latest slowdown points to the market's weakness.

On Friday data from the euro area showed that inflation rose by 0.2% in July confirming that it left the negative territory. However the unemployment level remained at 11.1% for the third straight month. For some economists these data signal that the European Central Bank will have to continue quantitative easing to help inflation reach the target level of just under 2%.

The sterling little changed. Investors are waiting for Bank of England meeting, which will be held this Thursday. This will be the first time the BOE announces its interest rate decision, publishes minutes of its meeting and updated forecasts on the UK economy on the same day.

AUD and NZD declined after official data showed that China Manufacturing PMI posted 50.0 in July, while analysts expected a 50.2 reading. Only a reading above 50 suggests expansion, while the 50 threshold itself still points to contraction.

EUR/USD: the pair fluctuated around $1.0965-90 in Asian trade

USD/JPY: the pair traded around Y123.90-10

GBP/USD: the pair traded around $1.5615-35-10

The most important news that are expected (GMT0):

(time / country / index / period / previous value / forecast)

07:30 Switzerland Manufacturing PMI July 50 50.7

07:50 France Manufacturing PMI (Finally) July 50.7 49.6

07:55 Germany Manufacturing PMI (Finally) July 51.9 51.5

08:00 Eurozone Manufacturing PMI (Finally) July 52.5 52.2

08:30 United Kingdom Purchasing Manager Index Manufacturing July 51.4 51.6

12:30 U.S. Personal spending June 0.9% 0.2%

12:30 U.S. Personal Income, m/m June 0.5% 0.4%

12:30 U.S. PCE price index ex food, energy, m/m June 0.1% 0.1%

12:30 U.S. PCE price index ex food, energy, Y/Y June 1.2%

13:45 U.S. Manufacturing PMI (Finally) July 53.6 53.8

14:00 U.S. Construction Spending, m/m June 0.8% 0.6%

14:00 U.S. ISM Manufacturing July 53.5 53.6

20:00 U.S. Total Vehicle Sales, mln July 17.2 17.2

West Texas Intermediate futures for September delivery declined to $46.72 (-0.85%), while Brent crude dropped to $51.72 (-0.94%). Iranian Oil Minister Bijan Namdar Zanganeh said the country's output could increase by 500,000 barrels a day within a week after international sanctions are lifted and by 1 million barrels a day within a month after that. According to the Iran oil ministry's news agency, sanctions against Tehran should be lifted by the end of November.

Greater exports from Iran combined with OPEC's market share protection policy would weigh on prices, Zanganeh said.

Major U.S. stock indices fell on Friday amid declines in energy companies.

The Dow Jones Industrial Average slid 55.32 points, or 0.3%, to 17,690.66, but ended July with a 0.4% gain. The S&P 500 fell 4.71 points, or 0.2%, to 2,103.90; its energy sector fell 2.6% and is now 28% below levels seen 12 months ago. Nevertheless the S&P gained 2% over July. The Nasdaq Composite Index declined less than a point to 5,218.28, but booked a 2.9% gain over the month.

The U.S. Labor Department reported on Friday that wages rose a record-low 0.2% in the second quarter after the 0.7% gain in the first quarter.

Today Asian stocks followed declines in U.S. equities. Hong Kong Hang Seng fell 1.02%, or 252.19 points, to 24,384.09. China Shanghai Composite Index fell 2.35%, or 86.28 points, to 3,577.45. The Nikkei lost 0.18%, or 37.13 points, to 20,548.11.

Data by Markit Economics added to investors' concerns. China Manufacturing PMI came in at 47.8 in July; this is below preliminary reading of 48.2 and June final reading 49.4.

Beijing infrastructure companies advanced after it was known that Chinese capital will host Olympic Games in 2022.  

Gold is currently $1,095.80 (+0.06%). Expectations of an imminent rate hike in the U.S. continue weighing on the non-interest bearing precious metal. Bullion lost 7% in July, marking its greatest decline since June 2013.

Physical demand remained weak. Potential buyers in China postponed purchases expecting further declines in prices.

EUR / USD

Resistance levels (open interest**, contracts)07

$1.1167 (2417)

$1.1091 (2203)

$1.1036 (1498)

Price at time of writing this review: $1.0980

Support levels (open interest**, contracts):

$1.0910 (4781)

$1.0854 (6357)

$1.0819 (3895)

Comments:

- Overall open interest on the CALL options with the expiration date August, 7 is 55551 contracts, with the maximum number of contracts with strike price $1,1200 (4822);

- Overall open interest on the PUT options with the expiration date August, 7 is 68625 contracts, with the maximum number of contracts with strike price $1,0800 (6645);

- The ratio of PUT/CALL was 1.24 versus 1.25 from the previous trading day according to data from July, 31

GBP/USD

Resistance levels (open interest**, contracts)

$1.5901 (1235)

$1.5801 (1714)

$1.5704 (1228)

Price at time of writing this review: $1.5621

Support levels (open interest**, contracts):

$1.5593 (1591)

$1.5497 (1555)

$1.5399 (1332)

Comments:

- Overall open interest on the CALL options with the expiration date August, 7 is 22126 contracts, with the maximum number of contracts with strike price $1,5750 (3158);

- Overall open interest on the PUT options with the expiration date August, 7 is 23346 contracts, with the maximum number of contracts with strike price $1,5250 (2275);

- The ratio of PUT/CALL was 1.06 versus 1.03 from the previous trading day according to data from July, 31

* - The Chicago Mercantile Exchange bulletin (CME) is used for the calculation.

** - Open interest takes into account the total number of option contracts that are open at the moment.

(raw materials / closing price /% change)

Oil 46.77 -0.74%

Gold 1,095.00 -0.01%

(index / closing price / change items /% change)

Nikkei 225 20,585.24 +62.41 +0.30 %

Hang Seng 24,636.28 +138.30 +0.56 %

S&P/ASX 200 5,699.16 +29.64 +0.52 %

Shanghai Composite 3,664.01 -41.76 -1.13 %

FTSE 100 6,696.28 +27.41 +0.41 %

CAC 40 5,082.61 +36.19 +0.72 %

Xetra DAX 11,308.99 +51.84 +0.46 %

S&P 500 2,103.84 -4.79 -0.23 %

NASDAQ Composite 5,128.28 -0.50 -0.01 %

Dow Jones 17,689.86 -56.12 -0.32 %

(pare/closed(GMT +3)/change, %)

EUR/USD $1,0984 +0,48%

GBP/USD $1,5621 +0,15%

USD/CHF Chf0,954 -1,57%

USD/JPY Y123,89 -0,25%

EUR/JPY Y136,01 +0,18%

GBP/JPY Y193,49 -0,11%

AUD/USD $0,7299 +0,14%

NZD/USD $0,6590 -0,27%

USD/CAD C$1,3089 +0,69%

(time / country / index / period / previous value / forecast)

00:30 Australia MI Inflation Gauge, m/m July 0.1%

01:00 Australia HIA New Home Sales, m/m June -2.3%

01:30 Australia ANZ Job Advertisements (MoM) July 1.3%

01:35 Japan Manufacturing PMI (Finally) July 50.1 51.4

01:45 China Markit/Caixin Manufacturing PMI (Finally) July 49.4 48.2

07:30 Switzerland Manufacturing PMI July 50 50.7

07:50 France Manufacturing PMI (Finally) July 50.7 49.6

07:55 Germany Manufacturing PMI (Finally) July 51.9 51.5

08:00 Eurozone Manufacturing PMI (Finally) July 52.5 52.2

08:30 United Kingdom Purchasing Manager Index Manufacturing July 51.4 51.6

12:30 U.S. Personal spending June 0.9% 0.2%

12:30 U.S. Personal Income, m/m June 0.5% 0.4%

12:30 U.S. PCE price index ex food, energy, m/m June 0.1% 0.1%

12:30 U.S. PCE price index ex food, energy, Y/Y June 1.2%

13:45 U.S. Manufacturing PMI (Finally) July 53.6 53.8

14:00 U.S. Construction Spending, m/m June 0.8% 0.6%

14:00 U.S. ISM Manufacturing July 53.5 53.6

20:00 U.S. Total Vehicle Sales, mln July 17.2 17.2